Kerala’s Vizhinjam Port begins full-scale EXIM operations
Vizhinjam International Seaport in Kerala commenced full-scale export-import (EXIM) operations on August 18, giving exporters and importers a direct route to international markets instead of relying solely on transshipment.
Sectors highlighted for EXIM benefit include seafood, spices, cashew, coir, and engineering goods, all significant to Kerala's export economy.
Until now, the port handled only transshipment cargo (containers transferred between ships without entering Indian trade), with more than 60% of containers linked to third-country movements.
In the initial phase of EXIM operations, roughly 70% of cargo handled will still be transshipment, with the remainder being direct gateway (EXIM) cargo.
A temporary road connection to National Highway 66 has been established, following directions from the National Highways Authority of India, to support cargo evacuation.
Transshipment Ports vs Gateway (EXIM) Ports
A transshipment port receives cargo from a "mother vessel" on an international route and transfers it to smaller feeder vessels bound for other ports, without the cargo entering the domestic economy. A gateway or EXIM port, by contrast, directly loads and unloads cargo meant for import into or export from the country where the port is located. Vizhinjam's transition marks its evolution from a pure transshipment hub to a dual-role port.
Key Details
- India previously lacked a deep-water transshipment terminal, causing an estimated 70-plus lakh TEUs (twenty-foot equivalent units) of India-bound/origin cargo to be transshipped annually through foreign hub ports such as Colombo (Sri Lanka), Singapore, and Jebel Ali/Salalah — a phenomenon termed "cargo leakage."
- Vizhinjam is located roughly 10 nautical miles from the main East-West international shipping lane, one of the world's busiest maritime corridors, minimising deviation time for mother vessels.
- The port has a natural draft of approximately 18-20 metres close to shore, among the deepest natural harbours on the Indian coast, allowing Ultra Large Container Vessels (ULCVs) to berth with minimal dredging.
- Since commercial operations began in December 2024, Vizhinjam has handled roughly 500 vessels and over 1.1 million TEUs of transshipment cargo, exceeding its initial projected capacity.
By adding EXIM capability, Vizhinjam now captures value from both transshipment fees (as India's answer to Colombo/Singapore) and direct export-import trade for Kerala's own producers, reducing dependence on foreign hub ports and cutting logistics costs for exporters in the region.
Sagarmala Programme and Port-Led Development
Sagarmala is the Government of India's flagship programme for port-led development, launched to modernise India's ports, improve port connectivity, and promote port-linked industrialisation, thereby reducing logistics costs for India's export-import trade.
Key Details
- Sagarmala was approved by the Union Cabinet in 2015, building on India's roughly 7,500 km coastline spread across nine coastal states and four Union Territories.
- Its four pillars are port modernisation, port connectivity enhancement, port-linked industrialisation, and coastal community development.
- Major ports in India are now governed under the Major Port Authorities Act, 2021 (replacing the Major Port Trusts Act, 1963), giving port authorities greater financial and operational autonomy.
- Vizhinjam itself is a state-sector project developed by the Kerala government in partnership with a private concessionaire (Adani Ports and Special Economic Zone Ltd) under a build-operate-transfer model, distinct from the 12 Union-government-owned Major Ports.
Vizhinjam's EXIM launch is a concrete example of the port-led development and cargo-diversification goals central to Sagarmala, positioning Kerala's south coast as a new international trade gateway alongside established Major Ports like Kochi (Cochin) and Tuticorin.
Coastal Geography of the Indian Peninsula and Shipping Lanes
Vizhinjam's location near Thiruvananthapuram, at the southern tip of peninsular India, gives it proximity to the East-West international shipping route connecting Europe, the Middle East, and East Asia — a geographic advantage over India's other major container ports located farther from this route.
Key Details
- Vizhinjam is positioned close to the international shipping lane, allowing shipment times of about 22 days to Europe (versus roughly 40 days via other regional ports) and about 35 days to the US, according to industry estimates.
- India's major container ports (Jawaharlal Nehru Port at Nhava Sheva, Chennai, Kolkata/Haldia, Kochi) are comparatively removed from the main east-west trunk route, requiring feeder connections to foreign transshipment hubs.
- Kerala's coastline stretches roughly 590 km along the Arabian Sea, with Vizhinjam offering a naturally deep, low-siltation harbour due to minimal littoral drift in the area.
The combination of natural deep draft and proximity to the shipping lane is the core geographic rationale that let Vizhinjam attract ultra-large mother vessels for transshipment, and now underpins its expansion into direct EXIM trade for south India.
- EXIM operations commenced: August 18, 2026
- Cargo mix in initial EXIM phase: approximately 70% transshipment, 30% EXIM (gateway) cargo
- Natural draft depth: approximately 18-20 metres
- Distance from main East-West shipping lane: approximately 10 nautical miles
- Port operational since (transshipment): December 2024
- Cumulative vessels handled (as reported): approximately 500; cumulative TEUs handled: over 1.1 million
- Estimated shipping time to Europe from Vizhinjam: approximately 22 days (versus ~40 days via other regional ports)
- Sectors highlighted for EXIM benefit: seafood, spices, cashew, coir, engineering goods
- Governing legal framework for major ports: Major Port Authorities Act, 2021