Union Budget 2026–27: Re-Engineering India’s Infrastructure Growth Story
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72000 Crore Mega Project by Shipping Ministry (UPS)
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- January 06, 2025
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The Union Shipping Ministry has proposed an ambitious ₹72,000 crore Great Nicobar Mega Project to transform the island into a "Global Port-Led City." The plan includes key infrastructure developments like an international cruise terminal, a ship-breaking yard, and eco-tourism hubs. It builds upon existing approvals for an international container transshipment port, a military-civil airport, a greenfield township, and a power plant. The project, led by ANIIDCO and supported by NITI Aayog, envisions leveraging the island’s strategic location on international sea routes to boost trade, tourism, and maritime activities. However, the plan faces criticism over environmental concerns, as it involves diverting 130 sq km of tropical forest. Despite these challenges, forest and CRZ clearances were granted in 2022.
The development blueprint features several transformative initiatives, such as a transshipment terminal with a capacity of 14.2 million TEUs, a joint military-civil international airport capable of handling Airbus A-380 aircraft, and a township with zones for tourism, commerce, and residential use. A power plant, combining solar, gas, and diesel energy, is planned to sustain the city's energy needs. Campbell Bay is set to become an export-import hub, complementing the strategic and economic vision. Despite government assurances, concerns remain about environmental degradation and the lack of transparency in obtaining clearances, highlighting the tension between development and ecological priority.
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