Adani Ports and Special Economic Zone Ltd (APSEZ) saw its shares climb more than 2% on Thursday after announcing a strategic Memorandum of Understanding (MoU) with NMDC Limited and Brazilian mining giant Vale S.A. The agreement aims to strengthen India’s iron ore export infrastructure through a joint venture at Gangavaram Port.

The MoU was signed via APSEZ’s subsidiary, Adani Gangavaram Port Limited, during the India-Brazil Business Forum Summit in New Delhi. It was formalised in the presence of Brazilian President Luiz Inácio Lula da Silva and India’s Commerce and Industry Minister Piyush Goyal, highlighting growing bilateral trade ties between the two nations.

The collaboration outlines a plan to develop an iron ore blending facility and a dedicated Special Economic Zone (SEZ) at Gangavaram Port on India’s East Coast. The initiative seeks to create an integrated SEZ-based ecosystem for blending, value addition, and commercialisation of iron ore.

According to the agreement, the three parties will jointly develop, operationalise, and manage the facility. The project is expected to improve efficiency in the export value chain, enhance scale, and boost India’s global competitiveness in mineral processing and trade.

By creating a structured ecosystem within the SEZ, the initiative aims to streamline logistics and support higher export volumes. The port’s capacity is projected to increase to 75 million metric tonnes (MMT), positioning it as a key hub for iron ore exports from India and the broader region.

The development comes amid growing demand for iron ore from global markets, particularly in Asia, where industrial activity remains strong. Industry analysts suggest the partnership could position India as a more prominent player in the global iron ore trade, reducing reliance on traditional export routes.

Adani Ports has been expanding its infrastructure across multiple sectors, including coal, containers, and crude oil, in line with its broader strategy to diversify and scale its operations. The new MoU is expected to further bolster its presence in the mineral export sector.