New Delhi, Aug 31: With an eye on boosting iron ore exports from Goa, the Cabinet Committee on Economic Affairs, chaired by Prime Minister Narendra Modi, on Wednesday approved redevelopment of two major berths and other barge berths at the state's Mormugao port through public private partnership.
The estimated cost of the project is Rs 1,145.36 crore and it is expected to be completed within 36 months from the date of award of concession, said a cabinet communique.
As part of the project, berths 8 and 9 and other barge berths, at the port will be reconstructed and the existing 38-year-old equipment will make way for creation of new facilities for handling a variety of cargo like iron ore, bauxite, gypsum, limestone, fertilizers, steel coils and other general cargo at the port, catering to ships up to 1,85,000 DWT.
The existing capacity of these old berths with the present iron ore handling equipment is 13 million tons per annum.
As a result of modernization of these berths, more efficient operations and utilization of deeper draft of 19.5 metres being created in the port, an incremental capacity of 6.22 MTPA would be added.
Construction activity includes construction of berths, buildings, railway lines, dredging and reclamation and installation of equipment.
The labour intensive project is expected to generate direct and indirect employment to the tune of 400 people per day.
The project is also expected to contribute to industrial growth of Goa and will have a positive effect on industries such as steel, power, iron ore, agriculture and cement, the statement also said.
This project, which will incorporate state of the art technology to address environment concerns, is primarily meant for export of iron ore to meet the growing demand for it due to the lifting of ban on its export.