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Home Investment

Indian Defense Shipyards eye global orders; on modernization spree

Fiinews by Fiinews
May 24, 2015
in Investment, Projects
Reading Time: 2 mins read
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Indian shipyards are in a modernization spree and are eyeing international projects of repute that will firmly put them on the global marine map. Their initiatives assume importance as they come at a time when the central government has initiated the ‘Make in India’ drive and the Prime Minister Narendra Modi has just returned after visiting one of the world’s largest shipyards in Ulsan, South Korea, belonging to Hyundai Heavy Industries.
India’s Garden Reach Shipbuilders & Engineers or GRSE is aiming to build two Frigates for the Philippine Navy and supply patrol vessels for Vietnam Board Guards. Separately, Goa Shipyard Ltd., or GSL’s international order book includes building two vessels for Sri Lanka to be delivered from 2017 onwards.
GRSE has also initiated dialogue and continues to explore business opportunities in developing nations of North Asia, Africa, the Middle East and Latin America.
In its efforts to bag the contracts, the company will be participating in two international tenders, where it is competing with European and South Korean yards. These are part of company’s export initiatives, said R. C. Nautiyal, Director at GRSE, one of the leading shipyards under the Ministry of Defence.
“GRSE is the only Indian shipyard to have qualified for these international tenders,” Nautiyal said at the recent International Maritime Defence Exhibition (IMDEX Asia 2015) in Singapore.
Participation in these global tenders comes close on the heels of GRSE’s export of warships to Mauritius in December last year. Buoyed by the positive global response to its maritime and naval vessels, GRSE is focusing on export markets for Landing Ship Tank, Fast Attack Crafts, Offshore Patrol Vessels, Inshore Patrol Vessels and Portable Bridges, Nautiyal said.

MODERNIZATIION & ADVANCED PROJECTS
Meanwhile, GRSE, along with Mazagon Dock Ltd, or MDL and GSL are in various phases of modernization and building a large number of vessels for Indian defense.
A seven-vessel project is being undertaken at the two shipyards and is in various stages of planning and implementation with the first frigate to be delivered in the next five years.
It would be one of the most advanced marine project for which the Indian shipyards plan to seek collaboration for technology with international shipyards, specializing in building high-tech defense systems.
“We will collaborate to gain from technology transfer with international shipyards but we are also technically qualified and in a good position to do projects for other countries,” said Rakesh Anand, director of corporate planning at MDL.
Anand said MDL needs to keep updated with advanced technologies through interaction with international shipbuilders for making high-end products and keep abreast with the global maritime industry.
In the past MDL has also undertaken commercial projects and delivered multi-support vessels to global oil companies as well as hydrocarbon exploration rigs to the Indian oil and gas enterprises.
Goa’s GSL is undertaking a massive upgradation and modernization program at a cost of almost INR8 billion, GSL director of operations, Shrihari Pai Raikar, said. “With this modernized facility in place, the shipyard’s vessel building and repair capacity will increase multifold,” he said.
GSL will be able to undertake construction of one of the most advanced vessels for India called Mine Counter Measure Vessels, Raikar pointed out.

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