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Marine & Shipbuilding Industry in India: Driving Growth Through Innovation & Infrastructure

India, with its coastline of over 7,870 kilometers and a rich maritime tradition, is steadily developing its capabilities in the shipbuilding industry and marine infrastructure. In recent years, focused policy measures, strategic investments and international collaborations have contributed significantly to the growth of shipbuilding companies in India, thereby enhancing the country’s presence in the global maritime arena.

As part of this continued effort, Prime Minister Narendra Modi, under the “Samudra se Samriddhi” initiative, recently inaugurated and laid the foundation for development projects worth ?34,200 crore. These projects include the expansion of port infrastructure, ship repair facilities, container terminals and the integration of renewable energy solutions. The objective is to increase operational capacity, improve efficiency and promote sustainability across India’s shipping and shipbuilding ecosystem.

Further reinforcing this momentum, on 24 September 2025, the Union Cabinet approved a major ?69,725 crore incentive package to boost India’s maritime and shipbuilding capabilities. This comprehensive package includes:

  • Shipbuilding Financial Assistance Scheme (SBFAS) – ?24,736 crore, covering financial assistance, scrap-credit schemes and related incentives.
  • Maritime Development Fund (MDF) – ?25,000 crore, intended to support financing needs in the port and shipping sector.
  • Shipbuilding Development Scheme (SBDS) – ?19,989 crore, focused on enhancing design, technology and modernization in domestic shipyards.

This large-scale stimulus is aimed at accelerating the growth of India’s shipbuilding sector, fostering global competitiveness, reducing reliance on foreign vessels and establishing India as a major maritime manufacturing hub.

The Rising Importance of the Marine & Shipbuilding Industry

The shipbuilding industry plays a critical role in economic development by enabling global trade, enhancing defense capabilities and boosting employment. India is strategically located along key global shipping routes, giving it an advantage to become a manufacturing and repair hub for ships.

Globally, shipbuilding is dominated by countries like South Korea, China and Japan. However, India, with its low-cost yet highly skilled workforce, expanding port infrastructure and growing fleet of Indian ship manufacturing companies, is quickly gaining attention as a competitive player.

The Indian government, through initiatives like Sagarmala and Maritime India Vision 2030, is actively promoting the growth of ship manufacturing companies in India and positioning the country as a leader in sustainable maritime solutions.

Highlights from PM Modi’s? 34,2000 Crore Maritime Projects

The foundation stone and inauguration of multiple projects across India’s maritime zone aim to transform the country’s shipping and shipbuilding industry. Some key highlights include:

  • New Container Terminals and Cargo Berths: At Shyama Prasad Mukherjee Port, Kolkata and Tuna Tekra at Deendayal Port, Kandla, these projects will increase India’s cargo handling capacity and strengthen shipping companies by reducing congestion and improving efficiency.
  • Freight and Connectivity Projects: Road connectivity works at Kamarajar Port and a ship repair facility at Patna reflect India’s commitment to expanding hinterland connectivity and logistics.
  • Green Energy & Sustainability Initiatives: Renewable energy projects like the 280 MW solar power plant at GSECL, Khavda and green hydrogen blending with natural gas highlight India’s focus on clean maritime operations.
  • Healthcare Infrastructure for Maritime Workers: Hospitals and healthcare facilities at Jamnagar and Sir T. Hospital will support the welfare of workers engaged in Indian ship manufacturing companies and related industries.
  • MoUs for Shipbuilding Ecosystem: MoUs signed between Cochin Shipyard Limited (CSL), Hindustan Shipyard Limited (HSL), GRSE and states like Odisha, Andhra Pradesh, Maharashtra and Tamil Nadu aim to develop a sustainable ecosystem for the shipbuilding industry in India.

These projects not only enhance port capacity but also boost opportunities for shipping companies in Mumbai and other hubs to expand globally. 

Key Shipbuilding Companies in India

India is home to several leading ship manufacturing companies that design, manufacture and repair a variety of vessels — from cargo ships to defense warships. Some of the top shipbuilding companies in India include:

  1. Cochin Shipyard Limited (CSL) – Based in Kochi, CSL is one of the largest Indian ship manufacturing companies, specializing in building large vessels, tankers and warships. It also offers extensive ship repair services.
  2. Garden Reach Shipbuilders & Engineers (GRSE), Kolkata – Known for constructing naval warships, GRSE is a pioneer in defense shipbuilding in India.
  3. Mazagaon Dock Shipbuilders Limited (MDL), Mumbai – MDL is among the leading shipping companies in Mumbai, focused on manufacturing submarines and naval vessels.
  4. Hindustan Shipyard Limited (HSL), Visakhapatnam – India’s oldest shipyard, HSL is renowned for building and repairing both civilian and defense vessels.
  5. Goa Shipyard Limited (GSL) – Specializes in building patrol vessels and defense crafts, contributing to India’s maritime security.

These ship manufacturing companies in India are supported by a growing ecosystem of private sector players, including ABG Shipyard and Bharati Shipyard, which provide additional capacity and innovation.

Maritime Zone: India’s Strategic Advantage

India’s maritime zone plays a crucial role in its growth as a shipbuilding and shipping hub. The Exclusive Economic Zone (EEZ) of over 2 million sq. km provides opportunities for offshore energy, fishing and marine resources. With ports located on both eastern and western coasts, India serves as a natural bridge between East and West trade routes.

The development of modern container terminals, freight villages and inland waterways ensures seamless integration with global supply chains, benefiting both shipping companies and exporters.

Shipping Companies in India: Expanding Reach

The demand for efficient logistics and global connectivity has fueled the rise of shipping companies across India. Particularly, shipping companies in Mumbai have been at the forefront of trade and logistics, handling a large share of India’s maritime cargo.

Mumbai, home to the Jawaharlal Nehru Port Trust (JNPT), is a hub for international shipping activities. Leading shipping companies in Mumbai include The Shipping Corporation of India (SCI), Great Eastern Shipping and Mercator Ltd., which provide services ranging from cargo transport to offshore logistics.

As global trade patterns evolve, Indian shipping firms are adopting digital transformation, green energy and automation to stay competitive.

Key Benefits of India’s Marine & Shipbuilding Push

The government’s focus on maritime projects and shipbuilding is expected to deliver wide-ranging benefits, including:

  • Generation of new employment opportunities in shipyards, ports and logistics.
  • Development of green energy and adoption of sustainable shipping practices.
  • Strengthening of defense capabilities through indigenous shipbuilding.
  • Improved quality of life for workers via better healthcare and infrastructure.
  • Better connectivity and trade facilitation, reducing logistics costs.
  • Global competitiveness of Indian ship manufacturing companies in defense and commercial shipbuilding.

Future Outlook for India’s Shipbuilding Industry

India is steadily building the foundation to become a global leader in the shipbuilding industry. With strong support from government initiatives, rising collaborations with global players and the growth of shipbuilding companies in India, the sector is set for long-term expansion.

The focus on shipping companies in Mumbai and other port cities ensures that India remains integrated with global trade flows, while the push for green hydrogen, renewable energy and digitalization positions Indian shipyards at the forefront of sustainable innovation.

With strategic investments, technological upgrades and a skilled workforce, the future of Indian ship manufacturing companies is not just limited to meeting domestic demand but also competing globally, offering both defense and commercial solutions to the world.

Conclusion

The marine and shipbuilding industry in India is moving through a phase of steady development, supported by infrastructure upgrades, government policies and the work of both public and private Indian ship manufacturing companies. The rise of shipping companies in Mumbai and other port hubs further integrates India into global trade flows.
With new projects underway and collaborations across states and companies, India’s shipbuilding industry is positioned for gradual but significant growth. The focus on sustainability, connectivity and skill development will be central to strengthening the country’s role in the global maritime economy in the coming years.

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