Sagarmala Project : Major Infrastructure Boost for Manufacturing Industries

The Sagarmala Project was initiated by the govt of India to market port-led development in India. The project aims to harness the 7500 km long coastline of the country to unleash its economic potential.more than 610 projects are identified for implementation under this project. The project also seeks to spice up the infrastructure for transporting goods to and from ports quickly, efficiently, and cost-effectively.

Sagarmala Programme will reduce logistics costs for EXIM and domestic trade with minimal infrastructure investment. This includes reducing the amount of cost of transporting domestic cargo through optimizing modal mix, lowering the logistics cost of bulk commodities by locating future industrial capacities near the coast, improving export competitiveness by developing port proximate discrete manufacturing clusters, and optimizing time/cost of EXIM container movement.

Sagarmala Project Components

• Port Modernization & New Port Development: De-bottlenecking and increasing the capacity of existing ports and development of latest greenfield ports
• Port Connectivity Enhancement: Enhancing the connectivity of the ports to the hinterland, optimizing cost and time of cargo movement through multi-modal logistics solutions including domestic waterways (inland water transport and coastal shipping)
• Port-linked Industrialization: Developing port-proximate industrial on the brink of ports clusters and Coastal Economic Zones to scale back logistics cost and time of EXIM and domestic cargo
• Coastal Community Development: Promoting sustainable development of coastal communities through skill development & livelihood generation activities, fisheries development, coastal tourism, etc.

The project will decrease the value of transporting domestic cargo by optimizing the modal mix and will identify future industrial capacities near the coasts to scale back the logistics cost of bulk commodities and Optimizing the time-cost of export-import container movement. Development of discrete manufacturing clusters on the brink of ports to reinforce export competitiveness.

The project seeks to lower the logistics cost for export-import and domestic cargo through optimized investment in infrastructure. The scheme also seeks to make up to 40 lakh new direct jobs and 60 lakh new indirect jobs.