In this interview, Ashish Rajgarhia, Executive Director of Essar Ports, shares insights on the groups vision to expand its foot print in the port sector.
Could you share an overview of Essar Ports’ current port and terminal capacities, along with the cargo volumes being handled today?
Essar Ports has been one of the foremost port companies in India, having created world-class assets at scale. Over the past three decades, the company created state of the art, mechanised port capacity of 220 MMTPA, covering liquid, dry bulk, and break bulk facilities across East and West coast of India, North America, the UK and Indonesia. We have monetised about 160 MMTPA of capacity at rich valuations. Today, Essar Group has a total port capacity of 60 MMTPA, comprising 20 MMTPA in Salaya, Gujarat. This is an all-weather, deep draft, dry bulk cargo terminal facility. At Salaya, we are also developing a Gati Shakti Railway Terminal under the PM Gati Shakti Scheme, connecting our facility directly to the national railway network and the Western Dedicated Freight Corridor. This will enable Salaya port to cater to the entire North Western hinterland of India. In the UK, we have 8 berths with 3 mn m3 of storage capacity, this is the largest liquid terminal in the UK. In Indonesia we have a 20 MMTPA coal terminal, this is located in coal rich region of Kalimantan. Overall, we are growing as a global player in the industry.
Essar has historically had a strong presence in port operations. After divesting a few assets in recent years, do you see the company re-emerging as a significant player in India’s logistics and port infrastructure sector?
Absolutely. Ports have always been one of Essar’s core businesses, and they continue to hold a key place in our long-term growth strategy. We are committed to expanding our footprint in the port sector globally and particularly in India, recognizing its pivotal role in driving trade, connectivity and long-term economic growth. Further, all of Essar’s industrial units, be it Steel plant, Refinery, Power plant have always been alongside the port, as such, we have a large captive requirement within the group itself which we cater to. Alongside this organic growth, greenfield and brownfield projects, we are also pursuing an inorganic strategy; exploring potential acquisition opportunities, participating in PPP opportunities, and developing inland terminals. Together, these initiatives are aimed at building a portfolio of nearly 200 MMTPA capacity. The focus is on creating green and smart ports that are digitally enabled, environmentally sustainable and globally competitive.
How do you assess the current state of India’s port and logistics infrastructure? With heightened competition among private and public ports, do you still find the sector attractive for fresh investments? The Indian Government has unveiled Amrit Kaal Vision 2047 – a comprehensive roadmap for maritime transformation over next 25 years enabling India’s leap towards a global maritime hub. The objective of it is to cut down business cost, reduce environmental degradation, improve logistical efficiency, and create jobs. The sector is steeped in opportunities as all India Port Capacity is set to increase to 10,000 MMT, and traffic to ~7,000 MMT by 2047. The government aims to attract ₹75–80 lakh crore for maritime investment by 2047, which shows the scale of ambition and opportunity available. The Government of India’s vision through Sagarmala, Bharatmala, PM Gati Shakti, and the 3,300 km Dedicated Freight Corridors are modernising ports, highways, and multimodal logistics, envisions to make India a global hub for trade and connectivity. The port sector has plenty of opportunities, and competition is always positive as it makes port operators more efficient and globally competitive. Over the last two decades, the industry has seen major changes, which have made it one of the most competitive sectors worldwide. This healthy competition will help Indian port players strengthen their position and grow as strong global players, which is exactly what we are aiming for.
In terms of focus areas, are you looking more towards bulk cargo, liquid cargo, or container handling for future investments?
Our focus is on Energy Transition with clear process to handle clean and green cargo like LNG, biofuels, green ammonia and containerised cargo. However, bulk cargo will continue to remain a strong foundation — especially coal, iron ore, and dry bulk linked to power, steel, and industrial growth. Our Salaya terminal is a fully mechanised deep-draft bulk facility, and we are considering expanding it by an additional 50 MMTPA to serve not just traditional bulk but also new segments. Containers, too, are critical for the future. With containerisation in India still below the global average, there is huge potential. We are actively exploring investments in container handling facilities at Salaya, integrated with rail and road corridors, to ensure lower logistics costs for customers in north-west India and beyond. Our future focus will be threefold: strengthening bulk, diversifying into energy-linked liquid cargo, and building capacity for container growth. This mix positions Essar Ports to serve both India’s traditional industries and its new-age growth drivers.
Have you already identified or shortlisted any specific investment opportunities or projects?
At Essar Ports, we are targeting both organic and inorganic growth opportunities as well as brownfield expansion potential. Several opportunities are under assessment, and we are confident that our investments will both complement government initiatives and deliver long-term value. Some of the projects under assessment are linked to Essar’s upcoming industrial units, and others will be on purely merchant basis. Our direction is clear: build ports of the future that can anchor India’s growth story.
From your perspective, what are the key enablers needed to accelerate port infrastructure growth in India? Are there particular policy measures you would like to see streamlined or strengthened?
We have to focus on port-based industries, manufacturing sector, and international trade to drive cargo at port which will enhance the viability of the investment on the new port infrastructure. Accelerating the capacity growth of port sector will require a carefully sequenced set of enablers. In the immediate term, the priority must be to address connectivity bottlenecks by strengthening last mile road and rail links to major ports, simplifying regulatory processes through single window digital clearance, and faster approvals. Medium term focus should shift towards structural transformation – expanding port capacity through new berths, deeper channels and mechanisation. In the broader horizon, India must build fully green and smart mega-ports with AI driven digitised operation. We should keep expanding and modernizing capacity. India has handling capacity of over 2,600 million tonnes a year, but by 2047 we are aiming to touch nearly 10,000 million tonnes as per the Amrit Kaal Vision. Focus should be on building new deepdraft mega ports, while upgrading existing ones with automation and smarter systems.
What is the investment outlay for ports?
Before monetisation, we had 220 million tons capacity. Currently, we are at 60 million tons. The goal is to reinstate capacity to 200–250 million tons, adding 150–200 million tons of new capacity—part captive, part commercial. Investment will be funded through a mix of debt and equity. While we don’t want to quote a number yet, the group is committed to spend whatever capex is required. In broad terms, it could be in the range of $2–3 billion over the next 2–3 years.
Source: Maritime Gateway
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