Syama Prasad Mookerjee Port, Kolkata (SMPK) and the Inland Waterways Authority of India (IWAI), through Balagarh Port Infrastructure Development Ltd (BPIDL), have invited private developers to develop and operate a INR 407-crore (US$42.6 million) container and bulk cargo terminal at Balagarh in Hooghly, West Bengal, under a 30-year PPP concession.

It is aimed at easing congestion caused by cargo movement through Kolkata’s urban areas, reducing logistics costs and establishing an alternative trade hub outside the city. The proposal includes the development of container and coal berths along with cargo-handling mechanisation facilities. The land required for the development is already available with SMPK. The selected private concessionaire will be responsible for developing and operating the facility under a Design-Build-Finance-Operate-Transfer (DBFOT) model. Following the bidding process, BPIDL will enter into a 30-year concession agreement with the successful bidder.

The contract will be awarded based on the highest royalty offered per metric tonne of cargo, with preference given to the bidder proposing the highest royalty payment to BPIDL. The planned berths are expected to provide annual capacity of 1.9 million tonnes for container cargo and 0.8 million tonnes for bulk cargo. SMPK intends to shift part of its operations to Balagarh to address restricted cargo movement within Kolkata and accommodate projected growth in traffic.

The proposed facility is intended to decentralise port-related cargo operations beyond Kolkata’s existing operational zones. By adding container and bulk cargo handling capacity in Hooghly, the project is expected to create an additional cargo-handling location supporting the broader Kolkata port system. The project’s next key milestone will be the bidding process and appointment of a private concessionaire. BPIDL is expected to issue the work order within the next year, with commercial operations targeted to commence by October 2029.