Image credit: HE MARITIME EXECUTIVE.
India’s shipbuilding industry is setting its sights on a bigger piece of the global pie, and it’s attracting attention from European companies. Here’s why:
- More Orders from Europe: With demand for shipyards rising worldwide, India is working hard to win over European shipowners. This strategy seems to be working, as European companies have already placed orders worth $750 million with Indian shipyards.
- Government Support: The Indian government is giving its shipyards a big boost. They offer subsidies to make Indian shipyards more competitive and recently allocated an extra $600 million to help build new vessels. This includes money for “green ships” that use cleaner fuels.
- Recent Successes: Indian shipyards have landed some important contracts lately. Here are a few examples:
- Garden Reach Shipbuilders (GRSE) signed a deal with a German company to build four multi-purpose cargo ships, with an option for four more.
- Goa Shipyard got an order from a Belgian company for a next-generation dredging ship, with the option for a second one.
- Udupi Cochin Shipyard is building eight cargo vessels for a Norwegian company.
- Focus on Replacing Old Ships: Many European shipowners need to replace their aging fleets, especially since Europe has strict environmental regulations for ships. Indian shipyards are well-positioned to take advantage of this need.
India currently has a small share of the global shipbuilding market, but with this new focus and European interest, they’re on track to become a major player.