India has laid the foundation stone for its first port-based e-methanol production facility at Deendayal Port Authority (DPA) in Kandla, Gujarat, with the plant intended to supply green fuel to ships, said the Ministry of Ports, Shipping and Waterways on Saturday (26 September).
The 150-metric-tonne-per-day facility will use renewable power, water and biogenic CO2 to produce e-methanol for vessels operating on the Asia-Europe trade route, according to India’s Ministry of Ports, Shipping and Waterways.
The plant is expected to produce green methanol at a much more competitive rate compared to other global producers, just USD 750 per metric tonne (mt), against a global rate of USD 1,300 per mt.
The INR 2,300 crore (USD 239 million) project is a joint initiative between DPA and Assam Petro-Chemicals Ltd (APCL). It will be developed in two phases.
The first phase, involving an investment of INR 1,200 crore , will add 50 mt per day of production capacity and is targeted for completion by January 2027. A second phase, costing INR 1,100 crore, will add a further 100 mt per day by March 2027.
The foundation stone was laid on 26 September by Gujarat Chief Minister Bhupendra Patel, Union Minister for Ports, Shipping and Waterways Sarbananda Sonowal and Assam Chief Minister Himanta Biswa Sarma.
Photo credit: Deendayal Port Authority
Published: 29 September, 2026
