Two of India’s large industrial groups — Vedanta and Essar — are vying for a $154 million project to build an ore handling complex at the port of Vizakhapatnam. The project is to be awarded on a design, build, finance, operate and transfer basis. It involves upgrading of an existing terminal and also the creation of a new facility.

The existing iron handling capacity at the port was originally 12mt (million tonnes), but with the new facilities in place this could rise to 23mt. Last year it handled 12.24mt of iron ore, compared to 16.07mt the previous year, much of this being a result of the ban on the export of iron ore from some regions of India.