Maharashtra: Maritime Development Gets Shot In The Arm With New Fadnavis Govt's Shipbuilding Policy
The decision is expected to boost the shipbuilding, repair, and recycling industries and attract new projects. The move will also help the central government earn valuable foreign exchange.
Mumbai, May 17 (PTI) The Maharashtra government has approved a shipbuilding policy to develop the state's maritime infrastructure and promote ship repair and recycling activities, an official said on Saturday.
The Maharashtra Shipbuilding, Ship Repair, and Ship Recycling Facility Development Policy 2025 was approved in the last cabinet meeting, and a Government Resolution (GR) was issued on Friday, he said.
The decision is expected to boost the shipbuilding, repair, and recycling industries and attract new projects.
The move will also help the central government earn valuable foreign exchange.
Recognising the significant importance of the maritime sector in driving economic and industrial growth, the state has identified the need to develop foundational infrastructure in this domain.
While the government has the Maharashtra Maritime Development Policy 2023 to regulate and develop small ports along the state's coastline, the new policy now has provisions specifically for shipbuilding, repair, and recycling.
Maharashtra's strategic location on India's west coast presents a substantial opportunity for the construction of new vessels, maintenance of existing ships, and organised recycling of decommissioned ships.
According to the GR, the state aims to encourage private sector participation in building the necessary infrastructure.
The initiative will also help generate new employment opportunities, as there is a need to develop a skilled workforce at various levels, increase cargo handling capacity, and attract investments in the port sector.
The Central government's ambitious programmes — Maritime India Vision 2030 and Maritime Amrit Kaal Vision 2047 — have outlined goals for shipbuilding, repair, and recycling, with Maharashtra targeting a one-third share of the national effort.
To achieve this, the state aims to encourage small and medium enterprises, create jobs, promote innovation through R&D investments, and enable collaboration.
The new policy outlines three development models, including maritime shipyard clusters, under which clusters of shipyards will be built to promote industry growth and efficiency, standalone shipyards to encourage individual shipyards to operate and provide specialised services, and developing shipyard projects at ports.
Private sector participation will be encouraged under all three models.
These projects will enable the construction and repair of Indian vessels, enhancing the country's presence in maritime transport and reducing foreign exchange outflow, the GR stated.
As per the policy, private entrepreneurs will receive capital subsidies of 15 per cent of the project cost, and it will be disbursed in four equal instalments during the construction phase, each after 25 per cent of the work is completed and the final instalment once commercial operations commence.
Developers or private entities setting up skill development facilities for shipbuilding, repair, or recycling will receive 60 per cent of the project cost or Rs 5 crore, whichever is lower, the GR stated.
Apart from this, an annual financial aid of 50 per cent of the incurred cost or Rs 1 crore, whichever is lower, will be provided for employee skill development or upskilling.
The state has also approved capital assistance up to 60 per cent of the facility cost or Rs 5 crore, whichever is lower, for developers or private institutions setting up shipbuilding, repair, or recycling facilities, it was stated.
(This report has been published as part of the auto-generated syndicate wire feed. Apart from the headline, no editing has been done in the copy by ABP Live.)
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