Adani Ports (Adani) has entered into a non-binding Memorandum of Understanding with L&T Shipbuilding (L&T) for evaluating the operations of the port at Kattupalli, Tamil Nadu. The development comes amid reports that Gautam Adani-led Adani group is likely to take over the operational and management control of L&T Kattupalli International Container Terminal near Chennai to strengthen its presence on the east cost.

The Ahmedabad-headquartered group, which already operates the country’s busiest port at Mundra in Gujarat, has bagged the order with an estimated cost of Rs 4,089 crore with 4-year timeframe for commissioning of the project.

At present, about one million TEUs of Indian cargo are getting trans-shipped through foreign ports like Colombo. Development of Vizhinjam port will help in cost saving to Indian trade as the boxes can be trans-shipped at a lower cost from Vizhinjam port.

Adani Ports and Special Economic Zone or APSEZ operates ports in Mundra, Hazira, Tuna-Tekra (Kandla) and Dahej in Gujarat, Dhamra in Odisha and specialised coal handling facilities in Mormugao in Goa and Visakhapatnam in Andhra Pradesh. It is setting up a container terminal at Ennore in Tamil Nadu. APSEZ is part of the Adani group, which is one of India’s leading business houses with a revenue of over USD 10 billion.