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APM Terminals Plans $1B Investment to Develop Indian Ports

Indian port
With Maersk's investment, India looks to develop new logistic hubs at the East Coast ports on the Bay of Bengal (Andhra Pradesh)

Published Aug 22, 2025 6:40 PM by The Maritime Executive


APM Terminals, the terminal operations for AP Moller-Maersk, has entered into an agreement with the authority overseeing ports on India’s east coast along the Bay of Bengal. Under the Memorandum signed in India on August 22, they plan to explore the development of ports to create an “Eastern Gateway” as part of India’s plan to expand trade.

According to officials, the agreement while help realize the vision of creating Andhra Pradesh as the logistics hub of the east. The region has more than 620 miles of coastline. The vision is to develop marine infrastructure such as ports, fishing harbors, and fish landing centers every 30 miles. 

The region is currently home to Visakhapatnam, a port city and industrial center, which is the third-largest port by volume in India and one of the country’s 12 major ports. However, it is mostly a bulker port with smaller container operations in the region. The coast currently hosts a total of 15 ports in eight coastal districts, with five operational non-major commercial ports and four green field projects, which will be operational by 2026.

Working with APM, the goal is to accelerate port and terminal development in the state. APM has expressed its intent as part of the MoU to invest approximately $1 billion to modernize ports and terminals. They will focus on the development of the Machilipatnam, Mulapeta, and Ramayapatnam ports and infrastructure. 

These are three of the ports currently being developed by the authority in the region. In June, the local authorities reported that Ramayapatnam Port was the most advanced with Phase 1 work nearly two-thirds (64 percent) completed. Both Machilipatnam and Mulapeta have completed more than 40 percent of their Phase 1 development.

APM is seen as a logical partner for the next phase of development, with the local officials noting that it is at the forefront of introducing advanced cargo handling technologies, promoting sustainable operations, and enhancing efficiency in container and bulk handling. APM Terminals has been present in India since 2004 and operates two key assets. The Gujarat Pipavav Port is located 152 nautical miles (10 hours steaming time) from Nhava Sheva in Mumbai. It was India’s first public-private port operation and has a capacity for 1.35 million TEU annually.

APM is also in partnership with India for the operations of APM Terminals Mumbai (Gateway Terminals India), which is the largest container facility in the country. Efforts are currently expanding its capacity above 2 million TEU annually.