On 25 August, 2023, the Deendayal Port Authority (DPA) signed a concession agreement with DP World for the development of the Tuna Tekra mega container terminal at Kandla in Gujarat on the build-operate-transfer (BOT).

The development is estimated to cost Rs 4,243.64 crore and the agreement will run for 30 years. The terminal is likely to commence operations by early 2027. The public-private partnership (PPP) project agreement with an SPV of Hindustan Infralog, a joint venture (JV) of DP World and National Investment and Infrastructure Fund (NIIF) is extendable up to 50 years.

On completion, the terminal will have a total capacity of 2.19 million twenty equivalent units (TEUs) annually and would comprise a berth, which will be capable of handling vessels carrying over 18,000 TEUs. The new terminal is likely to be connected to the hinterland through a network of roads, highways, railways and dedicated freight corridors and would connect Northern, Western and Central India with global markets.

As per the Minister of Ports, Shipping & Waterways (MoPSW), the terminal will play a pivotal role in the government’s vision to make India an ‘exports hub’ and also support the creation of direct and indirect employment in sectors such as transportation, distribution and supply chain.

DP World operates five container terminals in India: two in Mumbai, one each in Mundra, Cochin and Chennai with a combined capacity of about six million TEUs. With the addition of Tuna Tekra, DP World will have a combined capacity of 8.19 million TEUs.