Bhubaneswar , September 19, 2025 : In a major boost to Odisha’s maritime infrastructure, the state government has unveiled plans to develop a new port at Bahuda in Ganjam district with a projected investment of ₹21,500 crore. The project is set to be developed in collaboration with Paradip Port, Visakhapatnam Port, and the Sagarmala Finance Corporation, under a Public-Private Partnership (PPP) model.
A Memorandum of Understanding (MoU) is expected to be signed shortly, marking the official launch of this ambitious project. Sources indicate that the signing may take place in Gujarat, in the presence of Prime Minister Narendra Modi, highlighting the national significance of the project.
Strategic Importance of Bahuda Port
Bahuda, located along the southern coastline of Odisha in Ganjam district, offers strategic proximity to key shipping routes and industrial hubs. Once operational, the port is expected to handle 150 million tonnes of cargo annually, significantly easing the load on existing ports and strengthening India’s eastern maritime corridor.
The new port will complement Odisha’s existing port infrastructure, which currently includes:
- Paradip Port (under central government control),
- Dhamra Port and Gopalpur Port (operated by Adani Ports and SEZ).
Joint Effort of Major Stakeholders
The Bahuda Port project is being developed through a collaboration of:
- Paradip Port Authority,
- Visakhapatnam Port Authority,
- Sagarmala Finance Corporation Limited (SFCL),
Government of Odisha.
The Sagarmala Finance Corporation, now registered as an NBFC (Non-Banking Financial Company) under the Reserve Bank of India, will provide financial assistance for the project. This aligns with the larger Sagarmala Programme, aimed at modernizing India’s port infrastructure and improving logistics efficiency.
Background and Related Developments
Earlier this year, Hemant Sharma, Additional Chief Secretary of Odisha’s Industries Department, had hinted at plans for developing a port in Bahuda. The announcement now confirms that the project has moved beyond preliminary discussions, with feasibility studies and pre-techno-economic assessments already completed.
The project is part of Odisha’s broader strategy to expand its port network. Notably:
- Tata Steel is working on developing a port at Subarnarekha,
- Navayuga Engineering Company is developing another port at Astaranga.
- With Bahuda, Odisha will strengthen its position as one of India’s top states for port-led development, potentially creating thousands of jobs and attracting industrial investment in the region.
Economic and Logistic Benefits
The proposed Bahuda Port will:
- Boost economic activity in southern Odisha,
- Improve export-import logistics for nearby industries,
- Reduce congestion at existing ports,
- Promote trade across eastern and southern India.
By enhancing port connectivity and offering modern cargo-handling infrastructure, the Bahuda Port is expected to become a key maritime gateway for both domestic and international trade.
Next Steps
The official signing of the MoU will pave the way for detailed project planning, land acquisition, environmental clearance, and eventual commencement of construction. Given the scale of investment and its strategic location, the Bahuda Port is poised to become a transformative project for Odisha’s coastal economy.
Conclusion:
With a focus on long-term growth and maritime infrastructure, the Bahuda Port initiative underscores Odisha’s growing role in India’s logistics and trade network. Backed by both public and private stakeholders, the project is not just a regional development effort, but a crucial part of India’s national port expansion roadmap.