Mazagon Dock Shipbuilders Limited (MDL) has signed an agreement with National Shipbuilding and Heavy Industries Park-AP (NSHIP-AP) to develop a modern greenfield shipyard at Dugarajapatnam in Andhra Pradesh.
The Memorandum of Understanding (MoU) was signed in the presence of Andhra Pradesh Chief Minister N Chandrababu Naidu. The agreement was signed by Capt. Jagmohan (Retd.), Chairman and Managing Director of MDL, and Praveen Adhithya C.V., IAS, Managing Director of NSHIP-AP.
The proposed shipyard is part of Andhra Pradesh’s plan to develop a major shipbuilding and port cluster at Dugarajapatnam. MDL will serve as the anchor shipyard for the project.
Chief Minister Chandrababu Naidu said the state wants to play a major role in India’s goal of becoming one of the world’s top five shipbuilding nations by 2047. He said Andhra Pradesh will use its long coastline, strategic location and industrial base to expand its maritime sector.
Under the MoU, MDL plans to invest around Rs 15,000 crore in the project over the next five to seven years, subject to necessary approvals and clearances. The project is expected to create direct and indirect employment opportunities for around 45,000 people.
The proposed shipyard will have an initial capacity of 1.2 million gross tonnes per year, with scope for future expansion. It will build different types of commercial vessels, including tankers, bulk carriers, container ships, LNG carriers and other specialised vessels.
The wider Dugarajapatnam shipbuilding and port cluster is estimated to require around Rs 29,254 crore for the shipbuilding and ship repair yard and Rs 9,513 crore for the port. The port is proposed to be developed by the Government of India.
The project is being developed under the Government of India’s Shipbuilding Development Scheme. NSHIP-AP, a special purpose vehicle formed by the Andhra Pradesh Maritime Board and Visakhapatnam Port Authority, selected MDL as the anchor shipyard.
MDL Chairman and Managing Director Capt. Jagmohan said Dugarajapatnam has the potential to support a globally competitive shipyard serving both Indian and international markets.
The project is also expected to create opportunities in marine engineering, manufacturing, logistics and other supporting industries, helping build a larger maritime ecosystem in Andhra Pradesh.
Separately, MDL is also exploring a proposed Rs 15,000 crore greenfield shipbuilding cluster in Maharashtra. The company is studying the project and will seek the required approvals before finalising its investment plans.
MDL is also awaiting major naval orders, including the P-75I submarine programme. The company expects these orders to strengthen its order book in the coming period.
