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

News-CRUX-10     7th September 2024        
QEP Pocket Notes

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.
QEP Pocket Notes