Synopsis: The Cabinet Committee on Economic Affairs (CCEA) has approved a ₹8,300.79 crore coastal highway that will connect Rameshwar to Paradeep in Odisha. The highway will span 160.18 km across 2 packages and is expected to cut travel time down to 2.5 hours. 

The coastal region of Odisha, home to temple towns, major ports, and fishing zones has required a dedicated high-speed highway corridor for a long time. The cabinet has approved the construction of a new coastal highway from Rameshwar to Paradeep under the Ministry of Road Transport and Highways. This ~160.18 km corridor, will be structured across 2 packages, carries an estimated cost of ₹8,300.79 crore and will be constructed on the Hybrid Annuity Model (HAM) with a concession period of 17.5 years. This project will generate over 120 lakh man-days of employment, and unlock critical logistics and tourism corridors along Odisha’s coastline.

Why a New Coastal Highway?

  • The existing NH-16, part of the Golden Quadrilateral a 6-lane highway covering major urban areas like,  Khordha, Bhubaneswar, and Cuttack which is making it unsuitable as a tourism related coastal-freight corridor.
  • The NH-316, which connects Bhubaneswar-Puri and extends toward Satapada and Konark, suffers from poor road geometry with nearly 40% ribbon development along the Puri-Satapada and Puri-Konark stretches. High levels of local commuter traffic further reduce efficiency for long-distance movement, making a dedicated coastal alignment the logical solution.
  • This new highway will pass through the districts of Khurda, Puri, Kendrapada, and Jagatsinghpur, ensuring improved regional mobility and socio-economic development across these districts.

Project Structure: Two Packages, One Corridor

This new highway is divided into 2 distinct packages based on terrain, traffic projection, and development priority, and both packages are designed for a 100 km per hour design speed, ensuring fast and uninterrupted movement for passenger and freight vehicles alike.

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PM GatiShakti Integration: Economic and Logistics Nodes

The project is built in alignment with PM GatiShakti principles and is positioned to connect 9 Economic Nodes and 5 Logistics Nodes, directly strengthening India’s Logistic Performance Index (LPI).

The economic nodes, that this corridor affects are 2 SEZs at Bhubaneswar and Khordha (Khandagiri), a Mega Food Park at Bhubaneswar, fishing clusters across Paradeep, Konark, Jagatsinghpur, Puri, and Kendrapada, and a Pharma Cluster at Cuttack. And the logistics five nodes include Puri Railway Station, Puri Airport, Astarang Port, Paradeep Port, and the Multi-Modal Logistics Park (MMLP) at Jagatsinghpur and this combination makes the corridor strategically significant for both coastal trade and inland freight distribution.

Key Benefits

  • Travel Time Reduction: Approximately 2 hours 30 minutes reduction between Rameshwar and Paradeep
  • Employment Generation: Approximately 120.62 lakh man days in total
  • Tourism Connectivity: Direct access to Konark Sun Temple, Puri Jagannath Temple, and Paradeep Port

All in all

The ₹8,300.79 crore Rameshwar to Paradeep Coastal Highway is a strategic corridor uniting Odisha’s spiritual, industrial, and maritime assets under a single high-speed alignment. The 2.5 hour reduction in travel time, the presence of 9 economic nodes, and generation of over 120 lakh man days of employment, reinforces Odisha’s position as an emerging logistics and coastal tourism hub on India’s eastern seaboard through this project.

  • : Author

    Jahnavi is a Finance Content Writer at Trade Brains. She writes on mutual funds, credit cards, personal finance, taxation, equity research, market and business trends with a focus on delivering relevant articles to the viewers. She holds a BSc in Mathematics, Economics and Computer Science and a postgraduate degree in MCA, combining her financial knowledge with technical expertise.