GALATHEA BAY PORT (Syllabus: GS Paper 3 – Economy)

Context: The centre has notified the international trans-shipment hub at Galathea Bay in the Andaman & Nicobar Islands as a 'Major Port'.

Galathea Bay Port

• About: It is being developed as an International Container Transshipment Port (ICTP).

oA transshipment port serves as a hub where cargo is transferred between vessels for onward shipment to its final destination.

• Location: It is situated in the Great Nicobar Island of Andaman and Nicobar Islands of India.
• Eligible: It is also eligible for central funding and will be developed under the public-private partnership model.
• Developed in four phases: Phase 1 is proposed to be commissioned in the year 2028 with handling capacity of ~ 4 Million TEUs, increasing to 16 Million TEUs in the ultimate stage of development by 2058.
• Under the Maritime Amrit Kaal Vision 2047, four port clusters with a capacity of more than 300 MTPA and two with capacity more than 500 MTPA will be developed.

Significance of Galathea Port

• Trade Facilitation: ICTP at Galathea Bay will enhance EXIM trade by leveraging its location on a key international shipping route.
• Forex Savings: By reducing reliance on foreign ports for transshipment, the project will save foreign exchange and attract foreign direct investment.
• Boost to Indian Ports: Increased economic activity will benefit other Indian ports by redistributing cargo and fostering regional trade.
• Proximity to Key Choke Points: The port’s location near strategic chokepoints like the Malacca Strait will offer advantages in global shipping routes.
• Connectivity: The port will strengthen India’s connectivity with major international routes connecting Europe, Africa, and Asia.