Centre plans Rs 70,000-crore push for shipbuilding, ports infrastructure: Report

The Central government is preparing to roll out a Rs 70,000-crore financial package aimed at boosting shipbuilding, ship repair, and port infrastructure, Mint reported, citing people aware of the matter. The plan is likely to be cleared by the Union Cabinet by mid-September.

According to the report, the package will comprise Rs 20,000 crore for developing and operationalising a shipping cluster programme, another Rs 20,000 crore under a new Shipbuilding Financial Assistance Programme (SBFAP), and Rs 25,000–30,000 crore for setting up a Maritime Development Fund (MDF).

A policy note on the three schemes has been finalised after discussions between the finance ministry and the ministry of ports, shipping and waterways (MoPSW). Officials told Mint that the measures are expected to unlock investments by providing financial clarity and infrastructure support, and could help operationalise joint ventures with Japanese and Korean shipbuilding majors for proposed greenfield clusters.

The shipping cluster programme aims to create clusters with 1.0–1.2 million gross tonnage (GT) capacity each, backed by direct capital support for breakwater, dredging, trunk infrastructure and utilities. States under consideration include Andhra Pradesh, Odisha, Tamil Nadu, Gujarat and Maharashtra, with Tamil Nadu, Gujarat or Odisha likely to host the first cluster.