Odisha would be benefitted most when the Ministry of Railways will take up 21 port-rail connectivity projects at an estimated cost of more than Rs20,000 crore under the Sagaramala programme.
These port-rail connectivity projects have been identified as part of the National Perspective Plan, April 2016. The projects include development of heavy haul rail line from Ib Valley and Talcher to Paradip.
The project would help in transportation of thermal coal from Mahanadi Coalfields limited (MCl) to various coastal power plants in southern India via coastal shipping.
Other rail connectivity projects to major ports like Tuticorin and non-major ports like Dhamra, Gopalpur and Krishnapatnam have also been proposed.
These projects, to be undertaken by the India Port Rail Corporation ltd (IPRCl) will enhance port connectivity to the hinterland and help in reducing logistics cost and time for cargo movement making Indian trade more competitive, according officials.
The IPRCl, incorporated by the Ministry of Shipping, has already awarded three port connectivity projects for Vishakhapatnam and Chennai ports for quick evacuation of cargos and another 19 projects are in the pipeline.
The Sagaramala programme of the Ministry of Shipping aims to achieve capacity expansion and modernisation of sea-ports along India’s coastline, enhance port connectivity to the hinterland, facilitate port led- industrialisation to promote trade and sustainable development of coastal communities.
More than 150 projects have been identified which will mobilise investment of more than Rs4 lakh crore and generate approximately one crore new jobs, including 40 lakh direct jobs, over a period of 10 years.
These projects are expected to generate annual logistics cost savings of close to Rs35,000 crore and provide boost to India’s merchandise exports by $110 billion by 2025.