Karnataka Proposes ₹850 Crore Overhaul for Malpe Harbour, Pledges State Funds if Centre Declines

The announcement was made during the foundation ceremony for a smaller, ₹12.52 crore modernisation project at the harbour.
Karnataka Proposes ₹850 Crore Overhaul for Malpe Harbour, Pledges State Funds if Centre Declines
  • PublishedOctober 9, 2025

Udupi: The Karnataka government is preparing a comprehensive ₹850 crore proposal for the complete development of the Malpe fishing harbour, which will be submitted to the Union government for approval.

The announcement came from Mankal S. Vaidya, the state’s Minister for Fisheries, Ports and Inland Water Transport. He was speaking at an event to lay the foundation stone for a separate ₹12.52 crore modernisation project at the harbour, funded under the central government’s Pradhan Mantri Matsya Sampada Yojana (PMMSY).

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In a significant commitment, Minister Vaidya assured that if the central government does not approve the larger ₹850 crore plan, the state government is prepared to finance the project on its own.

The minister also raised concerns about the strict Coastal Regulation Zone (CRZ) rules in Karnataka, which he said are holding back development. According to Vaidya, these regulations have stalled projects worth ₹2,034 crore and need to be brought in line with other coastal states where rules are more favourable for building infrastructure.

Speaking at the same event, Udupi-Chikkamagaluru MP Kota Srinivas Poojary praised the PMMSY scheme for its positive impact on the fishing community. He called on the state government to focus on dredging river mouths and upgrading fishing jetties to ensure boats can operate safely throughout the year.

The current ₹12.52 crore modernisation project will focus on immediate needs at the Malpe harbour. Officials said the funds will be used to improve sanitation and water supply, increase the capacity for handling fish, and enhance security. These upgrades are expected to speed up fish auctions, allow boats to return to sea faster, and solve long-standing problems with odour and contamination.

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