August 28 2020
APM Terminals Pipavav's board approves Rs. 700 crore expansion plan
APM Terminals Pipavav [Gujarat Pipavav Port Ltd] has announced the approval of Rs. 700 crore in coherence to the expansion plan of the company. The stated investment will be utilised for upgrading the port's existing facility to handle bigger ships and eventually expand the container capacity to 1.6 million TEUs.
- The amount will be used for upgrading existing facilities for handling bigger ships and increasing the container capacity to 1.6 million twenty-foot equivalent units (TEUs)
The supply chain and the inland logistics is expected to significantly improve the reliability and reduce transit time going forward with the implementation of Western Dedicated Freight Corridor (DFC). This will improve overall cargo volume for imports and exports. About 40% of the total investments in entire 1,535 km of DFC is likely to be in Gujarat, which has around 37% of area covered of complete stretch.
Expressing delight, Mr. Jakob Friis Sorenson, Managing Director, APM Terminals Pipavav said, “With this investment, we aim to strengthen our network and continue to provide best in-class services to all our stakeholders. However, we are awaiting the confirmation of concession extension from Gujarat Maritime Board (GMB) to execute the expansion plan. The container yard capacity will be expanded once the cargo growth is visible post commissioning of DFC. We expect the world economy and business to follow an expanded 'U' curve and normalcy in business to be restored by the second quarter of 2021.”
The port operations are imperative to ensure that the supply chain remains uninterrupted and availability of essential supplies is maintained. Ports are the lifelines of the maritime supply chain. Even during the lockdown period, APM Terminals Pipavav successfully operated without having a single positive case amongst our people, a testimony of the care taken of their employees and the community around.