The Union Cabinet, under the leadership of Prime Minister Narendra Modi, has approved the construction of a four-lane highway between Paramakudi and Ramanathapuram in Tamil Nadu. This 46.7 km stretch on National Highway 87 (NH-87) will be developed at an estimated cost of ₹1,853 crore under the Hybrid Annuity Mode (HAM), as confirmed by Union Minister for Railways, Information, and Broadcasting, Ashwini Vaishnaw.
This project aims to upgrade the existing two-lane NH-87, which currently faces heavy congestion due to rising traffic volumes and rapid urban growth in towns like Paramakudi, Sathirakudi, Achundanvayal, and Ramanathapuram. The upgraded corridor is expected to decongest the existing route, enhance safety, and meet the mobility demands of the region.
The new alignment will integrate with five National Highways (NH-38, NH-85, NH-36, NH-536, NH-32) and three State Highways (SH-47, SH-29, SH-34), offering seamless connectivity to key logistics, economic, and social hubs in southern Tamil Nadu. It will also link to major multi-modal transport points, including Madurai and Rameshwaram railway stations, Madurai Airport, and the ports of Pamban and Rameshwaram.
The improved road infrastructure will support tourism growth in spiritual destinations like Rameshwaram and Dhanushkodi while boosting regional trade and industrial activity. Upon completion, the project is expected to create approximately 8.4 lakh person-days of direct employment and 10.45 lakh person-days of indirect employment.
Overall, this project marks a significant push toward strengthening Tamil Nadu’s highway network and unlocking new economic opportunities across the region.