On behalf of Edelweiss, I welcome you all for this Adani Ports Q1 Conference Call. From the management here, we have with us Mr. Karan Adani, CEO and Whole Time Director, Mr. Subrat Tripathy, CEO of Ports Business, Mr. Vikram Jaisinghani, CEO of the Logistics Business, and [inaudible] IR team. Without further ado, I would like to hand over the call to Mr. Karan for his opening remarks and then we'll have the question and answer session. Over to you, Karan. Thank you. Ladies and gentlemen, welcome to the conference call to discuss the operation and financial performance of APSEZ for the quarter ending 30th June 2021. Let me start by quoting our chairman from his message in our recently published integrated annual report. He said, "We must believe in our own capability and must be able to depend on our economic consumption, especially in times of crisis, to ensure our economy builds the intrinsic robustness to manage disruptive black swan events like COVID-19. We must unhesitatingly write our own definition, that only when we are able to fully mobilize the efforts of our own people, we will be able to develop our economy in a way that we can take advantage of our country's demographic dividend that we have not yet been able to fully unleash." In lines with this wise advice, we believe APSEZ is confidently placed to address the new normal. We possess those advantages arising out of efficient port operation, seamless multimodal integration, proprietary cargo evacuation network, and the ability to manage large volumes. Our strategy of increasing investment in cutting-edge technologies to integrate our strength will create an enhanced customer experience. To evolve and emerge as logistics partner of reference, we will continue to manage port cargo for our customers while growing a portion of our revenue likely to be derived from logistics, where we deliver directly to our customers, saving them time, cost, and people. We have started the year FY 2022 by hitting the ground running. All our large ports have performed well and have grown in high double digits. This is on account of our strategy to add capacity during a time when sweating of existing capacity was a constraint. This has turned the tide in our favor and helped them turn this adversity into an opportunity. APSEZ has gained 310 basis points in terms of market share in overall cargo, which stands at 28.6%, and 163 basis points in container, which now stands at 42.7%. Mundra, our flagship port, is the largest commercial port, and in the past year has overtaken JNPT as the largest container handling port. Our growth journey will further fortify with the recent announcement of the acquisition of Mundra Port. Our efforts to create a transport utility, which banks on our network of ports as its cornerstone, is forging ahead. We are expanding our capacity in rail logistics and are currently operating 66 rails, which includes container, grain, auto, and bulk rails. We have started consolidating all rail track assets under one roof in APSEZ, and we are in the process of acquiring SRCPL from the group HDB, which will take our rail track assets to 620 kilometers. Coming to the operational performance for the quarter, the presentation on operational and financial highlights was sent to the stock exchange and uploaded on our website. I hope you have had time to look at it. APSEZ handled a cargo volume of 76 million metric tons, growth of 83% as against 33% growth registered by all India ports. Our strategy to achieve East Coast, West Coast parity handle all types of cargo and diversify cargo mix ensure continuous gain in market share in India. Our cargo basket is well-diversified with dry bulk constituting 48%, container 40%, and liquid cargo, which includes crude constituting 12% of our [inaudible] Total. You may refer to the presentation for the details on port and cargo segment-wise breakdown. Let me give you a brief on the status of the announced acquisitions. Let me give you a brief on status of announced acquisition. On [inaudible], the intent is to acquire 100% stake of Gangavaram Port Limited. We have already acquired 31.5% stake from [inaudible] at a consideration of INR 1,954 crores, which works at INR 120 per share. We have also reached and signed an agreement with D. V. S. Raju and family for their 58.1% stake at the same price of INR 120 per share. We are in advanced talks with Government of Andhra Pradesh to buy out their 10.4% stake. The process is expected to be closed in next 30 days for GoAP stake. If GoAP stake is acquired, our first option is to merge Gangavaram Port and APSEZ. To evaluate that merger, a committee of independent directors has been formed. If the merger is approved, D. V. S. Raju and family will be paid in the form of APSEZ shares. In this case, we do expect that the financial consolidation of Gangavaram Port will happen as of 1st April 2021 on APSEZ balance sheet. As announced in March 2021, APSEZ has also commenced the process of consolidation of its rail track asset, an acquisition of [inaudible] from one of the group entities through a composite scheme of merger, which has been approved by stock exchange, will now be filed with NCLT for seeking approval of stakeholders. This includes seeking approval from minority shareholders, which is in line with our APSEZ board approved policy on related parties. The entire purchase consideration will be paid through equity swap of a volume weighted average price of INR 675 per share, resulting in issuance of 7.06 crore new shares of APSEZ. The meeting of stakeholders for approving the merger will take place in last week of September. We expect the transaction to complete in next few months and financial consolidation with APSEZ will happen from April of 2021. I'm happy to inform you that in July 2021, as part of our capital management plan, APSEZ has become the first Indian infrastructure company to issue U.S. dollar bonds of $750 million, dual tranches of 10.5 and 20-year maturity with a fixed coupon of 3.8% and 5% respectively in global capital markets. APSEZ has given a longer yield curve to investors and has elongated its debt maturity profile to seven years. Let me now introduce you to Mr. Subrat Tripathy, who is now heading our port vertical, and Mr. Vikram Jaisinghani, who is heading our logistics vertical. Subrat and Vikram will brief you about the performance of their respective vertical, I will give you the update on the strategic and financial performance at the end. Over to you, Subrat. Thank you, Mr. Karan Adani. Good evening everyone on the call. Let me give you an overview of the performance at the port vertical. I will start with my cargo segment first. In the container business in quarter one of FY 2022, APSEZ handled a total container volume of 2.08 million TEUs, a growth of 69% compared to an all-India growth of 51% on a year-on-year basis. This was led by Mundra Port, which grew by 61%, Hazira which grew by 32%, Ennore by 211%, Tuticorin by 15%, and the addition of [inaudible] volume by nearly 84,000 TEUs. Mundra Port continues to stay at the top in terms of container volume. In Q1 of FY 2022, it handled 2.61 million TEUs, which is nearly 18% ahead of JNPT, its nearest competitor. This is on account of a strategy of partnering with large shipping lines of the world through our strategic JVs and continuous gaining of market share. During the period, two new container services were added, one each at Mundra and Hazira, which will contribute about 125,000 TEUs of container volume per annum. In the dry bulk segment, in quarter one of FY 2022, the total dry bulk cargo handled was 66 million metric tons, a growth of 104%. Within this segment, minerals grew by 90%, coking coal by 42%, fertilizers by 32%, and agri products grew by 27%. Coal volume registered a growth of 126% on the back of higher imports by Adani Enterprises, Adani Power, JSW, and NTPC. As a part of the diversification of cargo mix, we have added two new cargo types, namely sulfur at Dahej Port and sillimanite at Tuticorin Port. In the liquid segment, in Q1 of FY 2022, APSEZ handled liquid cargo including crude of 9 million metric tons, a growth of 57%. This was led by higher volume handled at Mundra and Hazira ports. As a part of our cargo diversification, we added LPG and LNG cargo into our portfolio. In Q1 of FY 2022, APSEZ handled 3.55 lakh tons of LPG and LNG. The volume in this segment will continue to grow to cater to the addressable market segment, which is set for growth as a result of the government's favorable policies on the gas-based economy. Coming to the recently completed acquisition of Krishnapatnam Port, the port is progressing well in the past nine months under the management of APSEZ. With the integration of operations fully completed, which is reflected in its superior cargo and financial performance, we are confident that it will achieve new heights. The port has registered a cargo volume of 13 million metric tons, which is a growth of 39% on a year-on-year basis. Similarly, through our efforts to eliminate bottlenecks, reorient operations by benchmarking it to APSEZ standards, we have been able to further enhance its EBITDA margin by another 250 basis points and reach 73%. We expect the port to handle 52 million metric tons in FY 2022, which is a growth of 30% on a year-on-year basis. As demonstrated in case of Krishnapatnam Port, the operating team of APSEZ has been assisting the Gangavaram Port team to benchmark its operations to APSEZ standards leading to savings in cost and improvement in efficiency. This has resulted in EBITDA margin improving from 59%- 70% in quarter one of FY 2022. In the full year of FY 2022, Gangavaram Port is expected to handle a cargo volume of 39 million metric tons, generate revenue of INR 1,400 crores and EBITDA of INR 970 crores. As briefed by Mr. Karan Adani, APSEZ has commenced consolidating its rail rack asset and is in the process of acquiring Sarguja Rail Corridor, SRCPL. As all of you know, it is an annuity business with take-or-pay contract with a sovereign equivalent counterparty. In the full year of FY 2022, this business is expected to handle a cargo volume of 19 million metric tons, generate revenue of INR 900 crores and EBITDA of INR 430 crores. Now I hand over to my colleague Vikram to update you on the logistics vertical. Over to you, Vikram. Thank you, Subrat. Good evening, everyone on the call. Let me give you an overview of the performance at the logistics vertical. Adani Logistics is continuing with its strategy of expanding our logistics footprint across India, building multimodal logistics parks, warehousing, and a rail distribution network in line with our vision to become an integrated logistics service provider in India. Looking to logistics operations, Adani Logistics has witnessed an increase in rail volume for Q1 FY 2022 as compared to last year. That is 84,717 TEUs versus 76,925 TEUs, translating into a 10% YOY growth. This is achieved despite disruptions at Kila Raipur Logistics Park. Currently, we have two logistics parks at Nagpur and Virochannagar under development. We have also received ICD approval for [inaudible], for which construction will commence this year. GPWIS vertical continues its growth trajectory, and we handled 1.42 million metric ton in Q1 FY 2022 against 0.89 million metric ton in Q1 of FY 2021, translating into a 53% year-over-year growth. Five new rakes were inducted in the last quarter, and we have a firm induction plan for this year to take total GPWIS rakes up to 25 within the year. New surveys with respect to movement from mines to power plants have been kickstarted, and this is expected to gain further momentum. We have successfully commissioned the Katihar Silo project with 50,000 metric ton capacity in agri logistics business in the last quarter, and another three projects are under construction, each having 50,000 metric ton storage capacity at [inaudible]. Warehousing transactions across top-eight cities expected to achieve CAGR of 30% for the next few years as we continue to witness strong demand in the grade A warehousing sector. Accordingly, we have commenced construction of new projects totaling 0.8 million sq ft in Indore and Mumbai in Q1 FY 2022. Back to you, Karan. Thank you, Subrat and Vikram. Coming to the financial results of quarter one of FY 2022, the strong performance in operations is reflected in the financial performance. Consolidated revenue grew by 99% from INR 2,293 crores in quarter one of FY 2021 to INR 4,557 crores in quarter one of FY 2022. During quarter one of FY 2022, the total EBITDA grew by 82% from INR 1,438 crores in quarter one of FY 2021 to INR 2,620 crores on the back of 99% growth in revenue. Revenue from port operations increased by 75%, from INR 1,904 crores- INR 3,339 crores. Increased cargo volume and operational efficiency and 6% savings in operating costs enabled port EBITDA to grow by 78%, from INR 1,324 crores in quarter one of FY 2021 to INR 2,336 crores in quarter one of FY 2022. Overall port EBITDA margin has improved from 70%- 71%. In quarter one of FY 2022, the logistics business have reported an EBITDA of INR 62 crores, a growth of 42%. EBITDA margins improved by 125 basis points to 23%. During the period was lower due to the lower contribution of profit from the APSEZ standalone entity, which was impacted by forex movement. Profit before tax and profit after tax increased by 60% and 77%, respectively, due to higher operating profit. To conclude, I must acknowledge the resilient spirit of Adani Ports' workforce, who through the thick and thin of these times, stood resolute to deliver this spectacular performance in the first quarter of FY 2022. During the first four months of FY 2022, we have handled a cargo volume of around 100 million metric ton. Based on the current positive trends, we expect the cargo volume in FY 2022 to be in the range of 350 million-360 million metric tons, which includes approximately 39 million metric tons from Visakhapatnam Port. The consolidated revenue is expected to be in the range of INR 18,000 crores-INR 18,800 crores. Consolidated EBITDA is expected to be in the range of INR 11,500 crores-INR 12,000 crores. We expect our port EBITDA margins to be at 71%, and CapEx for the year to be in the range of INR 3,100 crores-INR 3,500 crores. With all of this, we expect our free cash flow to be in the range of INR 7,100 crores-INR 7,600 crores. This guidance keeps in mind that we will be consolidating the Visakhapatnam and Sarguja Rail balance sheet and P&L as of April 1, 2021. Coming to the end, I just want to say that we are well on our target of achieving 500 million metric tons of cargo throughput and the target to have 40% of [inaudible] trade, EXIM trade. We do believe that we will be able to achieve this target much ahead of our timeline given of FY 2025. This will also ensure that progressively we increase our port EBITDA margins to the range of 72%-73%, doubling our EBITDA well before earlier guidance of 2025, which obviously results in increasing our [inaudible] on a consolidated basis of 20% and above. With this, you can open the lines for question and answer. Thank you. Thank you very much. We will now begin the question and answer session. Anyone who wishes to ask a question, press star and one on the touchtone telephone. If you wish to remove yourself from the question queue, you may press star and two. Participants are requested to use handsets for asking a question. Ladies and gentlemen, we will wait for a moment while the question queue assembles. We would like to remind participants that you may press star one to ask a question. The first question is on the line of Mohit Kumar from DAM Capital. Please go ahead. Yeah. Good evening, sir, and congratulations on good set of numbers. My first question is on the guidance. Do you think the guidance is conservative given the opening up of global and domestic economy? I think we are just looking at 10 million ton additional. The related question is, does the rising container freight prices is a worry? That's the first question. Sure. I think, I don't think guidance is conservative. I think what we have given guidance is now looking at the three, four months of operations, as well as looking at the global scenario as well as the COVID scenario. We think it's a realistic guidance that we have given. In terms of based your question on the container freight, I think it is not a worry. Even with the rising freight, we have seen that market has bounced back quite significantly on a pan-India basis. We do believe that the similar growth will continue for the rest of the year. Okay. Second question on DFCC, I think that we are reaching closer to the DFCC operation. My question is, does the current connectivity from Palanpur to Mundra, which doesn't have doubling and electrification, do you think that affect our efficiency near term? Is there any proposal to upgrade the railway line connecting Mundra to Palanpur to 25 million ton axle load? When do you expect the doubling electrification to be completed? Thank you. The DFC is slated for completion by about mid of next year. By the COVID status, we are expecting it to be completed by December 2022. In line with our aspiration to connect with the DFC, we have taken two steps. One is that the present line from Adipur to Mundra Port is a double line. We are electrifying it to coincide with the electrification of [inaudible], and the DFC connectivity. In line with the aspiration and not waiting for the DFC to commence with what is the best offering is to run double stack trains. We have already started running double stack trains from Mundra to the NCR region. You would be pleased to know that we have had a significant growth in double stack in this particular year across the over of last year. We are in line to coincide with the DFC's commissioning as well as the electrification. Your question on 25 ton axle load, this would be more prevalent for the eastern part of the country where we run bulk. On the western part of the country, where the train loads and the tonnages on each train is lesser than what is required on the eastern side. On the eastern legs, we are already getting converted to 25 ton axle load, and we will be in line with the DFC specifications. Thank you. If I get it, you don't require 25 million tons axle load optimization of rail line connecting from Mundra to Palanpur. Is that right? Yes. It's 25 ton axle load, which means that each axle over the bogie exhibits a load downward on the railway track for 25, which is over the conventional railway track of 22.5, which we are already aligned with. You don't require a 25 ton axle load on the western DFC literally because the loads per container train are much lesser than the dry bulk trains. Let me also clarify, as and when 25 ton axle load does happen, we would be increasing 25 ton axle load between our Adipur and Mundra line, which is basically a combination of increasing the sleeper density and the rails which we are already equipped with. Thank you. Understood, sir. Thank you, and best of luck. Thank you. Thank you. The next question is from the line of [inaudible], HSBC. Please go ahead. Thank you. Hey, Karan. A little more around given the recent flurry of acquisition, can you talk about how much room does your balance sheet have to take on further acquisitions? I'm specifically interested on your thoughts on potential divestment of container port from Government of India. Secondly, sorry, team, just a clarity one. Does the first quarter FY 2022 volume, does it include Gangavaram already? Thank you. First, let me answer your second question first. The Q1 FY 2022 numbers does not include Gangavaram volume. It is ex of Gangavaram in terms of done. To answer your first question in terms of acquisition, today see our balance sheet, our net debt to EBITDA is around three. With the way we are looking at the growth and looking to hit our targets, we do believe that our balance sheet would remain at a net debt to EBITDA of three. That gives us a room of almost one turn on net debt to EBITDA minimum without hampering our investment grade rating through acquisition. In our view, CONCOR is a very strategic acquisition, and we do believe that raising funds and without stretching the balance sheet, we should easily be able to do that acquisition. Okay, perfect. Thank you so much, Karan, and have a lovely day. Thank you. Thank you. Participants who want to ask a question, you may press star and one now. The next question is from the line of [inaudible] Kumar from [inaudible]. Please go ahead. Yeah, my first question is regarding guidance for logistics segments. Since there is some reduction in the guidance, seeing lower revenues for this segment. Any specific reason you are looking to like upgrade within this segment? I think the guidance reduction is mainly because of the Kila Raipur ICD, which as you know from the news item, that's the only reason. Otherwise, we are on track on other items. ICD revenue, we are losing to an extent of INR 300 crores from that Kila Raipur? No, the ICD plus the rail revenue which we would be getting out of running moving boxes over there. We don't have any terminal which can compensate the loss of Kila Raipur in this quarter, which is in comparison, I mean, this season? Yes. Okay. Actually, we have integrating all our logistics, five businesses such as [inaudible] from 2022. Why has this been generally accelerated or allocated to 2022? Yeah. Just to clarify, GPL Gangavaram Port, earlier when we gave the guidance, we were not too sure whether it will be a cash deal or a share swap deal. After negotiation, we have come to an agreement that we will be merging both the companies, that is GPL with APSEZ. Once we are merging, we have the option of consolidating the balance sheet from 1st April, and we have opted for it. Keeping that in mind, we have also put in management in place from 1st April 2021. On SRCPL as well, since we are going through the merger route, we have followed the same strategy. That's the reason for the 30 addition. Okay. We keep hearing this 10 million tons of guidance related to, and in the revised number of now incorporated full year numbers. This is related to container segment than expected or overall any other commodities? I'll ask Subrat to explain to you where we are seeing the growth in commodities. Thank you. We are seeing a very robust growth both in the container segment. You would be watching that Mundra, our flagship port has emerged truly as the gateway port of Indian exim trade and its nearest competitor, which we kind of outran last year. We continue to hold a very strong lead in this quarter, and we believe this will continue. As well as across the Eastern growth, you will see that we are balancing growth both on East and West as a part of our strategy. The growth clearly comes from two large segments. It's container at Mundra, Hazira, and the southern cluster, which will catch up after the lockdown has improved. Also on the sector on the eastern and dry bulk, which have very robust connectivity to the steel plants. You're aware and you're seeing an unprecedented growth of steel industry in India, and that's been to our eastern ports of the gateway. Clearly, and truly we see the growth areas on two fronts, containers in the West, which Mundra will continue to lead and hold its position, as well as dry bulk in the East, which will continue to align with the major industries. These will be growth drivers on both the sides. Thank you. [inaudible] port revenue and one time adjustments which is direct sell. What is this related to? [inaudible], this is a one-time income that we have booked in[inaudible] this time. We expect this income not to be repeated, hence we have kept it out of our port business. I probably take you through the details offline. Okay? Okay. Thanks so much. Thank you. The next question is from the line of Amish Shah from Bank of America. Please go ahead. Thank you. Thanks, Karan. Karan, if I look at the ports market share broadly, it's about 50% with major ports, almost 30% now with you guys and about 20% with smaller private companies. The question was, if it is possible to know how much of this 20% over time would you argue can be acquired from the smaller ports? How does the Major Ports Authority Bill help us get some share of the 50% major ports? The Major Port Authorities Bill doesn't per se help us in terms of acquisition of market share. In terms of to answer your first question, we do believe that on our market share, currently at 25%, 26%, we do believe that we can go up to 40%. It is not necessarily just from minor ports, but we also believe there is an opportunity from taking market share from the major ports. On the minor port side, as I've been saying, there are basically two acquisitions which could be on the block, which is Karaikal Port and Gopalpur Port, which combined volume is in the range of 40 million-45 million tons. It's not a major shift in terms of market share. That is the possible upside if you were asking. Got it, Karan. About 15% of the existing volume. While I understand acquisition into major ports is not possible, could we look at them as a private sector outsourced option within the major ports? Amish, to be honest, if you look at our past experience where we have assets in Vizag, Goa, Ennore, Tuticorin. Financially they are not one of the best operating assets for us. I think that's mainly because of constraints that are there in major ports. I think it's a conscious decision that we are taking to stay away from major ports, especially where you have one particular commodity that you can handle. We have seen that as part of risk, you can't have capacity linked to only one particular commodity. Unless it's very strategic in nature, like, just thinking out loud, if it is like something in JNPT or in West Bengal, in Haldia Port, we would ideally be avoiding getting into major ports. Got it. Makes sense. Karan, is it possible to give some update on the potential policy of the land utilization around ports in general? We are looking at large-scale development in Mundra and Krishnapatnam. That's where we are looking at two large-scale industries to come. We are seeing a lot of uptick happening now that we are seeing the overall economy improving and capacity utilization increasing. We are seeing a lot of people looking to build new capacity. Our guidance of around INR 800 crore- INR 1,000 crore of revenue coming out of port development income. Those guidance continue and as you've seen this year, we have already booked. In this quarter, we have already booked majority of it. We do expect the similar guidance to continue in near future as well. In next five years minimum. Okay. Got it. Thank you, sir. Thank you. The next question is from the line of [inaudible] from Spectrum Broking. Please go ahead. Yeah. Thank you. Hi, Karan. My first question is on the thought process of merging Gangavaram instead of keeping it as a subsidiary. Any particular reason we are looking at Gangavaram differently as compared to all the other assets which continue to be a subsidiary? No. We are merging Gangavaram mainly because of tax reason as well as to give a tax-efficient share swap. Basically, that's the only reason. Okay. The Government of Andhra Pradesh stake, so that will be bought out in cash, right? I mean, that is not contemplated as a share swap. No, that will be bought out in cash. We expect that to be completed by 15th August. Sure. Second question is on the multi-modal logistics park. In the annual report, we have spoken a lot about that, and we've also acquired two big land parcels. Can we just update where are we on the development of those logistics parks and what kind of potential we see in terms of, let's say, a revenue or EBITDA over the next three, four, or maybe five years? I'll ask Vikram to answer that, please. We are seeing that the next few years, there is a lot of demand for build-to-suit grade-A warehouses, both for e-commerce and for industrial purposes. In line with that demand, we have acquired these two land parcels where construction has already commenced. In Bombay, we are building about 438,000 sq ft e-commerce warehouse for [inaudible]. That development will continue. We got about 442 acres of land for development in Bombay. Similarly, in Ahmedabad, Virochannagar, we have made an MoU with the Government of Gujarat to develop 1,400 acres of land for multi-modal logistics park, primarily focusing also on grade-A warehouses. Out of this, about 850 acres of land has been acquired, and we should be breaking ground in a couple of months to start development of the rail connectivities and the grade-A warehouse in line with the aspirations I just mentioned. Sure. Both of these facilities, should they be completed by 2023? Is that the timeline that we're looking at? I think this development, this is a pretty large parcel of land that we're talking about. We're talking about 1,400 acres in Gujarat and 450 acres. This will typically consume the next five years, and at least five years for the full development of both these land parcels. Sure. Just lastly, in Dhamra, the port development income that we booked, is it for the LNG business? Yes. Dhamra. In Dhamra, as you know that we have a joint venture with total for the LNG terminal. As part of that deal, the Dhamra port is constructing the jetty. Now that the asset has been completed and handed over to the JV company, that's why we have booked that income. Okay. Thank you. Thank you. We would like to remind participants that you may press star one to ask a question. The next question is from the line of Vibhor Singhal from PhillipCapital. Please go ahead. Good evening. Thanks for taking my question. Karan, there's two questions from my side. One is, looking at our guidance for change in the cargo volumes, assuming that you were earlier contemplating a potential acquisition of Gangavaram and now from Q1, the incremental Gangavaram volume that you're looking at is 15 million tons. 15 million is such a large number, especially with maybe the benign outlook for fiscal year. Any specific cohorts that you believe is driving that, which probably could serve large chunks of this incremental capacity that we are looking at? Is this going to be just driven by the overall macroeconomic recovery and then these kind of capacities? Well, thank you. It's going to be a combination of all that you mentioned. There is an overall macroeconomic growth. We are seeing that we're much better handled, kind of steady to handle the third wave, and as and when it were to happen. We're seeing the ports registering very robust growth. We're seeing that all the Indian maritime sector is come back in a sense. We have come back with a bang. The growth that we're expecting is clearly placing a lot of bets on India's EXIM trade. You've seen that Mundra is leading, and this lead is consolidating to become a gateway. The growth will come from clearly containers at Mundra, Hazira. We've also mentioned that we've added new services. We've got consolidating services at the southern side of Ennore, where we're having mainline vessels. The overall gateway trade ventures that are opening up, both in the west at Mundra and Hazira, and in the east at Ennore, will give us the opportunity to drive growth and containers. Coming to the other balance growth that comes out of the very strong growth we are seeing in major industry, particularly in steel, and the fact that our ports are very intrinsically connected to the steel sector in the East, and this is also visible in a kind of a balance that we are having between our strategic strategy. You'll see that Dhamra, Gangavaram, as and when it is entirely getting consolidated into the APSEZ portfolio, and [inaudible]. These will be the drivers for our growth. The balance growth will come from container and from the dry bulk. These main ports that I mentioned, Mundra, Visakhapatnam, Gangavaram, and Dhamra, clearly. Thank you. Sure. Thanks for that. Just one more last question from my side. The ACIR price we booked already are strong into this quarter on the INR 800 crores that which will go with ACIR. Any more such similar acquisition has, in the habit, looking at completing for the year? Overall, what is the kind of revenue that you're expecting from ACIR for this year? For this year, for FY 2022, this is the total amount that we have, and we don't expect any more transaction for the year. As I mentioned earlier, we do have other projects which are in pipeline, which will get materialized in the coming two, three years. Our guidance continues of approximately INR 800 crores of port development income recurring almost every year. Sure. [inaudible]. Thanks for taking [inaudible]. Thank you. Thank you. The next question is from the line of Atul Tiwari from Citigroup. Please go ahead. Yes, sir. Thanks a lot, and congrats on a pretty good set of numbers. Just again, one more question on these two large land parcels which have been acquired. I know the presentation is about INR 2,300, but on an individual basis, how much we have paid to [inaudible] for these land parcels? Is that the final amount, or do we need to pay more in the future? This is the final amount. Just give me one second. I don't have the exact amount in place, Atul. What I will request is the IR team to share with you separately what is the exact amount each parcels-wise. This is the final amount that we have paid, and there's no more further payment on it. Whatever CapEx will be going, which is in our CapEx guidance of INR 3,000 crore-INR 3,500 crore, that goes into the development of our assets. Part of that development also is the construction in these ports. Okay. broadly, INR 2,300 crore is the total final amount for both of these four parcels. Yes, that's right. Okay. Broadly, I don’t know how best to ask this question and answer it, but what could be the comparable prices of land in these areas? At least here, obviously Bombay land, 432 acres. First of all, it is a very large parcel for a city like or for an area like Bombay. Here, the prices could be much higher than what is implied by this INR 2,300 crore number. Any idea what could be the market price for industrial land around these two areas that you have acquired? Market price for industrial land in the area where we have acquired in Bombay, there the market price is approximately INR 5 crore per acre. However, you will see that we have acquired at a much lower price than what the market is going at. In Ahmedabad, in Sanand, there the price is going roughly at INR 2 crore an acre. Again, over there, if you see, our acquisition cost is much lower than the market. Okay. Let me kind of test my luck little bit. Why would you be able to acquire it at much lower prices than the market price? A little color on that. Whatever you can share. If you want secrets, we'll talk offline. I don't want to. Okay. I will leave it there. Thanks. Thanks a lot. Thank you. Thank you. The next question is from the line of [inaudible] from Spark Capital. Please go ahead. Hello. Thank you for the opportunity. The first question is, on the Gangavaram Port, the volume that you are expecting and guiding for 39 MMT, what is the commodity split that you are expecting? We have given the split in the presentation. Let me just pull that out. If you see from the 39 million tons that we are guiding, approximately I would say 50% comes from minerals and coking coal. Roughly 10% comes from other dry cargo, and then the remaining comes from thermal coal. Okay. We have given that breakup in the report and presentation, page 25. Okay. My second question is, basically, in the logistics segment, you have acquired a few assets along the DFC to be used as a CFS for ICD, right? What is the plan on the development of those land parcels? Yes. We bid. There was an open bidding process run by DFCCIL, and we have acquired eight, in our opinion, strategic assets on these DFC corridors on the western DFC as well as the eastern DFC. The condition stipulated in the LOA is that we have to sign the formal agreement, in the next few months, and we have to construct ICDs in these eight strategic locations in the next three years. Which means acquisition of land, making the detailed project report, commencing the construction and operationalizing this asset. These eight stations, we are well-poised to complete it within the stipulated lines of three years. This will add on to our current fleet of ICD, where we'll incur a CapEx of about INR 50 crores per station to develop these ICDs. What is the capacity that you expect to handle in each, as accumulated or at an individual level in these ICDs? Each station will have a different capacity that we will keep in line with the market demand of the region around that station. I can't give a fixed number that it will be 20,000 or 50,000. It does vary between 20,000-50,000. Some places like [inaudible], which is right in the heart of NCR, the capacity will be much larger. In some of the other stations like [inaudible], New Phulera in Jaipur, it might be even between 25,000 TEUs at the start with. Just to supplement over there. There is no condition in the bid that we have to build a particular capacity. It is left to the developer, looking at the market scenario, how much they want to develop. Okay. Is there any sort of a guidance that you can give that what is the total capacity from the very it will be your planned build? We can give it to you. Give us a month's time, we will give it to you separately. Okay. Thank you. Thank you. The next question is from the line of Pulkit Patni from Goldman Sachs. Please go ahead. Thanks a lot for taking my questions. My first question is on the logistics business. When the government put CONCOR on the block, which used to be a $3 billion company, today it's a $5 billion and above dollar company. I just wanted to get your thoughts, given that we are already investing into logistics, is it not that we can create a business of this size on our own in the next few years or something like this would be essential for us to get the scale? That would be my first question. Pulkit, to answer your question, it is possible to create an alternate, but it takes 10 years time to create that alternate. You are paying basically time value that you're paying to fast-track your strategy. Sure. Even at $5.5 billion, it is an asset that's definitely interesting. My second question is on [inaudible]. We've seen last couple of quarters, the performance there has been relatively weak. Just wanted to get a sense of what's happening there and when should we expect a return of growth for that asset? I'll give you broad strategy and then Subrat can give you the numbers. The way to look at Kattupalli, especially in container, is to look at Kattupalli and Ennore together. The reason I say that is because we look at both the terminals together and we give a solution to our customers looking at the windows that they want. When you look at both of them together, and also one or two shipping lines have shifted from Kattupalli to Ennore. It is not that we have lost to a competition, it's just that we look at both the terminals together. I'll ask Subrat to give you the details. Yeah. In continuation to what Mr. Karan Adani has clarified, we're also looking at the southern cluster of ports when you look at where Chennai and Ennore and Kattupalli are situated. We're looking to maximize Kattupalli's presence over a bouquet of cargos. One, on the container front, which Mr. Karan clarified, we haven't really lost. It's just that we've taken a berth service to Ennore, and then on Q3 we'll be seeing volumes coming back to Kattupalli. That's our belief, and we've got some strategic discussions already with new shipping lines from the container front. You will also understand, Kattupalli is also a replacement for the entire portfolio of maritime activities that go in and around Chennai. Ennore may not be entire answer to that. Kattupalli being slightly situated away from the city, little more distant from Ennore, will be handling cargos. Testament of that is that in this quarter, we added a new cargo, dolomite in the dry bulk. We're looking to enlarge the liquid business. In a sense, we want to establish a footprint of Kattupalli handling a bouquet of cargos. That particular answer, as it scales up and gets into the rhythm, you could also understand that the southern cluster was hit rather badly in the COVID. We have experienced more lockdowns in other places than. The south versus the other growth has been a little subdued. In Q2, we are seeing a revival, and Q3, we are very confident with the new lines coming for container, with the preference for dry bulk and the liquid business establishing itself where we take a lead over Ennore. Kattupalli was certainly a port of the future over there. We look to consolidate, but it will certainly take a little time to scale up. Yes, we haven't lost between Kattupalli and Ennore. We would like to balance and see that the cargoes get retained within APSEZ as it were. Thank you. Sure. That's helpful. Maybe just one last book-keeping question. After the 25% acquisition, balance acquisition of Krishnapatnam, can you highlight what is the exact debt and equity split there? [inaudible] equity in Krishnapatnam is 70/30. The absolute amount, if you could. Absolute amount, we will give you. I can take it that way. No worries. Thank you. [inaudible] To ask a question you may press star and one now. The next question is from the line of Swarnim Maheshwari from Edelweiss Securities. Please go ahead. Yeah, thank you. Congratulations on the results, Karan, and once again, all the acquisitions that you have done so far valuation growth. I just wanted to understand from the container side, now we have seen that there is shortage of containers for the past about a year or so. Earlier this was supplied but then this is more from the demand side. Is there any kind of a volume loss on account of container shortages? Do you think that the government's recent push towards the container manufacturing in the country could reduce our dependence on the import? Swarnim, on a short-term basis, we have not seen any volume loss because of the container shortage. We have actually ended up seeing is that the supply chain has become more efficient because people are now pushing to reduce as much time as possible. To answer your second question, yes, the container manufacturing initiative by Government of India will definitely help India in terms of addressing these container shortages issues that we are facing. All right. Thank you so much, and wish you all the best. Thank you. Thank you. I would now like to hand the conference over to Mr. Swarnim Maheshwari from Edelweiss Securities for closing comments. Thanks to the management of Adani Ports for allowing us to be on the call, and thanks again for your detailed insights, Karan and team. Would you have any closing comments to add? No. Thank you, Swarnim. Thank you, everybody, for joining the call. IR team, [inaudible], is there if there is any questions that any of you have. We are happy to answer any of them. Thank you so much. Thank you. On behalf.