The central government on Wednesday approved a land exchange agreement between the Airports Authority of India (AAI) and Visakhapatnam Port Trust (VPT) for setting up of a multi-modal logistics park (MMLP).
The approval for land exchange was given by the union cabinet which met here.
According to the union cabinet, the agreement will entail exchange of AAI land measuring 11.45 acres at Visakhapatnam Airport with an equivalent area offered by VPT for setting up of a MMLP.
The MMLP will be set up by the Container Corporation of India (CONCOR) at Visakhapatnam.
The decision assumes significance as the land exchange between AAI and VPT is essential for the MMLP which will come up near Visakhapatnam on 98 acres of land, taken on lease from VPT.
"The exchange of land will be beneficial to both AAI and VPT. The land offered for exchange by VPT is in continuation to existing AAI land and will be useful for AAI, in view of future developmental plans for Visakhapatnam Airport," the union cabinet was quoted as saying in a statement.
"The setting up of MMLP and other customer-related facilities by CONCOR will also help in substantial development of Andhra Pradesh by enhancing the cargo handling capacity and development of an integrated rail-road logistics hub, thereby facilitating a boost in the economy and trade of the state."
