Visakhapatnam Port Trust will become the major stakeholder if the State Government clears the Centre’s offer for construction of a major port at Vadarevu in Prakasam district.
Asked to comment on the offer made by Union Shipping Minister Nitin Gadkari sometime ago, VPT Chairman M.T. Krishna Babu told reporters here on Thursday that the Centre had written a letter to the State Government seeking 3,000 acres.
To give the land to the Ministry of Shipping, the State Government has to scrap the deal with Vodarevu and Nizamapatnam Industrial Corridor Project (VANPIC) and acquire the land for allotment to the Centre for construction of a major port.
Mr. Krishna Babu said the Vodarevu offer was in addition to Dugarajapatnam Port. As construction of a major port as per the AP Reorganisation Act, 2014 was found unviable, the State has been asked to consider an alternative site.
A three-member committee is now studying the proposal on location of alternative port.
To a question on location of Gangavaram Port in the neighbourhood of Visakhapatnam Port, Mr. Krishna Babu said location of two ports in close proximity would always lead to sharing of cargo from the hinterland creating an unhealthy competition. He clarified that as per his opinion there should be a restriction of 100 to 150 km distance for consideration of a new port from an existing one.