Cabinet clears Rs.1,570 crore ship repair facility at Vadinar

The Cabinet Committee on Economic Affairs, chaired by Narendra Modi, has approved the development of a ship repair facility at Vadinar with a total investment of Rs.1,570 crore. The project will be jointly implemented by Deendayal Port Authority and Cochin Shipyard, marking an expansion of India’s ship repair ecosystem.

The facility is planned as a brownfield project and will include a 650-metre jetty, two large floating dry docks, workshops and related marine infrastructure. Vadinar has been selected due to its natural deep draft, connectivity to major shipping routes and proximity to key ports such as Mundra and Kandla, making it suitable for handling large commercial and foreign-flagged vessels.

The project aims to strengthen domestic ship repair capacity, particularly for large vessels. At present, India lacks sufficient infrastructure to repair vessels longer than 230 metres. The new facility will be able to handle ships of up to 300 metres, enabling more high-value repairs to be carried out within the country. This is expected to reduce dependence on foreign shipyards and lower foreign exchange outflow.

Improved repair capability and faster turnaround times on the western coast are expected to enhance the competitiveness of Indian ports. The project is also expected to generate employment, with around 290 direct and about 1,100 indirect jobs across ship repair, logistics and related sectors.

In addition, the facility is expected to support skill development and promote the growth of maritime ancillary services and MSMEs in the region, contributing to a broader maritime industrial ecosystem.

The initiative aligns with the government’s long-term maritime plans under Maritime India Vision 2030 and Maritime Amrit Kaal Vision 2047, and is expected to contribute to regional economic growth.