The task of constructing Chennai, Tamil Nadu’s first multimodal logistics park (MMLP) has been given to Reliance Industries Ltd (RIL). The MMLP, a key component of the Center’s reform of its logistics, will cover 184 acres and cost Rs 1,424 crore, according to the Ministry of Road Transport and Highways (MoRTH).
The ministry also stated that a special purpose vehicle (SPV) created by federal and state agencies will provide the project with the necessary supporting infrastructure.
Details on the Construction of India’s first multimodal logistics park has been granted to RIL
“The SPV would deliver 5.4 km of 4 lane national highway connectivity at an estimated cost of Rs 104 crore and 10.5 km of new rail siding at an estimated cost of Rs 217 crore,” MoRTH stated.
RIL, with an estimated investment of Rs 783 crore, was chosen as the successful bidder for the public-private partnership (PPP) project. The Center anticipates that the project’s initial phase will be finished in two years.
“A logistical hub for the southern region will be the MMLP in Chennai, which is conveniently placed 52 km from Chennai Port, 80 km from Ennore Port, and 87 km from Katupalli Airport. In a 45-year timeframe, it is anticipated to handle 7.17 million metric tonnes (MMT) of cargo “in line with MoRTH.
Given that it is on the high-priority list of projects that Prime Minister Narendra Modi inaugurated under the Centre’s project monitoring system, the project would likely be under the scrutiny of the highest echelons of the government. It is also one of the several showpiece projects under the MoRTH’s Bharatmala Project, which calls for the construction of 35 similar MMLPs.
Within the following two years, the Center intends to construct 15 of them. In order to increase the competitiveness of exports and the effectiveness of supply chains, it seeks to reduce logistics costs to under 10% of GDP under the National Logistics Policy (NLP) and PM-GatiShakti.
If all goes according to plan, MMLPs will be a long-awaited answer to India’s logistical problems. These will serve as hubs for the delivery, storage, and storing of freight, giving logistics firms additional incentives like customs clearances. To strengthen and diversify the logistics system, these parks will also promote multimodal transit across inland waterways, railways, and highways.