India's two largest private port operators, JSW Infrastructure (JSW Infra) and Adani Ports and Special Economic Zone (APSEZ), are pursuing ambitious expansion plans worth INR 80,000 crore, driven by anticipated trade growth and the nation's maritime vision, which aims to achieve a cargo handling capacity of 10,000 million tonnes per annum (mtpa) by 2047.

JSW Infra, currently possessing a cargo handling capacity of 170 mtpa, has set its sights on increasing this to 288 mtpa by the end of the fiscal year 2028 and further to 400 mtpa by the end of the fiscal year 2030, targeting a compound annual growth rate (CAGR) of 15 per cent. According to Elara Capital, the company is projected to invest approximately INR 30,000 crore in capital expenditure to reach its capacity goals. Approved projects are expected to enhance its current capacity by 88 mtpa by the end of fiscal year 2030, with additional projects under review potentially adding another 93 mtpa and prospective projects adding an estimated 49 mtpa by that time.

Among the company's major initiatives are the Jatadhar Port in Odisha, Keni Port in Karnataka, and Murbe Port in Maharashtra, which are anticipated to contribute 93 mtpa to its cargo handling capacity. The capital expenditure for Keni Port is projected to be INR 4,119 crore, while Jatadhar Port will require INR 3,000 crore, and the Murbe Port project is estimated to cost INR 4,259 crore.

Recently, the company released its financial results for the second quarter of fiscal year 2025, reporting a remarkable year-on-year net profit increase of 46 per cent. In light of these results, the whole-time director and chief financial officer of the company indicated that the firm is well-positioned to implement its growth strategy aimed at enhancing cargo handling capacity to 400 mtpa by fiscal year 2030 or sooner.

Elara Capital also highlighted that JSW Infra is the fastest-growing port operator, with a volume CAGR of 25 per cent to 106 mtpa during the period from fiscal year 2019 to fiscal year 2024, in contrast to APSEZ's growth rate of 15 per cent.

When discussing future bidding opportunities, the joint managing director and CEO of JSW Infra expressed that while they are uncertain about which terminals will be available for bidding, as one of India's largest terminal operators, they will actively seek opportunities to bid for additional cargo terminals. He mentioned that they would participate in any terminal bidding that aligns with their criteria for internal rate of return (IRR), product profile, and geographical relevance.

Currently, Adani Ports & SEZ, owned by the Adani Group, holds a cargo handling capacity of 627 mtpa, with an estimated capital expenditure of around INR 50,000 crore planned for further expansion. According to Elara Capital, the company's market share is anticipated to rise to 33 per cent by the end of fiscal year 2030.

The whole-time director and CEO at APSEZ stated that the company is keen to leverage opportunities presented by "the India growth story," focusing more on infrastructure and industrialisation. He pointed out that the company aims to sustain its growth trajectory, concentrating on key commodities, including cement, steel, energy, food, and fertilisers, to improve its cargo handling performance and capture a larger market share.

The company's vision for 2030 relies on organic growth at ports such as Dhamra, Gangavaram, and the development of Vizhinjam and Colombo ports, which are expected to start contributing by the end of fiscal year 2025. Additionally, the company is exploring inorganic acquisitions globally, including opportunities in Vietnam and the Dar es Salaam Port. Domestic projects under consideration include Gopalpur Port in Odisha, Syama Prasad Mookerjee Port in Kolkata, Deendayal Port in Gujarat, and a public-private partnership (PPP) at Vadhavan Port in Maharashtra. The company also plans to enhance operational efficiencies through digitalisation, aiming for international volumes to comprise 15-20 percent of its total by 2030.

In terms of logistics, APSEZ's volume has risen by 47 per cent year-on-year. The CEO of the port conglomerate indicated that the next area of focus for the company would be the logistics sector. Meanwhile, the joint managing director of JSW Infra, speaking on the firm's recent acquisition of Navkar Corporation, noted that this acquisition aims to improve last-mile connectivity for customers, thereby increasing customer loyalty to the port.

In conclusion, these expansion initiatives reflect the confidence of India's leading port operators in the country's trade growth and infrastructure development, reinforcing their commitment to meet rising demand and enhance operational efficiencies within the maritime sector.