Paradip, Vizag Port Authorities, SFCL, and Odisha Govt to develop ₹21,500-crore Bahuda Port

By Admin

19 Sep, 2025

The maritime landscape of India is set for a major boost with the announcement of the Bahuda Port project in Odisha’s Ganjam district. The Paradip Port Authority, Visakhapatnam Port Authority, Sagarmala Finance Corporation Ltd (SFCL), and the Odisha government will jointly develop this ambitious project with an investment of ₹21,500 crore, according to multiple sources.

India’s 14th Major Port

Bahuda Port, designed with a handling capacity of 150 million tonnes (mt), will become India’s 14th major port and the second Union government-owned port in Odisha after Paradip. This project positions Odisha as a significant maritime hub on the east coast, complementing its existing private operational ports Dhamra and Gopalpur (managed by Adani Ports and SEZ Ltd) and upcoming projects at Subarnarekha Mouth (Kirtania) by Tata Steel Ltd and Astaranga by Navayuga Engineering Company Ltd.

Deep-Draft Capacity for Global Shipping

A pre-techno economic feasibility study commissioned by the Odisha government has envisioned Bahuda as a state-of-the-art, deep-draft facility. It will be capable of handling 40,000–1,50,000 DWT dry bulk vessels and container ships with capacities of up to 6,000 TEUs. This advanced infrastructure will significantly improve India’s capacity to handle global trade, supporting both dry bulk and container cargo efficiently.

MoU Signing in Bhavnagar

The formal memorandum of understanding (MoU) for the Bahuda Port project will be signed on September 20 in Bhavnagar, Gujarat, in the presence of Prime Minister Narendra Modi. This event will mark a historic milestone in India’s port-led growth strategy under the Sagarmala initiative.

Financing by Sagarmala Finance Corporation Ltd (SFCL)

The project’s financing will be spearheaded by SFCL, a newly registered RBI-regulated Non-Banking Financial Company (NBFC) dedicated to supporting India’s maritime growth. SFCL’s tailored financial products target a wide range of stakeholders, including port authorities, shipping companies, MSMEs, shipyards, inland waterway operators, renewable energy ventures, and industries in coastal economic zones.

SFCL’s lending framework will provide:

• Short-term loans (up to 1 year)
  
  

• Medium-term loans (1–3 years)
  
  

• Long-term loans (3–15 years)
  
  

This robust financial structure ensures sustained capital flow for port modernisation, logistics infrastructure, and coastal development projects.

Strengthening Maritime Linkages

The Bahuda project will not only strengthen port connectivity through road and rail but also promote port-led industrialisation, inland waterways, and coastal community development. SFCL’s involvement ensures that forward and backward linkages within India’s maritime sector are enhanced, creating a multiplier effect on trade and industry.

A Strategic Hub for Odisha

With its advanced design and massive investment, Bahuda Port is expected to reinforce Odisha’s role as a strategic maritime hub on the east coast. The port will catalyse regional trade, logistics, and industrial development, positioning Odisha alongside India’s most prominent coastal economies.

The development of Bahuda Port represents a bold step towards India’s vision of becoming a global maritime powerhouse, strengthening both national infrastructure and Odisha’s role in international trade.