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

The developers behind the upcoming Vadhvan Port Project, set to become India’s largest shipping port, are seeking to raise up to ₹300 billion (approx. $3.5 billion) in long-term debt as part of an ambitious move to reshape port logistics in supply chain infrastructure under Prime Minister Narendra Modi’s marquee infrastructure initiative.

Located just north of Mumbai, the Vadhvan Port, once completed, is expected to rank among the top 10 ports globally, capable of handling approximately 23 million TEUs (twenty-foot equivalent units) annually. The project, led by Vadhvan Port Project Ltd., is majority-owned (74%) by the Jawaharlal Nehru Port Authority (JNPA), with the remaining 26% held by the Maharashtra Maritime Board (MMB).

Unmesh Sharad Wagh, Chairman of JNPA and Managing Director of the project, stated that the debt raise will be executed in two phases, with tenors ranging from 15 to 20 years, through both onshore and offshore markets. IDBI Capital is acting as the advisor for the first round, which aims to raise ₹220 billion to fund port infrastructure development and technology integration.

This project plays a vital role in easing India port congestion and boosting freight handling capacity. With a natural depth of 20 meters, Vadhvan Port will be one of the few Indian ports deep enough to dock ultra-large container vessels currently rerouted due to port congestion in India and depth constraints at existing terminals.

The port will serve as a key node in the India-Middle East-Europe Corridor, a strategic economic initiative designed to improve trade routes and reduce bottlenecks across regions. It also aligns with the government’s vision for smart port and supply chain systems by integrating digital technologies, smart logistics, and efficient freight flow.

Wagh noted that approximately ₹130 billion will be invested jointly by JNPA and MMB. Additionally, discussions are underway with multilateral financial institutions to support land reclamation efforts spanning 1,200 hectares.