Vijayawada, September 26, 2025 – Andhra Pradesh's maritime sector has scripted a remarkable turnaround, clocking a staggering 250 million tonnes (MT) of cargo throughput in the financial year 2024-25 (FY25), a robust 15% leap from the previous year's 217 MT, state officials announced Friday. Spearheading the growth is the Visakhapatnam Port Authority (VPA), India's third-largest by volume and the crown jewel of the state's eastern coastline, which handled a record 82.62 MT—up 20% from 68.85 MT in FY24—driven by surging imports of coal, fertilizers, and containers amid global supply chain realignments. Chief Minister N. Chandrababu Naidu hailed the milestone as a "testament to Andhra's resurgence," while unveiling ambitious plans for a Singapore-inspired logistics upgrade, including AI-driven automation and green corridors, to position the state as Southeast Asia's premier trade gateway.
The achievement, detailed in a joint report by the Andhra Pradesh Maritime Board (APMB) and the Ministry of Ports, Shipping and Waterways, underscores the state's strategic pivot under Naidu's TDP-led government. With six operational ports—Visakhapatnam, Kakinada, Krishnapatnam, Gangavaram, Machilipatnam, and Nizampatnam—handling diverse cargoes from iron ore to edible oils, Andhra contributed over 29% to India's east coast maritime traffic. This comes against the backdrop of national major ports achieving 855 MT overall, a 4.3% YoY increase, but Andhra's non-major ports like Gangavaram (handling 45 MT) amplified the state's edge, capturing 46% of total Indian non-major port volumes.
"Vizag isn't just a port; it's the engine of our economy, fueling ₹1.5 lakh crore in trade value this year alone," Naidu declared at a high-profile review meeting in Amaravati, flanked by Infrastructure Minister G. Kishore Babu and APMB Chairman M. T. Krishna Babu. He credited policy reforms like single-window clearances and ₹5,000 crore in port modernization since June 2024 for the surge, which created 25,000 direct jobs and boosted ancillary sectors like warehousing and trucking.
Vizag's Stellar Run: From Coal Hub to Container Powerhouse
Visakhapatnam Port's 20% growth—outpacing the national average—stems from a cocktail of strategic investments and market dynamics. The port processed 28.5 MT of thermal coal (up 25%), 12 MT of fertilizers (up 18%), and 1.2 million TEUs of containers (up 15%), per VPA data. Key drivers included the commissioning of Berth No. 11 for deep-draft vessels, reducing turnaround time by 30% to 1.5 days, and a ₹2,000 crore green initiative slashing emissions via shore power and electric cranes.
"Vizag's hinterland—spanning Odisha, Chhattisgarh, and Telangana—makes it indispensable for bulk commodities," said VPA Chairman M. Angamuthu, noting partnerships with Adani Ports for Gangavaram's integration, which funneled an additional 10 MT. The port's crude oil throughput hit 15 MT, supporting HPCL's refinery expansions, while agri-exports like rice and tobacco added 5 MT, buoyed by eased export norms.
Yet, challenges persist: Iron ore exports dipped 10% to 8 MT due to global price slumps, and cyclone disruptions in May cost 2 MT. Officials are mitigating this through diversification, with Vizag eyeing LNG regasification by 2026 to tap the green energy wave.
| Port | FY25 Cargo (MT) | Growth (%) | Key Cargoes |
|------|-----------------|------------|-------------|
| **Visakhapatnam** | 82.62 | +20 | Coal, Fertilizers, Containers |
| **Kakinada** | 55.2 | +12 | Edible Oils, LPG, Agri-Products |
| **Krishnapatnam** | 48.5 | +18 | Cement, Iron Ore, Wheat |
| **Gangavaram** | 45.0 | +10 | Coal, Limestone, POL |
| **Machilipatnam** | 12.3 | +25 | General Cargo, Fish |
| **Nizampatnam** | 6.5 | +8 | Salt, Chemicals |
| **Total AP Ports** | **250** | **+15** | Bulk & Containers |
Naidu's Singapore Vision: Tuas Model for AP's Maritime Leap
Fresh from a July 2025 Singapore tour, Naidu is doubling down on a "Tuas-inspired" transformation, modeling Andhra's ports after the city-state's ₹1.7 lakh crore Tuas mega-port—phased for full automation by 2040. During his visit to Tuas Phase 1, Naidu engaged PSA International executives on AI for predictive maintenance, blockchain for cargo tracking, and robotics for handling, aiming to cut costs by 40% and boost efficiency.
"We'll build a port every 50 km along our 1,053 km coastline—four new ones by 2046—linked by an industrial-logistics corridor from Kakinada to Krishnapatnam," Naidu outlined, proposing a ₹10,000 crore consortium with Singapore's Temasek and PSA. Discussions with Singapore's Minister Tan See Leng covered subsea cables for digital connectivity, green hydrogen integration, and data centers near ports, with Naidu inviting firms to Vizag's upcoming tech hub.
The blueprint includes:
Smart Logistics Corporation: A new entity for unified cargo services, IoT-enabled tracking, and drone surveillance, slated for launch by December 2025.
Green Shipping Corridors: Electrified berths and biofuel bunkering at Vizag and Kakinada, aligning with IMO 2050 net-zero goals.
Port-Led Industrialization: 962 acres allocated for clusters, projecting ₹7,565 crore in investments and 1 lakh jobs by 2030.
"Singapore's precision is our inspiration—AP will be the logistics capital of the East, rivaling JNPT," Naidu asserted, referencing a MoU with PSA for pilot automation at Machilipatnam.
Economic Ripple: Jobs, Exports, and Investor Buzz
The cargo boom has supercharged Andhra's economy, contributing 12% to GSDP (up from 9%) and enabling ₹37,000 crore in exports, per Commerce Ministry figures. Container traffic statewide rose 12% to 2.5 million TEUs, with Vizag's International Cruise Terminal drawing 50,000 tourists, injecting ₹500 crore.
Stakeholders are optimistic. "This growth validates Sagarmala's impact—Andhra's ports now handle 25% of India's east coast traffic," said Adani Ports CEO Karan Adani, whose firm operates Gangavaram. The Confederation of Indian Industry (CII) Andhra chapter projects 50,000 more jobs by FY27, but warns of skill gaps, urging vocational training in automation.
Opposition YSRCP's Jagan Mohan Reddy congratulated the milestone but critiqued delays in non-major port upgrades, calling for equitable development. Environmentally, activists like Undavalli Arun Kumar flagged dredging pollution at Vizag, demanding stricter effluent norms.
Charting the Course Ahead
As FY26 dawns, Naidu's administration eyes 300 MT by 2027, with Singapore tie-ups as the linchpin. A ground-breaking for the Kakinada-Vizag corridor is slated for November, potentially unlocking $20 billion in FDI. For Andhra's 1 crore coastal residents, the ports' roar signals prosperity on the horizon—one container at a time.
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