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Andaman invites bids for 5-star eco-tourism resorts

#Hospitality & Retail#India
Last Updated : 16th Oct, 2025
Synopsis

ANIIDCO has received strong interest from hospitality developers and investors for 5-star eco-tourism resorts under a PPP model in the Andaman and Nicobar Islands. Projects include Megapode Resort redevelopment and first-time tourism on uninhabited Aves Island, featuring 50 luxury rooms and adventure activities. Additional plans cover 14 more islands, including Long Island, Smith Island, and Shaheed Dweep, with substantial investments. Aligned with the Holistic Development of Islands framework, these projects follow global sustainability standards, aim to attract high-end tourists, create local employment, and position the islands as a global destination for eco-friendly tourism.

The Andaman and Nicobar Islands Integrated Development Corporation Limited (ANIIDCO) has received a positive response from top hospitality developers and investors for 5-star eco-tourism resorts under a public-private partnership (PPP) model. The projects will follow a design, build, finance, operate, transfer (DBFOT) structure across selected locations in the archipelago.


The administration invited proposals for Shaheed Dweep (Neil Island), Megapode Resort in Port Blair, Aves Island, Long Island, and Smith Island in North and Middle Andaman. ANIIDCO's Managing Director, Chanchal Yadav, noted that five bids have been received for Shaheed Dweep, four for Megapode Resort redevelopment, two for Aves Island, and one for Long Island. A total of 12 bids were submitted by early October and are now under technical evaluation. Work will be awarded to the highest bidder following both technical and financial assessments.

The redevelopment of Megapode Resort is expected to be completed within three years, while the island-based projects have an estimated four-year completion period.

Aves Island, currently uninhabited and locally known as Coconut Island for its green coconut plantations, will be opened to tourism for the first time. Plans for a 2.75-hectare, 50-room five-star eco-tourism resort with an investment of nearly INR 36 crore include a shopping area for local souvenirs, scuba diving, game fishing, forest trekking, nature camping, and a wellness centre. Once operational, Aves Island is expected to become a major tourist attraction, alongside Swaraj Dweep (Havelock Island).

The administration has also invited tenders for the holistic development of 14 more islands. Lalaji Bay beach on Long Island will host a five-star eco-tourism resort with up to 220 rooms and an estimated cost of INR 391 crore. Smith Island is planned to have 70 rooms at around INR 60 crore, while Shaheed Dweep will accommodate 120 rooms at roughly INR 172 crore. These projects will span North, Middle, and South Andaman.

These initiatives follow the government's Holistic Development of Islands (HDI) framework and aim to establish the Andaman and Nicobar Islands as a top destination for sustainable, nature-focused tourism. The islands recorded a 120 per cent increase in domestic travellers and a 27 per cent rise in foreign tourists in 2024, highlighting growing interest.

All resorts will comply with international sustainability standards, including LEED, GRIHA, and Green Globe certifications, and adhere to Coastal Regulation Zone (CRZ) and other environmental norms. The development of these resorts is expected to boost high-end tourism, create significant employment opportunities, and support inclusive economic growth in the region.

Source PTI

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