Adani Ports to set up first container terminal outside India in Myanmar at estimated cost of over Rs 2,000 cr
Adani Ports and Special Economic Zone will set up its first container terminal outside India in Myanmar at an estimated cost of $290 million (over Rs 2,000 crore)
The company signed an agreement on Thursday to develop and operate a container terminal at Yangon Port in Myanmar
Construction for phase one of the project will commence next month and will be completed by June 2021
The BOT (build, operate, transfer)/ lease agreement is signed for 50 years and extendable twice for ten years each
New Delhi: Adani Ports and Special Economic Zone will set up its first container terminal outside India in Myanmar at an estimated cost of $290 million (over Rs 2,000 crore).
The company signed an agreement on Thursday to develop and operate a container terminal at Yangon Port in Myanmar.
Construction for phase one of the project will commence next month and will be completed by June 2021. It is a two-phase project.
"Total project cost for both phases would be $275-290 million. The investment is in line with APSEZ strategy to have a footprint in Southeast Asia and expand the container terminal network," Adani Ports and Special Economic Zone (APSEZ) said in a statement.
Also, the terminal will be integrated with APSEZ ports/terminals along the east and south coast of India, unlocking synergies by offering multiple entry/exit points for shipping lines, APSEZ, the logistics arm of Adani Group, said.
The BOT (build, operate, transfer)/ lease agreement is signed for 50 years and extendable twice for ten years each.
"The terminal will have a capacity to handle 0.80 million TEUs (twenty-foot equivalent unit) of containers...The estimated cost for implementing phase I of 0.5 million TEUs is between $220-230 million and phase II expansion to 0.8 million TEUs is expected to cost between $55–60 million," it added.
The terminal will have a quay length of 635 meters with the capability to handle three vessels at a time.
APSEZ said it would introduce its operating and technological expertise to Myanmar by using modern equipment to ensure efficient handling of containers, thereby reducing the average turnaround time of vessels.
All requisite clearances/permissions for setting up the terminal have been received in the form of Myanmar Investment Commission (MIC) permit, it added.
"We are proud to be the first Indian company to set up a container terminal outside India. With a good balance of EXIM trade and a ten percent growth prospect, the project is an ideal investment for us. The terminal will generate meaningful employment for over 1,100 local people," Karan Adani, CEO and Whole Time Director of APSEZ, said.
Find latest and upcoming tech gadgets online on Tech2 Gadgets. Get technology news, gadgets reviews & ratings. Popular gadgets including laptop, tablet and mobile specifications, features, prices, comparison.
BJP MP Subramanian Swamy on Tuesday dropped a bad loan bombshell on industrialist Gautam Adani, calling him the "biggest NPA trapeze artiste in PSUs", but the group clarified that it had diligently and regularly serviced all its debt
Cyclone Fani: Adani Group commits Rs 25 crore to Odisha Chief Minister's Relief Fund, ICICI Rs 10 crore
ICICI Bank contributed Rs 10 crore towards the same cause and will waive late payment charges on loan repayment by cyclone effected
Shares of Adani Ports and SEZ rose three percent on announcement of a development of a dry bulk terminal at Kandla Port in Gujarat with an investment of about Rs 12 billion.