Chennai A strategic gateway for South India's trade expansion

Known as the “Detroit of India,” Chennai has emerged as a key trade gateway, driven by its robust port infrastructure, expanding air cargo capacity, and thriving automotive sector.

- Parijat Sourabh

Chennai, the capital of Tamil Nadu, has evolved into one of India's most significant logistics and manufacturing hubs. Strategically positioned on the southeastern coast of India, the city serves as a crucial gateway to Southeast Asian markets while maintaining strong connections to domestic industrial centres.

From bustling ports handling massive cargo ships to state-of- the-art automotive plants churning out vehicles for global markets, Chennai's dynamic logistics landscape is reshaping trade in the region and cementing its reputation as South India's commercial powerhouse.

Gateway to Southeast Asia: Chennai's port infrastructure

Chennai's identity as a logistics powerhouse is anchored by its port infrastructure. The Chennai Port, one of India's oldest major ports dating back to 1881, continues to be a cornerstone of the city's maritime trade.

According to data from the Chennai Port Authority, the port handled 51.60 million tonnes of cargo in 2023-24, up from 48.95 million tonnes in 2022-23. Container volume also increased to 1,589,540 TEUs from 1,470,305 TEUs in 2022-23.

The port's infrastructure includes specialised berths for containers, automobiles, and bulk cargo, supported by three docks, Ambedkar Dock, Jawahar Dock, and Bharathi Dock, which cater to different cargo segments. Major exports from the port include engineering goods, agro products, granite stone, textile garments, tires, and automobiles, with companies like Hyundai, Nissan, and BMW using the port for their export operations.

Complementing Chennai Port are Kamarajar Port (Ennore Port) and Kattupalli Port cum Shipyard. Kamarajar Port was developed specifically to handle coal, LNG, and other bulk commodities, thus relieving pressure on the Chennai Port. The port has a current cargo handling capacity of 58 million tonnes per annum (MTPA).