Context:

Recently, the Central government has notified the international trans-shipment hub at Galathea Bay in the Andaman & Nicobar Islands as a 'Major Port'.

Galathea Bay Port

• It is to be developed as an International Container Transhipment Port (ICTP).
• The port is envisaged to be developed in four phases with Phase 1 is proposed to be commissioned in the year 2028 with a handling capacity of around 4 Million TEUs (1 TEU=twenty-foot equivalent unit), increasing to 16 Million TEUs in the ultimate stage of development by 2058.
• The proposed Rs 44,000 crore mega project is officially under the administrative control of the Union ports, shipping, and waterways ministry.
• It is now eligible for central funding and will be developed under the public-private partnership model.  

Significance of the project

• It is a huge advantage to EXIM trade as it lies on the International shipping route. 
• Currently, nearly 75% of India’s transshipped cargo is handled at ports outside India.
• The port will increase significant benefits such as forex savings, foreign direct investment, increased economic activity at other Indian Ports, and enhanced logistics infrastructure. 
• This project will help capture a large share of transshipped cargo which is handled at ports outside India.
• The development of this Mega Container Terminal is a part of the holistic development of Great Nicobar Island. 

Ports in India

• Ports are classified as Major and Minor Ports according to the jurisdiction of the Central and State governments as defined under the Indian Ports Act, of 1908. 
• Major Ports (12) are owned and managed by the Union Ministry of Ports, Shipping and Waterways. (Central Government) and Minor ports/Nonmajor (200) are owned and managed by the State Governments.

• There are 12 Major Ports: - Chennai, Cochin, Deendayal (Kandla), Jawaharlal Nehru (Nhava Sheva), Kolkata, Mormugao, Mumbai, New Mangalore, Paradip, V. O. Chidambaranar (Tuticorin), Visakhapatnam, and Kamarajar Port Limited.