India’s Maritime Strategy: IPGL Prepares for Domestic and African Growth

India is set to elevate its lesser-known port operator, India Ports Global Ltd (IPGL), from the background into a more prominent role. Previously mostly active in strategic locations like Chabahar in Iran and Sittwe in Myanmar, the state-run firm is now positioned to manage crucial domestic terminals, focusing particularly on oil handling facilities, as India gears up for an ambitious expansion into Africa.

At the core of this initiative is Bharat Global Ports, a newly established state-owned consortium introduced by the Minister of Ports, Shipping, and Waterways, Sarbananda Sonowal, in February.

The consortium aims to provide comprehensive port infrastructure solutions, managing everything from terminal operations and financing to logistics and connectivity. IPGL is set to be the operational arm of this ambitious project.

For several years, IPGL has been managing operations at Chabahar, which serves as a strategic asset in Western Asia, and has recently taken on operations at Sittwe in Myanmar, while also investing in Kankesanthurai in Sri Lanka, another key strategic location.

The government now intends to immerse IPGL in commercial port operations, starting domestically. This strategic shift is viewed as essential for the port operator to gain valuable experience within the country.

This domestic focus is seen as a critical launchpad for future international endeavors.

“In government-to-government discussions, we have promoted IPGL as a state-supported port operator. However, there are questions about its experience in the domestic market and its operating parameters here. Before expanding internationally—especially into Africa—we aim to provide it with operational experience in Indian ports,” an official commented.

Supported by the Ministry, IPGL is prepared to take over jetties, terminals, and soon-to-expire concessions at major Indian ports—some via direct nominations and others through public-private partnership (PPP) tenders. The goal is to expedite its transition from a strategic operator to a commercially viable port entity.

“Ideally, we would like IPGL to manage domestic terminals. Discussions are ongoing to secure access through nominations as opportunities arise or during expansions at existing ports,” the informed source added.

While enhancing its operations at Chabahar, where a significant ₹4000 crore capital expenditure is in progress, IPGL is also looking toward African ports.

“A repositioning is necessary to increase IPGL’s visibility as part of Bharat Global Ports,” the official stated.

Repositioning in the International Market

The strategic repositioning of IPGL within the larger framework of Bharat Global Ports reflects the intent to position the company as a leader in port development and operations.

In this framework, IPGL is tasked with handling both commercial and administrative operations, while the Sagarmala Development Company, soon to evolve into a maritime non-banking financial company, will fund these initiatives. Additionally, the Indian Port Rail & Ropeway Corporation Limited (IPRCL) will develop essential infrastructure connections like railways and ropeways.

Bharat Global is envisioned as the primary entity providing “comprehensive port-based end-to-end solutions,” encompassing operational management, financing, and transport solutions.

“Our goal is to offer complete solutions under one brand, each backed by specific expertise,” the official noted.

This model is not entirely new—countries like Singapore and the UAE have successfully employed similar strategies for decades, harnessing state-owned port giants like PSA and DP World.