Vadhvan port project set to gain momentum with ₹30,000 crore fundraising

By Admin

20 Jun, 2025

India’s ambitious maritime expansion just took a significant step forward as the Vadhvan Port Project gears up for a crucial fundraising phase. With an eye on becoming one of the world’s top 10 ports, the project is poised to transform India’s shipping infrastructure and global trade capabilities.

Strategic Financial Backing in Motion

The Vadhvan Port Project Ltd., located a few hours north of Mumbai, has initiated a large-scale debt-raising exercise, aiming to secure up to ₹300 billion ($3.5 billion). This effort will help finance a key segment of Prime Minister Narendra Modi’s infrastructure development vision. IDBI Capital has been appointed as an advisor to structure and align long-term lenders, with the first round targeting ₹220 billion.

Chairman and Managing Director of the project, Unmesh Sharad Wagh also the head of the Jawaharlal Nehru Port Authority (JNPA), which owns 74% of the project confirmed that the debt-raising will occur in two phases. The remaining 26% of the project is held by the Maharashtra Maritime Board (MMB). The loans, with tenors ranging from 15 to 20 years, are being sought from both onshore and offshore markets.

A Mega Port in the Making

Once completed, the ₹750 billion ($9 billion) Vadhvan Port is expected to be a game-changer. With a natural depth of 20 meters, it will be capable of hosting some of the world’s largest container ships an ability no existing Indian port currently possesses. The port is projected to handle approximately 23 million twenty-foot equivalent units (TEUs) annually, significantly easing India’s port congestion and improving trade efficiency.

Infrastructure Commitment and Strategic Vision

The Indian government has placed major emphasis on maritime infrastructure as a cornerstone of its long-term growth strategy. In its February annual budget, the government proposed a Maritime Development Fund aimed at financing port-related projects through debt and equity mechanisms.

JNPA and MMB plan to invest about ₹130 billion in the project, with the remaining funds to be distributed over the next five years. The debt raising phase is set to invite proposals from lenders between October and December. Negotiations with multilateral agencies are also underway, alongside land restoration efforts across 1,200 hectares.

Global Connectivity Through Vadhvan

The port is also a key node in the proposed India-Middle East-Europe Corridor an economic and trade link envisioned to strengthen connectivity between Asia and Europe via the Middle East. Vadhvan’s development is aligned with India’s broader ambition to become a pivotal logistics hub in the global supply chain.

As fundraising gears up, the Vadhvan Port Project stands as a symbol of India’s renewed commitment to modernizing its maritime sector and anchoring itself firmly on the global trade map.