Andhra Pradesh moves ahead with shipbuilding cluster plans

Andhra Pradesh is taking decisive steps to establish a shipbuilding and repair cluster, a project highlighted in the Union Budget. With its extensive coastline and inland waterways, the state is well-positioned to strengthen India’s maritime ecosystem.

•Existing Infrastructure: AP already hosts two shipbuilding and repair facilities near Kakinada Port.

•New Cluster Development: A special purpose vehicle (SPV) has been created to set up a shipbuilding cluster across 2,000 acres at Duggarajapatnam under the public-private partnership (PPP) model.

•Strategic Location: Duggarajapatnam is seen as a promising hub that could attract additional shipbuilding and repair units, complementing Kakinada’s maritime activities.

Economic and Employment Potential

Industry experts believe the initiative could generate thousands of jobs for local youth. With major ports such as Gangavaram, Visakhapatnam, Kakinada Deep Water Port, Machilipatnam, and Krishnapatnam, Andhra Pradesh has a strong case for expanding shipbuilding capacity.

Waterways and Connectivity

•The Godavari River offers vast opportunities for inland water transport.

•The long-pending revival of the Buckingham Canal could enable a transport corridor from Kakinada to Puducherry.

•However, multiple bridges across the Godavari pose challenges, prompting calls to prioritize sea-route-based national waterways.

Political and Policy Push

Rajya Sabha member Sana Satish has pledged to work towards securing funds for shipbuilding, repair facilities, and national waterways in Andhra Pradesh. The Bharatiya Janata Party has also consistently raised the issue of utilizing the Buckingham Canal since the mid-1990s.

Andhra Pradesh is aligning with Union Budget priorities by advancing plans for a shipbuilding and repair cluster. With its coastline, ports, and inland waterways, the state is positioning itself as a key player in India’s maritime growth story.