Vizhinjam Phase-2 launch today; event likely to become a political spectacle in poll-bound Kerala

Thiruvananthapuram: Kerala is set to accelerate its maritime ambitions with the launch of Phase-2 construction of Adani Group’s Vizhinjam International Deepwater Seaport on Saturday, a move aimed at positioning the facility as India’s largest transshipment hub.

The Phase-2 development programme, involving an investment of Rs 9,700 crore, will be formally inaugurated by Chief Minister Pinarayi Vijayan, State Ports Minister V.N. Vasavan said on Thursday. Union Minister for Ports, Shipping and Waterways Sarbananda Sonowal will attend the event as chief guest.

Phase-2 expansion and capacity enhancement

Minister Vasavan described Phase-2 as a “critical scale-up” of capacity, infrastructure and global competitiveness for Vizhinjam, which began commercial operations just over a year ago.

Under the second phase, container handling capacity will expand five-fold, from one million TEUs to five million TEUs annually. The berth length will increase from the existing 800 metres to 2,000 metres, while the breakwater will be extended from three kilometres to four kilometres, enabling the port to handle multiple ultra-large container vessels simultaneously.

Once completed, Vizhinjam will become India’s largest straight-berth port, capable of accommodating four mother ships at the same time.

New facilities and land reclamation plan

Phase-2 infrastructure includes a railway yard, multi-purpose berth, liquid terminal and tank farm. The liquid terminal is expected to provide Vizhinjam with a competitive advantage by allowing large vessels to refuel during long international voyages, a facility currently available only at select global ports.

A key feature of the expansion is that it does not require additional land acquisition. Instead, around 55 hectares will be created through sea reclamation. Container yard capacity will increase from 35,000 units to 1,00,000 units, while the total number of cranes will rise to 100, including 30 ship-to-shore cranes.

Investment structure and phased development

According to assessments, Vizhinjam port is expected to become fully operational by 2028.

The Adani Group is investing Rs 10,000 crore in the second and third phases of development. The first phase, implemented as a public-private partnership, involved an investment of Rs 7,700 crore by the Kerala government and the Adani Group.

The initial target under Phase-1 was to handle one million containers annually. However, within one year of commencing commercial operations, Vizhinjam has already handled 15.13 lakh containers from 710 vessels. This entire volume was achieved solely through transshipment operations.

Although the trial run began in July, full commercial operations commenced only in December.

Operational performance and revised timeline

Minister Vasavan said Vizhinjam has established direct services to ports in Europe, the Americas, Africa and Asia, underlining its rapid integration into global shipping networks.

While the port was originally scheduled for completion by 2045, a supplementary concessionaire agreement signed in 2023 has advanced the full development target to 2028.

“With Phase-2, Vizhinjam moves from promise to scale,” Vasavan said, adding that the expansion would catalyse logistics growth, employment generation and trade across southern India.

High-profile inauguration and political context

The official inauguration of Phase-2 will be held at the port on Saturday at 4 pm, chaired by Minister Vasavan. Adani Ports Managing Director Karan Adani will also attend.

Though construction on Phase-2 has already begun, the ceremonial launch is being positioned by the state government as an achievement ahead of the Kerala Assembly elections. The event will also include the inauguration of the newly constructed approach road linking Vizhinjam to the national highway.

This marks the fourth major event at Vizhinjam in two years. Earlier events included the reception of a crane-installed vessel in October 2023, the trial run inauguration in July 2024, and the official inauguration by Prime Minister Narendra Modi on May 2, 2024.

Snapshot

• Phase-2 investment: Rs 9,700 crore
• Phase 2 & 3 investment: Rs 10,000 crore (Adani Group)
• Phase-1 investment: Rs 7,700 crore (PPP)
• Breakwater: 4 km
• Berth length: 2,000 metres
• Container capacity: 5 million TEUs annually
• Containers handled so far: 15.13 lakh from 710 vessels
• Land reclaimed: 55 hectares
• Target for full operations: 2028