Centre Approves ₹30,000 Crore Shipbuilding Cluster in Andhra Pradesh
Key Points
- Centre grants in-principle nod for ₹30,000-crore Dugarajapatnam shipbuilding cluster under National Shipbuilding Mission.
- Project spans 3,488 acres with 1.2 million gross tonne annual capacity target and specialized marine infrastructure.
- State agencies formed joint venture NSHIP-AP to manage land due diligence and attract anchor shipyard investors.
- Revised techno-economic feasibility report is under review while land acquisition and investor discussions continue.
Editorial Deep Dive & Context
Union Minister Sarbananda Sonowal announced that the Centre has granted in-principle approval for a proposed ₹30,000-crore greenfield shipbuilding cluster at Dugarajapatnam in Tirupati district, Andhra Pradesh. The project, unveiled at the 31st Confederation of Indian Industry Partnership Summit, is approved under the National Shipbuilding Mission and aims to significantly boost India's domestic shipbuilding and repair capabilities on the eastern seaboard.
Spanning 3,488 acres along the Visakhapatnam-Chennai Industrial Corridor, the cluster features 2.1 km of waterfront with planned dredging to achieve depths of 13 to 15 metres. The facility will include an anchor shipyard, repair yards, heavy engineering units, dry docks, and ship lifts.
It targets an annual capacity of 1.2 million gross tonnes, with a statutory requirement for the anchor yard to reach 500,000 GT within ten years of commissioning. To execute the project, the Andhra Pradesh Maritime Board and Visakhapatnam Port Authority formed a 50:50 special purpose vehicle, NSHIP-AP Limited, responsible for investor engagement and infrastructure development.
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Centre Approves ₹30,000 Crore Shipbuilding Cluster in Andhra Pradesh
The Union government officially granted in-principle approval for the Dugarajapatnam shipbuilding cluster during the CII summit on November 12