Under the Great Nicobar Island Development Project, India plans to invest around ₹13,000 crore to build a dual-use airport and runway for both civilian and Navy operations, said a senior official with the Ministry of Defence on Monday (June 8, 2026).
According to sources in the Ministry, the project, expected to be completed within five years, will be jointly funded by the Ministry along with the Ministry of Civil Aviation. The government views the initiative as a strategic investment aimed at strengthening maritime security, boosting regional connectivity and enhancing India’s presence in the Indo-Pacific region.

Elaborating about the project, the official said the project comprises four major components — an International Container Trans-shipment Port (ICTP), a joint-user greenfield airport and Naval Air Station, a modern township, and a power plant. Together, these projects are expected to transform Great Nicobar into a key maritime and economic hub while enhancing India’s defence capabilities in the strategically significant Indian Ocean Region (IOR).
Located just 40 km from the Six Degree Channel, one of the world’s busiest sea trade routes connecting the Gulf of Aden and the Malacca Strait, Great Nicobar occupies a critical position along global shipping lanes. Government officials said the project would reduce India’s dependence on foreign trans-shipment ports and strengthen its ability to monitor and secure vital Sea Lanes of Communication (SLOCs).
The proposed greenfield airport, approved by the Union Cabinet and to be operated by the Indian Navy, is expected to significantly improve maritime domain awareness, logistics support, and rapid deployment capabilities. The airport is also expected to promote tourism, with the Airports Authority of India projecting an initial capacity of 1.35 million passengers annually by 2040, it said.

It is understood that five potential sites, including INS Baaz at Campbell Bay, were assessed before Galathea Bay was selected for the airport. Technical constraints, limited expansion possibilities, and environmental concerns reportedly made the expansion of INS Baaz unviable.
Addressing concerns over environmental impact and tribal rights, officials said the project has undergone extensive environmental assessments involving institutions such as the Zoological Survey of India, Wildlife Institute of India and the Salim Ali Centre for Ornithology and Natural History (SACON). Of the island’s total area, only 166.1 square kilometres have been earmarked for development, while more than 81% will continue to remain under forests, biosphere reserves, national parks and tribal conservation zones.
A dedicated conservation package worth ₹2,220 crore over 30 years has been planned to protect wildlife, including leatherback turtles, Nicobar megapodes and crocodiles, as well as coral reefs and mangrove ecosystems.
The official confirmed that that no physical displacement of tribal communities is proposed and that consultations were conducted with tribal welfare authorities and representative bodies.

Besides strategic gains, the project is expected to generate over one lakh direct and indirect employment opportunities, providing a significant economic boost to the island region while supporting India’s long-term maritime and security objectives.
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