Centre has given green signal to the shipping ministry to declare Andaman and Nicobar ports as major port and establish the Andaman and Nicobar Port Trust with its headquarters at Port Blair. The strategic location of these islands will help provide large volumes of cargo and large vessel volumes for the neighbouring Association of Southeast Asian Nations (ASEAN) countries.

The cabinet also approved to extend the applicability of the provisions of the Major Port Trusts Act, 1963 to Andaman and Nicobar set of ports and to disband the Port Management Board to transfer its establishment to the proposed port trust.

It also agreed to bifurcate the Andaman and Lakshadweep harbour works and transfer a part of its establishment to the Port Trust and to take consequential actions with reference to the above declaration.