JSW Infrastructure Limited , a key player in India's port infrastructure sector, has made significant strides in expanding its operations in Eastern India. The company's wholly-owned subsidiary, JSW Kolkata Container Terminal Private Limited, has recently signed a crucial 30-year concession agreement with the Syama Prasad Mookerjee Port Authority in Kolkata.

Project Details

The agreement covers the reconstruction and mechanization of Berth Nos. 7 and 8 at Netaji Subhash Dock. This project will be executed on a Design, Build, Finance, Operate and Transfer (DBFOT) basis through a Public-Private Partnership (PPP) mode.

Timeline of Events

• July 7: JSW Infrastructure received the Letter of Award for the project.
• August 1: The company incorporated JSW Kolkata Container Terminal Private Limited as a wholly-owned subsidiary specifically for this project.
• September 15: JSW Kolkata Container Terminal Private Limited signed the concession agreement with the Syama Prasad Mookerjee Port Authority.

Strategic Importance

This agreement marks a significant milestone for JSW Infrastructure, as it strengthens the company's presence in the eastern part of India. The 30-year concession period provides a long-term opportunity for the company to contribute to and benefit from the growth of port infrastructure in the region.

Company's Disclosure

In compliance with Regulation 30 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015, JSW Infrastructure Limited promptly informed the stock exchanges about this development. The disclosure was made in accordance with the SEBI Master Circular.

The move aligns with JSW Infrastructure's strategy to expand its port operations and enhance its capabilities in handling container traffic. As the project unfolds, it is expected to play a crucial role in improving the efficiency and capacity of the Kolkata port, potentially boosting trade and economic activities in the region.

JSW Infrastructure Limited, India's second-largest private commercial port operator, has made a strategic move to enhance its logistics capabilities. The company, through its wholly-owned subsidiary JSW Port Logistics Private Limited, has acquired a brownfield rail siding in Kudathini, Ballari, Karnataka, for ₹57.00 crore.

Strategic Acquisition Details

The acquired rail siding, previously owned by Hothur Ispat Private Limited, spans 85.71 acres. This acquisition is part of JSW Infrastructure's broader vision to establish a pan-India logistics network and solidify its position as a leading integrated logistics player.

Development Plans

JSW Infrastructure has ambitious plans for the newly acquired site:

• Transform the rail siding into a state-of-the-art Multi-Modal Logistics Park (MMLP)
• Feature modern land infrastructure, container handling systems, a Rail Freight Terminal (RFT), and a fully equipped Inland Container Depot (ICD)
• Commence commercial operations within the next six months, with a phased ramp-up approach

Investment and Future Outlook

The company's commitment to this project extends beyond the initial acquisition:

• Total capital expenditure estimated at ₹380.00 crore, including the ₹57.00 crore acquisition cost
• Investment to be deployed over the next few years, alongside ongoing commercial operations, to fully develop the site into a comprehensive logistics hub

Strategic Importance

The Kudathini siding acquisition holds significant strategic value for JSW Infrastructure:

• Located near JSW Steel's flagship Vijayanagar plant and other JSW Group facilities, including Cement, Paints, and Energy operations
• Offers logistical advantage for efficient movement and swift evacuation of raw materials, intermediates, and finished goods
• Proximity to an established industrial ecosystem presents significant potential for expanding third-party cargo volumes

Addressing Regional Logistics Gaps

The acquisition addresses a crucial logistics gap in the Ballari region:

• Current lack of a rail-linked Inland Container Depot (ICD) in the area
• Containerized EXIM cargo currently transported by road, increasing logistics costs and inefficiencies
• Proposed ICD expected to substantially lower logistics costs while delivering a fully integrated logistics solution to regional customers

Expanding Capacity and Services

This acquisition aligns with JSW Infrastructure's broader growth strategy:

• Aim to expand total cargo-handling capacity from the current 177 million tonnes per annum (MTPA) to 400 MTPA by 2030 or earlier
• Working towards offering last-mile connectivity and end-to-end logistics solutions to customers

The acquisition of the Kudathini rail siding marks a significant step in JSW Infrastructure's expansion plans, reinforcing its commitment to enhancing India's logistics infrastructure and providing integrated solutions to its growing customer base.