Vizhinjam Port Begins Full EXIM Operations: A New Gateway for Indian Trade
India’s maritime trade landscape has entered a new phase with Vizhinjam International Seaport in Kerala commencing full-fledged Export-Import (EXIM) operations on August 18, 2026. The development marks the port’s transition from primarily serving as a transshipment hub to becoming a direct gateway for Indian cargo moving to and from global markets. �
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The launch is being viewed as an important step toward reducing India’s dependence on overseas transshipment hubs and strengthening the country’s position on major international shipping routes.
First export containers mark the beginning
The new gateway operations were formally launched on August 18, when Kerala Chief Minister V.D. Satheesan flagged off containers from the port. The event also marked the launch of the state government’s Mission Samudra, aimed at using Kerala’s maritime infrastructure to support trade, logistics and economic development. �
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The commencement follows the completion of regulatory and customs requirements for handling gateway EXIM cargo. The Central Board of Indirect Taxes and Customs (CBIC) had earlier cleared Vizhinjam for EXIM operations subject to specified conditions. �
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Why Vizhinjam is strategically important
Vizhinjam has a major geographical advantage. The port is located close to the main east-west international shipping route, requiring only around a 10-nautical-mile diversion. It also has deep natural waters, with the port designed to handle very large container vessels. �
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This location could allow shipping lines to call at Vizhinjam without making a significant deviation from their international routes.
For Indian exporters and importers, the significance is potentially substantial. Direct gateway operations can provide an alternative to routing cargo through overseas transshipment centres before it reaches its final destination.
From transshipment hub to EXIM gateway
Vizhinjam began commercial operations in December 2024 with a designed Phase-I capacity of 1 million TEUs. The port subsequently recorded strong container-handling performance and established connections with major shipping routes linking Europe, the Americas, Africa and the Far East. �
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The port has also demonstrated its ability to handle ultra-large container vessels. In 2025, MSC Irina, a vessel with capacity of about 24,346 TEUs, made a landmark call at Vizhinjam, demonstrating the port’s capability to accommodate some of the world’s largest container ships. �
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What it could mean for Indian exporters
The start of direct EXIM operations could particularly benefit exporters located in South India, including manufacturing and textile clusters in Kerala, Tamil Nadu and Karnataka.
Industries that could potentially benefit include:
Textiles and garments
Engineering products
Machinery and equipment
Food and agricultural products
Chemicals
Electronics
Auto components
Marine products
A stronger direct shipping network could help businesses reduce dependence on intermediate transshipment locations and potentially improve transit times and supply-chain efficiency. �
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Expansion plans
Vizhinjam’s ambitions extend beyond its current capacity. The port’s Phase-II expansion involves an investment of around ₹16,000 crore, with plans to increase annual capacity to approximately 5.7 million TEUs.
The expansion is expected to add around 1,200 metres of container berth, along with improvements to rail and road connectivity, logistics parks, warehousing and related infrastructure. More than 5,000 additional direct and indirect jobs are expected from the wider development, with accelerated full-phase development targeted for December 2028. �
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The connectivity challenge
While the port’s location and deep-water capabilities provide a major advantage, its success will also depend on efficient road, rail and inland logistics connectivity.
Kerala’s leadership has acknowledged that improving road and rail access to Vizhinjam is essential if the port is to realise its full economic potential. �
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For exporters, a world-class seaport alone is not enough. Efficient first-mile and last-mile transportation, customs processing, container availability, warehousing and reliable hinterland connectivity will determine how competitive the gateway becomes.
A new chapter for India’s maritime trade
The commencement of full EXIM operations represents more than another port milestone. It strengthens India’s ability to participate directly in global container trade and creates a new gateway on the country’s southwestern coast.
If the planned infrastructure expansion and hinterland connectivity develop as expected, Vizhinjam could become one of India’s most important gateways for international cargo, while giving South Indian exporters and importers another strategic option for accessing global markets.
For India’s EXIM sector, the message is clear: Vizhinjam is no longer only a transshipment story—it is becoming a gateway-to-market story. �
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