After years of near-duopoly control over cargo movement to the Andaman and Nicobar Islands, a new private operator is set to enter the route, raising hopes of better reliability, capacity and pricing for island businesses.
At present, the Andaman shipping market is effectively controlled by two private operators, giving them a near-stranglehold over cargo movement to and from the islands. Traders, contractors and small businesses have repeatedly complained that the lack of competition has resulted in high freight rates, limited sailing options and what they describe as high-handed practices in bookings and cargo prioritisation, leaving customers with little bargaining power or alternative choices.
Against this backdrop, Apeejay Shipping, one of India’s oldest private maritime companies, has announced the launch of a dedicated shipping service to the Andaman Islands, with regular scheduled sailings to Sri Vijaya Puram. The service will handle containerised cargo, bulk consignments and project cargo, directly addressing long-standing complaints about irregular sailings and limited cargo options.
Founded in 1948 and part of the Apeejay Surendra Group led by Karan Paul, Apeejay Shipping operates across domestic and international trade routes and is known for handling diverse cargo, from industrial goods to heavy project equipment.
For its Andaman operations, the company has acquired a specialised 3,000-tonne geared cargo vessel, APJ Karan 2, fitted with two onboard cranes of 60-tonne capacity each. The vessel is scheduled to begin its Andaman service in March 2026, a key advantage for island ports that have limited shore-based cargo-handling infrastructure.
Industry participants say the entry of a large private operator could be a turning point for the islands, which depend almost entirely on sea routes for construction material, machinery, fuel, food and daily essentials. Project delays, cost overruns and shortages have often been linked to shipping bottlenecks.
Apeejay Shipping said the new service is designed to provide predictable sailings and flexible cargo handling, supporting both large infrastructure projects and everyday trade.
In the Andaman and Nicobar Islands, Apeejay will be represented by the Y.E. Jadwet Group, with Ebrahim Jadwet acting as the company’s local associate, helping coordinate with port authorities, cargo owners and government agencies.
With APJ Karan 2 set to call at Sri Vijaya Puram regularly, Apeejay’s entry is expected to inject long-awaited competition into the Andaman shipping market, potentially easing logistics costs and improving supply-chain stability for the islands
