The Vizhinjam International Seaport, operated by Adani Ports & SEZ Ltd (APSEZ), is gearing up for its Phase Two expansion, scheduled to begin next month with completion targeted for 2028. This major upgrade aims to significantly boost container handling capacity, improve operational efficiency, and reduce logistics costs for Indian exporters and importers.
Since beginning commercial operations in December 2024, Vizhinjam has already handled nearly 1 million TEUs, demonstrating its potential to emerge as a major global transshipment hub.
Key Highlights of Phase Two
The expansion will increase the container capacity to 4.5 million TEUs per year, supported by infrastructure upgrades such as a break-bulk berth, tanker berth, and bunkering facility along a 4-km breakwater. The container berth length will double to 2000 meters, enabling the simultaneous handling of three mother ships and multiple feeder vessels.
The ₹10,000 crore investment will be entirely funded by APSEZ, underscoring their commitment to making Vizhinjam a world-class maritime gateway. Improved rail and road connectivity by 2028 is expected to further boost EXIM cargo demand by 20%.
Advanced automation—featuring remote-operated quay cranes and fully automated container handling—will reduce turnaround times and optimize safety.
Economic and Strategic Benefits
- Cost Reduction: Potential 30–40% savings in logistics costs for Indian manufacturers.
- Revenue Retention: Reduce reliance on foreign ports for transshipment (currently 75% of India’s transshipment occurs abroad).
- Local Economy Boost: Establishment of an international crew change facility will generate demand for hospitality and local services.
- Job Creation: Thousands of direct and indirect jobs in port operations, logistics, and allied sectors.
- Sustainability: Minimal dredging required due to the port’s natural deep draft.
Key Data – Vizhinjam Seaport Phase Two Expansion
| Parameter | Details |
|---|---|
| Phase Two Start Date | Next month |
| Expected Completion | 2028 |
| Container Capacity After Expansion | ~4.5 million TEUs/year |
| Infrastructure Additions | Break-bulk berth, tanker berth, bunkering facility, 4-km breakwater |
| Investment Cost | ₹10,000 crore |
| Funding Source | 100% APSEZ |
| Berth Upgrade | Length doubled to 2000m |
| Operational Milestone | 1 million TEUs handled since Dec 2024 |
| EXIM Cargo Growth Projection | +20% |
| Cost Reduction for Manufacturers | 30–40% |
| Strategic Location | East-West shipping route |
| Environmental Advantage | Natural deep draft reduces dredging needs |
Glottis Limited 
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