PORT SECTOR OUTLINE Glimpse of Gujarat

PORT SECTOR OUTLINE Glimpse of Gujarat

The 1600 kms of coastlie is of strategic importace for the ecoomic developmet of Gujarat. With a pioeerig ad futuristic Port Policy, Gujarat has become a frotruer maritime state of Idia. Istead of cocetratig o just cargo geeratio, we have adopted a iovative policy of port led developmet. Today Gujarat's ports are emergig as the gateway of State's ecoomic prosperity. Smt. Aadibe Patel Ho'ble Chief Miister of Gujarat

Idia - The Preferred Ivestmet Destiatio Advatage Idia Idia raks 2d amog developig ecoomies i Trasatioal Corporatios top prospective host ecoomies for 2013-15 Idia evisaged to be the world s fastest growig ecoomy betwee 2011-2060 Idia is the 3rd most attractive destiatio for FD as per UNCTAD s World Ivestmet Prospects Survey 2012-2014 Developmets Idia has a youg populatio with about 65% i the age group of 15 to 64 years. The media age i the coutry is aroud 26.2 years, which is lower tha may coutries i the world Idia has beefited from growig domestic demad from youg populatio, whose cosumptio is drivig the formatio of expadig middle class. By 2025, Idia is expected to become 5th largest cosumig coutry from its 12th positio i 2010 ADVANTAGE INDIA Idia also raked 2d amog developig ecoomies i Ivestmet Promotio Agecy s Promisig Ivestor Ecoomies for FDI (2013-15) Attractig highest FDI equity iflows (2013-14) Overseas direct ivestmets by Idia compaies more tha doubled to US$ 5.23 b i March 2014 as compared to US$ 2.16 b i March 2013, accordig to the data released by the RBI Idia s ecoomy is the 3rd largest by purchasig power parity (PPP) ad eleveth largest by omial gross domestic product Service 51% 4% Housig, Real Estate & Costructio Telecommuicatios Drugs & Pharma 18% 5% 4% 11% 7% Metallurgical Id. Others Chemicals other tha fertilizers Doig Busiess i Idia A total of 54 Idia compaies have made their mark i the FORBES aual list of the world s 2,000 largest ad most powerful public compaies 2 The total value of Idia s listed compaies is expected to cross US$ 1.5 trillio mark withi the ext 12 moths. Idia has also etered the top 10 club of coutries by market capitalisatio Idia is oe of the key G-20 ecoomies Sources: IBEF Report, RBI Data, World Bak Data

GUJARAT - ECONOMIC SNAPSHOT Idustrial Base Populatio Geographic Area No. of Factories No. of Employees Net Maufacturig Value Value of Output Exports Gujarat s Ports Cargo 4.94% 6.50% 10.50% 10.14% 17.22% 17.00% 25.00% 41.00% Ecoomic Sapshot GSDP (2012-13: Curret Price) Average Aual GSDP Growth Rate (2004-05 to 2012-13) Istalled Power Capacity Literacy Rate Per Capita Icome (2012-13) Gujarat s cotributio to Idia s GDP Gujarat s share i Idia s workforce INR 6,70,016 16 % 26,126.46 MW 79.3% Rs. 96976 7.5% 9.5% Cotributio of Gujarat - Products & Sectors Largest i the World World s largest gas based sigle locatio spoge iro plat - Hazira 3 World s largest producer of processed diamods - Surat World s largest grass root petroleum refiery - Jamagar World s largest sigle locatio copper smelter - Dahej Idia s First Idia s first private port - Pipavav Idia s first state to eter Carbo Tradig Agreemet with World Bak Idia s first Chemical & LNG termial at Dahej Idia s oly state with Itegrated State-wide Gas Grid

Idia Port Sector at a Glace Idia ports hadle about 95% of Idia s total foreig trade i terms of volume & about 70% i terms of value Idia alog coastlie of 7,517 km has 12 major ports Major Ports INDIAN PORTS 11 major port trusts are govered by provisios of Major Port Trust Act & oe major port, Eore is a Corporate port There are about 200 o-major ports of which 41 o-major ports are i Gujarat Kadla Mumbai Jawaharlal Nehru Port Kolkata Haldia Paradip Vishakhapatam All Idia ports hadled estimated 976 MMT of traffic i 2013-14 of which major ports hadled 556 MMT Marmagoa New Magalore Eore Cheai Cochi Tuticori Ports of Idia State-wise Number of No Major Ports No-Major Ports 43% Major Ports 57% Adhra Pradesh 14 Orissa 2 Tamil Nadu 23 Others 16 Maharashtra 53 4 Kerala 17 Karataka 10 Gujarat 41 I the year 2013-14, the o-major ports together hadled 421 MMT cotributig to about 43% of the overall Idia ports traffic With 309.9 MMT, Gujarat accouts for 74% of the traffic by all the o-major ports of Idia ad 32% of the total Idia ports traffic i 2013-14 Sources: Idia Port Associatio, Miistry of Shippig Data

GUJARAT - THE MARITIME GATEWAY TO INDIA Advatage Gujarat : Strategically Positioed Locatio Advatage of Gujarat Strategically located with 1600 kms coastlie, the logest amog the Maritime States of Idia Nearest maritime outlet to Middle East, Africa ad Europe Highest umber of commercial cargo ports The hiterlad for the ports of Gujarat accouts for 40% of the total Idia trade Gulf of Khambhat & Gulf of Kutch provide atural avigatioal safety ad logistical advatage Progressive, ivestor friedly & liberal port privatisatio policies Vast Hiterlad With Strog Coectivity Hiterlad covers Delhi atioal capital regio, Gujarat, Rajastha, Haryaa, Pujab ad wester Uttar Pradesh. Strategic Locatio & Gateway to West Europe Middle East Africa Strog Pipelie Coectivity Gujarat has a excellet rail-road coectivity ad ideal for multi-modal trasportatio Ports of Gujarat (icludig Kadla) hadled 41% of atioal maritime trade i 2013-14 5 Ports of Gujarat are the Gateway to Idia

About the Gujarat Maritime Board (GMB) GMB is the first autoomous State Board set up i 1982, to develop, admiister ad regulate the Gujarat o major ports. Sice its iceptio, GMB has developed Gujarat as the Numero-Uo State i maritime sector. Presetly, GMB moitors ad cotrols 41 state owed ports of Gujarat. GMB takes pride i developig oe of the most successful ad uique busiess models of operatio, i.e. comig out of service mode of developmet to ladlord port developmet. This model has set a bechmark for other States to follow. Over 3 decades of its presece, GMB has gradually shifted from geeral bulk cargo hadlig to specialized cargo hadlig. For holistic developmet of port sector, GMB is presetly pursuig a itegrated port developmet model, coverig Special Ivestmet Regio ad Port Cities. GMB has a mapower stregth of 2000 employees with required expertise i each domai. GUJARAT MARITIME BOARD GMB s Visio To capitalize o the strategic advatages of the Gujarat Ports ad develop it as a foremost maritime hub with diverse port/ port-led developmets GMB Port Sector Structure Govermet of Gujarat / Ports ad Trasportatio Dept. 6 Gujarat Maritime Board Ports Port Activities Shipbuildig & Repairs Ship-recyclig Yard GMB Operated Ports PPP Ports/ Jetties Safety Traiig Istitute Private Ports Captive Jetties Private Jetties Joit Sector Ports/ Termials

GUJARAT MARITIME BOARD Ladmark Developmets 1982 Formatio of Gujarat Maritime Board the first maritime board i the coutry 1997 Commecemet of first BOOT Policy, ew model of port developmet 1983 Establishmet of Alag Ship Recyclig Yard, the largest i the world 2001 Establishmet of first Chemical Termial at Dahej by GCPTCL 1995 Aoucemet of the first Port Policy of the coutry 2003 Commecemet of first Double-stack cotaier trai at Pipavav 1996 Port of Pipavav became the first private port of Idia 2004 Establishmet of first LNG Termial at Dahej by PLL 2010 2011 2012 2013 Aoucemet of first Shipbuildig Policy i the Coutry Idia s most advaced VTMS uveiled i the Gulf of Cambay Solid Cargo Port Termial SCPT at Dahej Start of coal termial Mudra SEZ & Port Ltd. at Mudra Pipavav Port Double-stack cotaier trai 7 Dahej Port Mudra Port

GMB s Major Developmet Path Year Developmet Capacity Ivestmet MMTPA INR (Crore) 1989 Essar Captive Jetty Hazira 5 189 1991 Reliace Captive facilities Hazira 5 51 1993 Gujarat Ambuja Cemet Mul Dwarka 1 12 1996 IPCL Captive Jetty Dahej 1 42 1997 L & T Pipavav & GACL Mul Dwarka 6 235 1998 Pipavav & Mudra 10 1500 1999 Reliace port termial Sikka 27 2906 DHIL Birla Captive Jetty - Dahej 5 247 2001 GCPTCL Port Termial Dahej 2 906 2002 Rail coectivity Mudra - 157 2003 Cotaier Termial Mudra 1.2 MTEU 400 Rail coectivity Pipavav - 350 2004 Petroet LNG Termial Dahej 5 2800 2005 Augmetatio of Pipavav Port 4 225 2006 Expasio of Captive Jetty by Essar Group 8 185 2006 Expasio of Mudra Port (T-2 bulk termial ad 8 610 additioal 2 cotaier berth) 2007 Establishmet of 1 SPM at Sikka by Reliace Group 10 1000 2007 Expasio of Pipavav Port 5 300 2008 Establishmet of 2 SPMs by Reliace Group at Sikka 25 1500 2008 SPM by BORL at Sikka 12 600 2009 Establishmet of Pipavav additioal termial ad Dredgig 9 500 2010 Developmet of Coal Termial for 15 2000 Ultra Mega Power Plat at Mudra Port 2011 Establishmet of SPM at Bhogat by Cair Eergy 7 1000 2012 Solid Cargo Port Termial SCPT at Dahej 8 1100 Secod SBM ad Crude Oil Termial COT at Mudra 9 900 2013 Termial III uder South Port at Mudra 8-2013 Bulk Geeral cargo termial at Hazira 5-2013 Expasio of LNG hadlig facilities at Dahej 2.5 - GMB s MAJOR DEVELOPMENT PATH 8 Ports of Gujarat

GUJARAT PORTS DEVELOPMENT STRATEGY Past Strategy 1. GMB was established for the purpose of commercializatio of Gujarat Ports 2. GMB built ad operated its ow ports 3. Captive jetty cocept was itroduced for port based idustries Preset Strategy 1. Short term strategy develop Private Jetty ad Log Term Strategy- develop Joit Sector & Private Ports 3. Revival of Old Ports 4. Expasio of Greefield Ports 5. Developig Ship Buildig Yards 6. VTMS Applicatio 7. Disaster ad Eviromet Maagemet Pla Policy Iitiatives of Gujarat for the Port Sector GoG Policy iitiatives for Ports Implicatio for Ivestor Future Strategy 1. Port City Developmet 2. Port-based SEZ/ SIR 3. Coastal Shippig/ Ro- Pax 4. Bukerig facilities 5. Port mechaizatio 6. Port coectivity 7. IPMS Compliace 8. Cleaig & greeig of ports 9. Maritime Cluster Developmet 1982 Formatio of All ports i Gujarat (except the Major Port) Gujarat Maritime Board (GMB) come uder the purview of GMB 10. Maritime Educatio 1987 Captive Jetty Allows private compaies to operate their ow jetties i GMB Ports 1995 Port Policy Allows public private participatio i Gujarat Ports 1997 BOOT Policy Provides operatioal flexibility with tariff freedom, low water-frot royalty 1999 GID Law Gives legal framework & roadmap for PPP 9 2004 SEZ Act (Gujarat) Paves way for provisio of mior ports ad related services i Special Ecoomic Zoes i Gujarat developer to fix ad collect Tariff 2008 Captive Jetty Expasio Paves way for expasio of existig captive jetties 2010 Shipbuildig Policy Allows private compaies to develop shipbuildig parks 2012 LNG Termial Policy Facilitate settig up of ew Greefield LNG Termials ad Floatig Storage ad Re-gasificatio Uits (FSRUs) i Gujarat GoI iitiatives i the Port Sector Implicatio for Ivestor 100% FDI Makes way for iteratioal ivestmet Itroductio of toage tax for Plas for the establishmet of 2 iteratioal ship buildig yards o the east ad west coast through public-private partership Reduces the tax burde o shippig compaies shippig compaies Ivestors ca bid for structured Projects

Port Privatizatio Models Gujarat Maritime Board has multiple port privatizatio models to promote private player participatio i Gujarat ports ad to ehace its holistic developmet 1 2 3 4 5 6 7 8 Gujarat Ports Captive Jetties (BOMT) Private Ports (BOOT) Private Jetties (BOT) Developmet i private termials Rail Likages ( Pvt. Ivestmet) Shipbuildig/repairig yard Coastal area developmet/ Ro-Pax Project Private participatio i support services GMB has successfully developed private ports at Pipavav & Mudra. The traffic at private ports uder GMB has grow at a impressive CAGR of 36.26% from 2003-04 to 2013-14. GUJARAT PORTS: PORT PRIVATISATION MODELS The Mudra Port City developmet has bee framed with a view to facilitate the port based idustries focusig o facilitatio to people workig i port & port based idustries, by creatig residetial, commercial & recreatioal zoes improvig livig stadard of regio. 10 Abidig Growth - Traffic Developig Captive & Private Jetties Gujarat o-major ports hadled 309.9 millio tos of traffic i 2013-14, with CAGR of 14.82% i the last decade. Gujarat ports (icludig Kadla) accout for 41% of traffic i the total atioal port traffic - more tha ay other State. Captive jetties cotribute the largest share of 48.3% followed by private ports with 42.2% i total traffic hadled by Gujarat o-major ports. Captive Jetty / SBM Private Ports Private Jetty Private Termial 2003-04 2013-14 19 29 2 4 9 13 1 1

GUJARAT PORTS: ABIDING GROWTH Sapshot of The Traffic Hadled at Gujarat No-major Ports No-major ports i Gujarat had achieved a moderate 7.7 % aual growth i 2013-14 by hadlig 309.9 millio toes of cargo. Durig the same period, the major ports traffic growth was oly at 1.7%. GMB's share to Natioal No major traffic icreased to 74% i year 2013-14. Commodity-wise Share of Export-import Cargo Share of GMB i Total Traffic at No Major Ports of the Coutry 26% 74% Traffic at GMB Ports i MMTPA 309.9 Traffic at No-Major Ports 110.6 Import of Major Commodity (2013-14) Export: Major Commodity (2013-14) Iro Ore 2% Cotaier Cargo 8% LNG 6% Other 23% Coal 29% Crude Oil 32% Aviatio Turbie Fuel 4% Cemet Cliker 4% Naphta 6% Other 26% Petrol 12% H.S.D. 28% Cotaier 20% 11

Traffic v/s Capacity (MMTPA) 400 387 366 350 323 310 300 284 288 Traffic Capacity 244 259 250 235 231 198 206 200 182 150 135 139 147 152 163 147 153 132 97 108 100 82 84 89 50 0 Year 2001-02 02-03 03-04 04-05 05-06 06-07 07-08 08-09 09-10 10-11 11-12 12-13 13-14 GUJARAT PORTS: ABIDING GROWTH Highlights Gujarat o-major ports traffic (icludig the private ports) has icreased at a CAGR of 14.8% i the last decade The capacity across the ports has icreased from 146 MMTPA i 2003-04 MMTPA to 387 MMTPA i 2013-14 at CAGR rate of 11.4% with utilizatio rate icreasig from 61% i 2003-04 to 80% i 2013-14 12 GMB Ports GMB Jetty Private Port Private Jetty Captive Jetty CAGR 14.8% CAGR 11.6% CAGR 32.3% CAGR 8.4% CAGR 7.4%

GUJARAT PORTS: ABIDING GROWTH Gujarat Ports Gujarat o-major Ports hadled 32% share of total atioal cargo i 2013-14, up from a meager 3% i 1982. GMB 4% GMB 15% Idia 85% Idia 74% 2000 GMB 26% Idia 72% 2011 GMB 28% Idia 69% 2012 Share of GMB Ports i the total Natioal traffic GMB 31% Idia 68% 2013 GMB 32% 2014 GMB 3% Idia 97% Idia 96% 1982 1990 13 GMB Ports Traffic (MMTPA) 1994-95 2001-02 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14 Total Natioal Ports 218 382 636 739 738 817 890 915 935 976 Total Major Ports 196 288 464 519 530 558 570 560 546 555 Total No Major ports 22 96 172 220 208 258 320 355 389 421 GMB Ports 17 83 132 148 153 206 231 259 288 310 GMB's % share to Natioal- Total Traffic 8 22 21 20 21 25 26 28 31 32 GMB's % share to Natioal-No Major Traffic 77 86 77 67 74 80 72 73 74 74

Private Ports Ports Chemical Termial, Dahej LNG, Dahej Solid Cargo Port Pipavav Mudra Port LNG Termial, Hazira Bulk Geeral Cargo Termial Developers Gujarat Chemical Port Termial Compay Ltd. Petroet LNG Ltd. Adai Petroet LNG Ltd. Gujarat Pipavav Port Ltd. Adai Port & SEZ Ltd. Shell Hazira Ltd. Adai Hazira Port Pvt. Ltd. GUJARAT: PRIVATE PORTS Operatioal Private Ports Mudra Port Pipavav Port Hazira Port Dahej Port 14

GUJARAT: PRIVATE PORTS Private Ports Traffic MMTPA 120 100 80 60 40 20 0 Hazira Dahej Pipavav Mudra 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14 Private Ports - 2020 Visio Port Expected total capacity Proposed road projects Proposed rail projects Mudra 254 MMTPA Road sectio of 37 km from Mudra to Gadhidham & Road Sectio of 39km Mudra to Madvi Mudra secod lie to Adipur 64 km Dahej 107 MMTPA Road sectio of 6 km from Dahej to old port Dahej Dahej - Bharuch Broad Gauge Coversio project (67 km) 15 Hazira 89 MMTPA Road Sectio of 40 km from Hazira to Kamrej Hazira Rail Road Co. Ltd. 37 km Rail lik Kasod to Hazira Other Developmets New private ports have bee approved i the State at multiple locatios which will ehace the capacity substatially. Gree-field ports at Poshitra, Nargol, Vasi-borsi, Dahej ad Modhawa are at various stages of implemetatio GMB has also proposed a study to idetify potetial sites for gree-field port developmet.

Shipbuildig Idustry 10 Shipbuildig yards are already operatioal ad 9 Shipbuildig yards with proposed ivestmet of aroud INR 21 b have bee approved by GoG/ GMB ad are at various stages of implemetatio. At preset Gujarat cotributes 89% of the total Shipbuildig orders i Idia (i DWT terms). Coutry s first Shipbuildig Policy has bee aouced i 2010 by the State Govermet with a objective of maitaiig its leadership positio. Cluster form of shipyards i the form of Marie Shipbuildig Parks is beig developed at Dahej ad Bhavagar for iclusive developmet. Gujarat iteds to expad its capacity to 3 millio DWT i Shipbuildig i the ear future. SHIPBUILDING IN GUJARAT Shipbuildig Idustry of Idia 16 Favourable parameters for developmet of ship buildig idustry: Rise i overseas trade resultig i demad of ew ship /ship coversio ad ship repair Idia Peisular coastlie faces iteratioal sea route Availability of favorable locatios for settig up shipyards Availability of resources i terms of steel, machieries, wood, o-ferrous metals etc. Availability of skilled labour at comparatively lower wages Busiess friedly atmosphere Supportive role of the Govermet to promote ad facilitate the shipbuildig idustry Shipbuildig Yarrds (Uits) 20 18 16 14 12 10 8 6 4 2 0 8 19 Public Sector Private Sector

SHIPBUILDING IN GUJARAT Shippig Idustry I Gujarat Icetives/ Advatages Provided By GMB GMB will acquire Govermet lad for MSPs ad other shipyard sites GMB will develop or provide assistace i developmet of lad, ifrastructure, roads, commo user jetty ad safety services. GMB will coduct techical studies ad prepare comprehesive developmet plas for MSP The MSP will have earmarked areas for ameities like istitutes, R&D, Bakig & weigh bridges GMB will provide avigatioal aid ad dredgig at MSP GMB will isure Key aspects like atioal security, defese, eviromet ad ecoomic developmet ad supportive facilities Uique Sellig Propositios of MSP Use of commo ifrastructures i ecoomical maer Reductio i overall productio cost Faster turaroud & reductio i productio cycle Reductio i ivetory ad logistic costs Improved profitability 17

Shiprecylcig i Gujarat SHIP RECYCLING IN GUJARAT Brief o The Type of Ships Visitig Type of Ships Foreig Ships o overseas trade visitig Idia Ports Domestic ships o overseas trade Coastal/Service Vessels Offshore Rig Repairs Navy ad Coast Guard Vessels Other Merchat Vessels i Regio Repair Potetial / Year (Crore) 1150-1400 200 190 300-400 100 500 18 Total 2440-2790 Highlights I the last decade, about 2939 ships have bee recycled ad about 232.6 Lakh toes of LDT has bee procured (2013-14) LDT geerated has grow at a CAGR of 4.48% while that of umber of ships recycled has grow at a CAGR of 0.13% (2013-14)

SHIPBUILDING IN GUJARAT Alag Ship Recylcig Yard Alag-Sosiya Ship Recyclig Yard is the largest Ship Recyclig Yards i the World. I 130 operatioal plots, 40,000 labourers are workig i the yard. So far, more tha 5,924 vessels havig over 43 millio LDT are recycled ad it also provides idirect employmet to 1-1.5 lakh people. The major beefit from Alag ship recyclig idustry is that it saves mieral reserves by producig more tha 4.5 millio tos per aum of re-roll able steel which cotributes about 1-2% of the coutry s demad. Advatageous Locatio Existig Rail Lie Alag Gulf of Khambhat Ahmedabad Beeficial iitiatives take up at Alag Safety Traiig Emphasizig Safety Exclusive facilities for Traiig-Welfare activities Scietific disposal of waste material: Greeer Recyclig Labour Housig Basic Ameities for Workers 19 Number of ships ad LDT hadled at Alag (2013-14) Number of Ships 450 400 350 300 250 200 150 100 294 19.8 196 101 136 136 264 19.4 348 357 29.4 28.2 415 394 38.6 38.3 298 30.7 45 40 35 30 25 20 15 10 Lakh Toes 50 0 2003-04 9.4 2004-05 4.8 2005-06 7.6 6.4 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14 5 0

Idia Port Sector is Poised for High Growth Maritime Ageda 2010-2020 The Maritime Ageda (2010-2020) proposes a ivestmet of INR 1,280 b i 424 projects i major ports ad INR 1,680 b i o-major ports by 2020. It was estimated i the Maritime Ageda that Gujarat aloe would build capacity of 620 MMTPA at estimated INR 742 b. The capacity additio of 620 MMTPA represets 48% share of total capacity additio evisaged by the No-Major ports. May gree-field ports are plaed i Gujarat. The projects are also evisaged i the areas of coal termial, SBM, Cotaier termials ad LNG termials. 12th Five Year Pla (2012-2017) OUTLOOK OF THE PORT SECTOR The 12th Five Year Pla proposes to give thrust to coastal shippig. The pla emphasises the eed for settig up coastal termials at major ports ad improvig the coectivity with the o-major coastal ports. Gujarat is expected to beefit hugely with the promotio of coastal shippig as it is the earest outlet to the orther lad locked states. The total capacity of the port sector is evisaged at 2,289.04 MMTPA. Out of this the capacity of the No-Major ports are expected to be 1059.8 MMTPA. The estimated traffic at the No-Major ports is evisaged at 815.2 MMTPA. Ports of GMB are expected to have a lio s share i the traffic ad capacity of the Nomajor ports. POL, Iro ore, Coal, Cotaiers ad others icludig Fert & FRM are likely to be the major commodities that would be hadled at the ports. 20 Idia Ports Capacity Growth i MMTPA as per 12th Five Year Pla 2500 2289 2000 1500 1427 1000 500 0 2012 2017

FUTURE DEVELOPMENT PLAN Future Developmet Pla Port capacity ehacemet for future Capacity at Gujarat omajor ports is to reach 559MMTPA by 2015-16 As per the Maritime Ageda, capacity at Gujarat s omajor ports would reach 864MMTPA by 2019-20 which is 52% of the total capacity ehacemet at all o-major ports of Idia Port cities ad port based SEZs Gujarat govermet has recetly plaed to develop two greefield cities at Mudra ad Pipavav. Gujarat Maritime Board (GMB) would execute Mudra port city project. Mudra Port City ecompasses a total of 33 villages, coverig total area of approx. 502 sq. km Implemetatio of RO PAX project Govermet of Gujarat has embarked o a pioeerig iitiative, by commissioig RO-PAX Ferry Service at multiple locatios alog the Gujarat coast. A pilot project locatio has bee idetified i Gulf of Khambhat (Cambay) betwee Gogha ad Dahej. Feasibility studies for the other idetified locatio has bee take up Other Plas Procuremet of Hovercraft Implemetatio of IPMS project & IWDMS Icreased coastal shippig & coastal cargo movemet Makig Gujarat the leadig shipbuildig destiatio i South Asia Maritime educatio ad skill developmet Mechaizatio ad Dust suppressio at GMB ports Augmetatio of flotilla uits 21 Port Cities at Mudra & Pipavav Maritime Uiversity Itegrated ad Holistic Developmet of Ports Port Based Special Ecoomic Zoes Maritime Clusters Special Ivestmet Regios Marie Shipbuildig Parks

Opportuities i Ro-pax GoG has embarked o a strategic & pioeerig iitiative, first of its kid i subcotiet of commissioig Ro-Pax Project- Service at multiple locatios alog Gujarat coast. A project has bee idetified i Gulf of Khambhat (Cambay) betwee Gogha & Dahej, which would greatly improve trasport liks betwee Saurashtra & South Gujarat. Proposed project betwee Gogha & Dahej would save travel distace (350 km by road to 31 km by sea) ad would also result i reductio of road cogestio, road accidets & pollutio. Termials uder costructio at Gogha & Dahej at the cost of Rs. 223 crore. A agecy would be selected soo for capital dredgig ad for ferry operatios. By the year 2014-15, it is aimed to complete the work of Termial costructio ad the Capital Dredgig. Termial Costructio - Uder Process Total plot area of termial: 12 hectares ad termial is well coected by four-lae road with Natioal Highway at Bharuch. Dahej is also well coected with broad gauge lie likig Delhi-Mumbai Rail corridor at Bharuch juctio. The railway statio is 3.5 km from the termial Total plot area of termial: 10 hectares ad Gogha termial is coected with two-lae State Highway from Bhavagar. Four lae road will be costructed by the Govermet to coect the port with Natioal Highway which is about 19 km OPPORTUNITIES IN RO-PAX PROJECT Proposed Dahej Termial Proposed Gogha Termial Ro-pax Ferry Service i Gujarat 22 RESPONSIBILITIES OF Itegrated Ferry-cum-Termial Operator of Ro-Pax Fiacig, procuremet/ leasig ad modificatio of vessel Operatio ad Maiteace of the Termial G U J A R A T Operate ferry service Operatio, maiteace ad maagemet of the Project GOGHA DAHEJ Gulf of Khambhat

OPPORTUNITIES IN MARITIME CLUSTER DEVELOPMENT 23 Opportuities i Maritime Cluster Developmet Gujarat s rapidly growig shippig idustry cosists of several players icludig Govermet ports, private ports, shippig compaies, charterers, surveyors, maig agets, ship maagers, maritime lawyers, shippig cosultats, ad so o. Gujarat has see a substatial iflux of shippig ad marie related projects i order to create a geographic cocetratio of itercoected compaies, specialised suppliers, service providers, firms i related idustries ad associated istitutios that ot oly competes but also co operates for cliets eeds & boost the Defece Offsets developmet i Gujarat by developig Naval equipmet ad aval ship maufacturig i the maritime clusters. Highpoits of Maritime Cluster A probable Maritime Cluster could iclude: Shippig lies: Cotaier lies, tramp shippig compaies based out of the State Shippig agets: Icludig freight forwarders Shipbrokers, ship operators, tradig houses: with charterig requiremets & commercial maagers, chemical traders, importers Ship Breakig Compaies Regulators Classificatio service, IMO, Govermet Baks with exposure to shippig lies; commodity trades, Surveyors, Stevedores Port compaies/ marie ifrastructure providers/ fiacial advisors/ cosultats Maritime Law firms, Port Cosultig firms Marie Outsourcig agecies (commercial ad techical) Shippig Ship owers, Charterers, brokers Marie Cluster Support Services Maritime Educatio, Research, Media, Maig Agecies Itermediate Services Isurers, Legal Advisors Idustry Associatio Opportuities arisig out of the Maritime Cluster developmet i Gujarat 1 2 3 4 Chace to leverage the ambitious projects of the Govermet of Gujarat like the GIFT city to provide a very suitable platform for developmet of maritime clusters Opportuity to carry out detailed feasibility study ad strategic aalysis for settig up a Maritime Cluster i Gujarat Opportuity to cater to the ifrastructural, fiacial ad persoel requiremets i the developmet of the cluster Chace to develop allied projects such as Port Cities or a Maritime Uiversity i parallel with the Maritime Cluster

Gujarat: Port Led Special Ecoomic Zoe (SEZ) There are Multi product Special Ecoomic Zoes proposed ear the Gujarat ports Kadla Port SEZ 280 Hectare Multi-product (Fuctioal) Mudra Port SEZ 2733 Hectare Multi-product (Notified & Operatioal) Dahej SEZ 1764 Hectare Multi-product SEZ (Notified & Operatioal) Sterlig SEZ 1263 Hectare Multi-product SEZ (Notified & Operatioal) Reliace SEZ 1764 Hectare Multi-product SEZ (Notified & Operatioal) Other Notified SEZs Welspu SEZ Ltd 284 Hectare at Ajar for Egieerig Adai Port ad SEZ Ltd 168 Hectares FTWZ at Kutch Jubilat Ifrastructure Ltd. 160 Hectares at Bharuch for Chemicals Gujarat Hydrocarbo & Eergy SEZ Ltd 450 Hectares at Bharuch SEZ s across Gujarat Locatio of SEZs i Gujarat Mudra Port SEZ Kadla Port SEZ Reliace Port SEZ Sterlig SEZ Dahej SEZ OPPORTUNITIES: PORT LED SPECIAL ECONOMIC ZONE Essar Hazira SEZ 24 Key Idustries Key Idustries for developmet are as uder: Light & Heavy Egieerig, Textiles, Chemicals ad Pharmaceuticals, Logistics, Petroleum Refiery, Dowstream Processig Idustries, Gems ad Jewellery, Glass ad ceramic, Agro ad Food Processig, Flat Steel products, Wide steel plates, EPC & Fabricatio, Saw pipes, Polypropylee plat

OPPORTUNITIES: MARITIME EDUCATION World-Class Maritime Uiversity i the state The eed of the hour is to attract youg talet ito the challegig maritime sector. Gujarat has bee attractig cosiderable ivestmets i the maritime sector over the last may years. With a series of projects lied up for the state, Gujarat would eed a lot of mapower to ru its port sector Gujarat is cotemplatig a word class maritime uiversity i the state. I-priciple approval received i July, 2014 from GoG. The Uiversity to have shore side courses o maritime trasportatio, policy & admiistratio, maagemet, safety, security ad eviromet protectio ad the focus would also be o research. Iteratioal Collaboratios Maritime Research & Advisory Course that could possibly be offered by proposed Maritime Uiversity Fiace Cosistet Supply of domestic Maritime Professioal & work force Maritime Fiace: Fiacial Maagemet, Maritime Ecoomics, Commercial Law ad Marie Isurace, Accoutig ad Quatitative Decisio Makig Techiques. Law Maritime Law: Maritime Law ad Iteratioal Maritime Covetios, Law of the Sea ad Maritime Security, Maritime & Commercial Law, Legal Framework of Maritime Trasport. Selected Maritime Law ad Policy Issues 25 Proposed Maritime Uiversity Eviromet Maritime Safety ad Evirometal Protectio; Ocea Sciece ad Eviromet, Maritime Casualty Ivestigatio, Marie Eviromet Protectio Stadards, Crisis Maagemet, Cotigecy Plaig ad Search & Rescue, Prevetio ad Combatig of Marie Pollutio Maagemet Port Maagemet; Port Logistics; Port/Cotaier Termial Desig ad Maagemet, Ship Maagemet, Port Logistics ad Plaig, Priciples of Maritime Admiistratio ad Maagemet, Maagemet of Maritime Operatioal Risk Plaig Logistic Operatios: Logistics Iformatio Systems ad Techology; Shippig Market Segmetatio ad Aalysis, Itegrated supply chai maagemet, Charterig practice ad ship brokerig

Opportuities: LNG Termials I Gujarat Gujarat has bee oe of the pioeer states i settig up of the LNG termials, with two operatioal termials. Gujarat has udertake various proactive iitiatives to promote LNG termials i the state. With a view to attract private sector ivestmet i import of atural gas ad it's tradig i Gujarat, the state govermet has itroduced LNG termial policy i the year 2012. LNG Termials i Gujarat Dahej LNG Termial Idia's first LNG receivig, storage ad regasificatio termial was set up at Dahej by PETRONET LNG Ltd. The first phase with a capacity of 5 MMTPA was commissioed i April 2005. Additioal capacity of 5 MMTPA was added i a phased maer. Existig LNG Termials i Gujarat LNG Termials i Idia Operatig Termials Dahej, Gujarat Hazira, Gujarat Dabhol, Maharashtra Kochi, Kerala Total Hazira LNG Termial The Hazira Termial, built at a cost of Rs 3,000 crore i Surat, is regarded as a key foreig direct ivestmet (FDI) project ad represets oe of the largest iteratioal ivestmets i Idia i the eergy sector. The Hazira (Surat) Port is desiged as a deepwater, all-weather ad direct-berthig port. Capacity By 2013 (i MMTPA ) 10.0 5.0 5.0 5.0 25.0 Operated By Petroet LNG Shell GAIL Petroet LNG Mudra ad Pipavav LNG Termials A 5 MMTPA LNG Termial beig developed by GSPC LNG Limited at Mudra i Kutch district. Termial expected to be commissioed by 2016 Gujarat s fourth LNG termial plaed to come up at Pipavav. The termial is expected to have a capacity of aroud 2.5 5 MMTPA. OPPORTUNITIES: LNG TERMINALS IN GUJARAT 26 Other Developmets related to LNG Termials i Gujarat The GOG has also iitiated steps to set up Gujarat s fourth LNG termial at Jafrabad, ear Amreli. GMB has adopted Public Private Partership SWISS Challege Route to develop this gree-field termial with Floatig Storage ad Regasificatio Uit. Apart from the above two projects, Dahej LNG termial also has plas to expad its capacity over the years ad a termial is also proposed i Kadla.

LNG TERMINAL: FLOATING STORAGE & REGASIFICATION UNIT Lg Termial: Floatig Storage Ad Regasificatio Uit (FSRU) LNG Floatig Storage ad Regasificatio Uit (FSRU) is a floatig system which receives LNG offshore, ad the o-board regasificatio system seds out the gas through flexible risers ad pipelie to shore. A FSRU provides the advatages of lower cost, locatio flexibility, shorter decommissioig time ad a potetial reductio i Carbo Dioxide emissios LNG termial with FSRU at Jafrabad Gujarat s fourth LNG termial with Floatig Storage ad Regasificatio Uit (FSRU) is comig up at Jafrabad, ear Amreli. The project is evisaged as all-weather direct berthig port termial facility with 2 breakwaters with a estimated cost of aroud INR 4150 crore. 27 It would have a combied capacity of 10 MMTPA Swa Eergy Ltd is the Origial Project Propoet ad is selected through Swiss Challege Route: This is the first time a developer for a port has bee selected through Swiss Challege Route. The state eergy ad petrochemical departmet had grated I-Priciple approval to the project proposed by SEL i May, 2013.

Private Ivestmet i Port Sector - Gujarat The private ivestmets i port 25000 sector grew at CAGR of 10.23 % 20000 from 2003-2004 to 2013-2014 12758 Ivestmet Treds Opportuities for Ivestors Cummulative Ivestmet i INR Crores 35000 30000 15000 10000 5000 0 2.4 times 30672 2003-04 2013-14 Vibrat Gujarat Global Ivestors Summit (VGGIS) Key Highlights of the Vibrat Gujarat Global Ivestors Summit 2013 Port Sector A total of 63 MoU were siged with a substatial amout of ivestmets i the port sector durig VGGIS 2013. VGGIS-2013 saw massive iterest i developmet of port facilities which evisio total capacity creatio of 660 millio tos by 2015-16. Ivestmets have bee plaed for ew Greefield ports, alog with the expasio of existig ports; Shipyard projects, expasio of captive facilities ad others. Ivestmets of INR 30,432 crore have bee realised by GMB till 2013 GUJARAT: A PREFERRED INVESTMENT DESTINATION Ports & Marie Costructio Hydraulics Eviromet Techology Architecture Rail-Road Ifrastructure Health & Safety Port plaig, Costructio of port projects, Operatios, Simulatios, Electroic Data Iterchage & Dredgig Scaig systems icludig side scaer, multi-beam scaers, Software for bathymetry, hydrography, Uder water surveillace equipmet & Weather/ Meteorological equipmet. Off-shore waste maagemet, Oil spill cotigecy, Eviromet maagemet, Waste water treatmet, Dust suppressio, Smart Moitorig & Coastal Zoe Regulatory Maagemet. Mechaizatio of GMB Ports, Itegrated Port Maagemet System, Trackig systems for vessels ad vehicles Security & surveillace systems &Techology related to harbour vessels. Port buildig desig, Port city pla developmet & Maritime museum desig. Last mile road ad rail coectivity to the existig ad ew port locatios & Gauge coversio projects. Maagemet ad operatio of hospital at Alag i associatio with Employee State Isurace Corporatio. 28

GMB Stake Holders A D A N I 29

Foreig Players Tie-up with GMB Ras Gas - Oma Gaz De - Frace Jakhau P&O, Uited Kigdom Repsol, Spai. SHV Eergy, Netherlads. Kadla Mudra Navlakhi Okha Jamagar Sikka Positra Bhavagar Porbadar Mithivirdi Mahuva Sutrapada Pipavav Jafrabad Chhara Dahej Magdalla Hazira Vasi Borsi Major Port Private Ports GMB Ports Maersk, Demark Niko, Caada Cairs Eergy Shell Gas B.V. Netherlads Nargol Key Cotacts Gujarat Maritime Board http:// www.gmbports.org Idustries Departmet, Govt. of Gujarat http:// www.gujaratidustry.gov.i 30 indextb - Idustrial Extesio Bureau http://www.idextb.com Gujarat Idustrial Developmet Corporatio http://www.gidc.gov.i Gujarat Ifrastructure Developmet Board http://www.gidb.org

Sagar Bhava Sector 10-A Gadhiagar-382 010 Gujarat INDIA Phoe : +91-79-23238346-48 Fax : +91-79-23234703-04 E-mail : ifo@gmbports.i Visit us at : www.gmbports.org