INDIA. GMR Visakhapatnam International Airport Limited (GVIAL), a subsidiary of GMR Airports, has struck a 40-year agreement to build and manage the new Bhogapuram International Airport in the state of Andhra Pradesh.
The public-private partnership with the state will design, build, finance, construct, develop, operate and maintain the airport on a new greenfield site. The deal may be extended for a further 20 years, with GMR Airports having right of first refusal.
The proposed airport site lies on the border of Visakhapatnam and Vizianagaram districts. It is strategically located on the east coast and stands to benefit from a vast catchment area, noted GMR. A beach development close to the airport will provide impetus to retail and hospitality developments in the region, it added.
In 2019, the existing civil aviation facility, at Visakhapatnam, served 2.78 million passengers. Over the past five years traffic has grown at a CAGR of +21%.
GMR Airports Business Chairman GBS Raju said: “We are very happy to be partnering with Government of Andhra Pradesh to develop, operate and manage the prestigious Bhogapuram International Airport. We aim to build a truly world-class airport at Bhogapuram. [It will] be a matter of pride for the State of Andhra Pradesh and provide a further fillip to the economic potential of this region.”
GMR Airports Executive Director – South & Chief Innovation Officer SGK Kishore added: “Bhogapuram Airport is a strategically located high-potential airport. It will be a welcome addition to our growing portfolio of Indian and global airports and strengthens the airport platform of GMR Airports. We eagerly look forward to completing the formalities and commencing the construction.”
