Indian Firms Eye Shipbuilding

Wednesday, September 26, 2007
Indian firms are increasingly getting into ship building and repairing as shipbuilding orders are expected to rise significantly to meet the boom in seaborne trade and increased offshore oil exploration. The local industry is expected to expand to $20b by 2020 from close to $5b now, a report by maritime consultants i-maritime Consultancy Pvt Ltd said, which is about 1 percent by value of total global shipbuilding orders. Besides subsidies given by the Indian government to local shipbuilders, which is a big incentive, a major part of the world shipping fleet is very old and due for replacement, Chief Financial Officer Dhananjay Datar of ABG Shipyard said. Engineering firm Larsen & Toubro already has one ship building yard in Gujarat state and plans to invest about $378.7m for shipbuilding and a repair yard. Gujarat-based Adani group is setting up a shipbuilding and repair yard at a cost of about $252.5m. Earlier this month, a media report said Reliance Industries plans to spend $2b on shipbuilding and dredging. While shipbuilding steel used to be imported, Indian steel mills have started manufacturing steel plates used in shipbuilding. Essar Steel is already manufacturing shipbuilding steel and plans to increase it with the commissioning of a 1.5-million-tonne plate plant in Gujarat next year. The government provided a 30-percent subsidy on value of ships built by Indian yards, which would sail under a foreign flag. This concession was for a 5-year period to August 2007. The industry hopes this would be extended to help compete with their overseas competitors. This subsidy is also given to certain ships built for the local market. ABG Shipyard and its competitor Bharati Shipyard, which builds sophisticated offshore platform supply vessels, have started building rigs. Asia has the world's largest rig builders -- Keppel Corp and SembCorp Marine. [Source: Reuters]
Maritime Reporter July 2014 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Legal

Bulk Carrier Detained; Two Crew Convicted

A Hong Kong flagged vessel was detained in Queensland following a Port State Control (PSC) inspection conducted by the Australian Maritime Safety Authority (AMSA)

Bill Promotes US LNG Vessel Transport

Congressman John Garamendi (D-CA-03), Ranking Member of the House Transportation and Infrastructure’s Coast Guard and Maritime Transportation Subcommittee, introduced H.

Citigroup Seeks British Court Backing on China Metals Claims

Citigroup Inc said on Friday it has started proceedings in commercial court in London to enforce its rights over $285 million of financing at two ports in China,

Shipbuilding

VT Halter to Build Bouchard ATB Tugs

VT Halter Marine, Inc., a subsidiary of Vision Technologies Systems, Inc. (VT Systems), today announced new contracts to build two 130-foot Articulated Tug Barge

Del Mar Signs Agency Agreement with Ciramar

Del Mar Marine Corp. announced it has signed an agency agreement with Ciramar Shipyards allowing the company to promote Ciramar Shipyard´s docking and facilities

Bouchard Orders Two Newbuild ATB Tugs

Morton S. Bouchard III, President and CEO of Bouchard Transportation Co., Inc., today announced the next step in Bouchard Transportation Co., Inc.’s ongoing fleet

 
 
Maritime Security Maritime Standards Offshore Oil Pipelines Pod Propulsion Port Authority Salvage Ship Repair Ship Simulators Shipbuilding / Vessel Construction
rss | archive | history | articles | privacy | terms and conditions | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.1524 sec (7 req/sec)