Leading private sector ports operator, Adani Ports, has confirmed that it is to invest in a new container terminal at Yangon Port in Myanmar at a cost of around US$ 290 million. Construction work for phase one of the project is expected to start in June this year and will take around two years to complete.
The project will be undertaken under a BOT (build, operate, transfer) lease agreement with the Myanmar government over 50 years with options for two 10-year extensions. The new terminal, which will have three berths totalling 635m in length, will initially have capacity to handle around 500,000 teu a year in its first phase, rising to 800,000 teu in future. Adani has promised to invest in modern container handling equipment to increase port operating efficiency and reduce vessel turnaround times.
Karan Adani, chief executive, said: “We are proud to be the first Indian company to set up a container terminal outside India. With a good balance of EXIM trade and a 10% growth prospect, the project is an ideal investment for us.” Employment for up to 1100 local people could be generated, he added.