Visakhapatnam Port Authority Unveils Action Plan to Reach 90 Million Tonnes Cargo Traffic in FY25

The Visakhapatnam Port Authority (VPA) has unveiled an ambitious target of achieving 90 million tonnes (mt) of cargo traffic for the financial year 2024-25, as announced by Madhaiyan Angamuthu, Chairperson of VPA.

With the port poised to close the current financial year, FY24, with over 80 mt of cargo traffic, it recently celebrated a milestone on March 28 by achieving its highest cargo throughput in the 90 years of its history.

To meet this formidable target, VPA has drafted a comprehensive action plan encompassing strategic initiatives, investments in infrastructure and technology, and enhanced collaboration with stakeholders.

Angamuthu highlighted key components of the strategy, emphasizing a focus on incremental cargo, particularly in container, agriculture, marine, and aqua cargo sectors. The plan also aims to attract more coastal ships and cargo from the hinterland, incorporating sustainable development and green port initiatives to accommodate increased traffic.

"The likely investment in infrastructure upgrade and other capacity-building projects over the next two years will be around ₹2,000 crore," Angamuthu added.

The authority is actively evaluating its current capacity to handle cargo and identifying bottlenecks in port operations to streamline processes and achieve the 90 mt target.

Investments will be channeled into infrastructure upgrades such as berth expansions, enhancements in cargo handling equipment, and augmentation of storage facilities.

The action plan additionally prioritizes operational efficiency enhancements through the implementation of advanced technology solutions like automation in cargo handling, and optimizations in logistics and hinterland connectivity to improve rail and road access to the port for quicker and more efficient cargo movement.

"We will diversify the cargo base by handling new types of cargo such as liquid bulk, dry bulk, containers, and break-bulk cargoes. Specialized terminals or zones for handling specific cargo types like a dedicated container terminal or a cold storage zone for perishable goods are also under consideration," the official stated.

VPA plans to collaborate closely with exporters and importers, understanding their needs, and offering competitive services to attract more business. Engaging with shipping lines and logistics providers to secure commitments for increased cargo volumes and offering incentives for regular and larger volume traffic are also part of the strategy.

HBL