MIHAN India Limited (MIL) has commenced the bidding for privatising the Dr Babasaheb Ambedkar International Airport. Companies like GMR and GVK have tendered bids for the same.
Now it has been learned that GMR has quoted a higher amount than GVK in order to win the contract.
In March 2018, MIHAN India Limited, a joint venture between Maharashtra Airport Development Company (a Government of Maharashtra undertaking) and Airport Authority of India, had started the RFP process to privatise the Nagpur Airport.
The development process includes upgradation, modernisation, operation, and maintenance of Nagpur Airport. The project will continue for a period of 30 years and even includes construction of a new terminal among other works.
Over the past five years, the passenger traffic at the airport has grown by 11 per cent and the airport ranks 17th in India in terms of cargo traffic. In 2017-18, Nagpur airport had handled 2.18 million passengers and 7,800 tonnes of cargo.
"We are very pleased to emerge as the privatisation of Nagpur Airport. We look forward to on this prestigious airport and to upgrade the existing airport to global standards which would be a matter of pride for the city of Nagpur and provide a further fillip to the economic potential of Vidharba region," CNBC TV quoted GBS Raju, Business Chairman, GMR Airports.
However, only six firms- GVK, GMR, Ideal Road Builders (IRB), Tata Group, PNC Infrastructure and Essel Group, were qualified for the process of privatization of the airport. IRB had backed off at the initial stage itself. Finally, only two companies have bided by now.
Information Source: cnbctv
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