New Delhi: In a move that’s bound to put the pedal to the metal on Tamil Nadu’s infrastructure ambitions, the Union Cabinet has given the nod to the construction of a 4-lane upgrade of the Paramakudi–Ramanathapuram section of National Highway 87 (NH-87), with a wallet-worthy investment of ₹1,853 crore. The 46.7 km stretch will be developed under the Hybrid Annuity Mode (HAM) — where the government pays, the private sector builds, and the nation benefits. Talk about a win-HAM situation!
The current two-lane NH-87 has long been a bottleneck, carrying everything from temple-bound tourists to trade-heavy trucks — often at crawling speeds that could put snails to shame. This newly approved 4-lane upgrade is set to unclog the highway’s arteries and give the region’s mobility a long-overdue bypass surgery.
The upgraded section will not just be a road—it’ll be a superhighway of connectivity. It’ll seamlessly plug into five other major National Highways (NH-38, NH-85, NH-36, NH-536, and NH-32), three State Highways, two major railway stations, one airport (Madurai), and two minor ports (Pamban and Rameshwaram). Whether it’s tourists chasing divine sunsets in Dhanushkodi or trucks hauling Tamil Nadu’s economic aspirations, everyone’s getting a fast-lane ticket.
More than just tarmac, this project is expected to pave the way for over 8.4 lakh person-days of direct employment and 10.45 lakh person-days of indirect work, giving both wheels and wallets in the region a welcome spin.
The corridor will also supercharge the religious and tourism circuits around Rameshwaram, Dhanushkodi, and Mandapam, while laying fresh ground for industrial and logistics expansion. In short: pilgrims, porters, and progress — everyone’s onboard.
So what’s next? Tamil Nadu’s southern corridor may soon stop being a patience-testing pilgrimage route and instead become a turbocharged trade-and-tourism expressway.
Highways, HAM, and Holy Towns — Tamil Nadu’s road to redemption just got 4-laned.
Project Details–
| Feature | Details |
| Project Name | 4-Lane Paramakudi – Ramanathapuram Section |
| Corridor | Madurai – Dhanushkodi Corridor (NH-87) |
| Length (km) | 46.7 |
| Total Civil Cost (Rs. Cr.) | 997.63 |
| Land Acquisition Cost (Rs. Cr.) | 340.94 |
| Total Capital Cost (Rs. Cr.) | 1,853.16 |
| Mode | Hybrid Annuity Mode (HAM) |
| Major Roads Connected | National Highways – NH-38, NH-85, NH-36, NH-536, and NH-32State Highways – SH-47, SH-29, SH-34 |
| Economic / Social / Transport Nodes Connected | Airports: Madurai, Ramnad (Naval Air Station)Railway Stations: Madurai, RamehswaramMinor Port: Pamban, Rameswaram |
| Major Cities / Towns Connected | Madurai, Paramakudi, Ramnathapuram, Ramehswaram |
| Employment Generation Potential | 8.4 lakh man-days (direct) & 10.5 lakh man-days (indirect) |
| Annual Average Daily Traffic (AADT) in FY-25 | Estimated at 12,700 Passenger Car Units (PCU) |
