Deendayal port charts JV path to shipbuilding leap with GRSE

The Deendayal Port Authority (DPA) in Kandla, Gujarat, is fast-tracking its entry into shipbuilding via a ₹4,500 crore joint venture with Garden Reach Shipbuilders & Engineers (GRSE) from Kolkata, opting for a pragmatic, smaller-scale yard over its ambitious ₹27,000 crore mega-hub dream. DPA Chairman Sushil Kumar Singh confirmed the partnership is nearing finalization following an expression of interest (EoI) that drew bids from GRSE, JM Baxi, and a Korean-Indian consortium.

Under the JV model, DPA will provide prime waterfront land as equity while GRSE brings shipbuilding technology, operations expertise, and funding, creating Gujarat’s 11th shipyard with 540,000 DWT capacity. The smart, automated facility targets very large crude carriers (VLCCs), very large gas carriers (VLGCs), Handymax vessels, and offshore structures, capable of delivering up to six Handymax ships annually, with scalability for more.

​Phased rollout starts with a ₹1,500 crore dry dock for VLCCs—India’s largest—handled by L&T estimates, followed by workshops, utilities, and launching infrastructure led by the tech partner. DPA’s role covers land development, dredging for required depths, roads, drainage, and boundaries, fostering skills and reducing risks ahead of potential Veera cluster expansion.

This move addresses India’s shipbuilding gaps versus giants like China, South Korea, and Japan, where fragmented ecosystems drive up costs and timelines; the Kandla yard will pivot to repairs post-Veera buildout. For maritime logistics, it bolsters domestic capacity amid rising JV trends, including SCI’s $950 million push for eight VLGCs (six in India via global tie-ups) and Korean partnerships like HD Hyundai with Cochin Shipyard.

As Gujarat’s shipbuilding surges—now eyeing 540,000 DWT—the JV signals a blueprint for port-led maritime revival, enhancing self-reliance in merchant fleets and export competitiveness from South Asian hubs.