Renewed Global Demand To Sail Gujarat’s Shipbuilding Yards Out Of Troubled Waters

| Updated: February 13, 2023 4:27 pm

Once known as a major hub for ship building, Gujarat’s claim to the same is now a questionable one. Of the seven ship-building yards in the state, three major names are lying shut since a decade. These include: ABG Shipyard at Dahej and at Hazira and Reliance Naval at Pipavav. 

Reasoning the downslide, Mehul Patel, director, Bhavnagar-based Modest Infrastructure Ltd shares that the “Make in India” campaign created backward value chains for the industry, thereby reviving the nearly dying sector with the thrust on production of ship grade aluminium and steel manufacturing plants. 

As he puts it: “Our ship repairing facility is now running at 70% of optimal capacity. Our ships are still about 15-20% costlier than those made in China but a greater demand for ships worldwide has worked in our favour. A decade ago we did not have the plants to manufacture ship grade aluminium and so we slowed down.”

When asked to explain Pipalav’s failure, he shared: “Despite the best facilities, including panel-line assembly and Goliath cranes, this yard failed in generating production. On the other hand, the Dahej and Hazira units floundered due to recession.”

Among yards still operational are, Modest Infrastructure Ltd (Bhavnagar), Shoft Shipyard Ltd (Bharuch), L&T Ltd (Hazira), And Wadia Boat Builders (Navsari).

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