DP World signs deal to develop new terminal at JNPT port in India

20 June 2013 (Last Updated June 20th, 2013 18:30)

Jawaharlal Nehru Port Trust (JNPT) in India has signed a deal with Dubai-based container terminal operator DP World to build and operate a single berth container terminal at the Mumbai port.

Jawaharlal Nehru Port Trust (JNPT) in India has signed a deal with Dubai-based container terminal operator DP World to build and operate a single berth container terminal at the Mumbai port.

The new terminal will be located adjacent to DP World’s existing terminal operation at Nhava Sheva International Container Terminal (NSICT).

In November 2012, DP World secured the Letter of Award from JNPT for the new Nhava Sheva (India) Gateway Terminal project.

As part of the deal, DP World will invest about $200m for the construction of the new terminal, which is expected to have a 330m berth with 27ha of yard.

The project would be carried out on design, build, finance, operate and transfer basis.

Scheduled to be operational in 2015, the new terminal will have an annual container handling capacity of 800,000teu and will help ease congestion for customers at the port.

DP World Subcontinent senior vice president and managing director Anil Singh said, "We were the port’s first private partner in 1997 with NSICT, and together with the port we have played a key role in serving India’s growing trade over more than a decade."

According to JNPT, the contract also includes a 17-year concession period for the new terminal, which will be equipped with four rail-mounted quay cranes and 12 rubber-tyred gantry cranes.

DP World currently operates five Indian terminals including Chennai, Mundra, Nhava Sheva, Visakhapatnam and Cochin.