The Cabinet Committee on Economic Affairs has approved the development of a state of the art ship repair facility at Vadinar in Gujarat, to be jointly implemented by Deendayal Port Authority (DPA) and Cochin Shipyard Limited (CSL). The project carries a combined investment of Rs 15.7 billion (Rs 15.7 bn). It is planned as a brownfield facility with a 650 metres jetty, two large floating dry docks, workshops and associated marine infrastructure.

Vadinar has a natural deep draft and direct connectivity to major shipping routes and its proximity to ports such as Mundra and Kandla makes it favourable for repair operations for large commercial and foreign flagged vessels. The facility will enable repairs for vessels up to 300 m in length, addressing a capacity gap for vessels exceeding 230 m. Enhanced turnaround times and strengthened repair capability on the western coast are expected to improve the competitiveness of Indian ports.

The initiative is designed to reduce dependence on foreign shipyards and to curb foreign exchange outflow by enabling high value repairs to be carried out within India. It will create opportunities for skill development and is anticipated to generate approximately 290 direct and around 1,100 indirect jobs across ship repair, logistics and ancillary industries. The project is also expected to catalyse growth of maritime ancillary services and MSMEs in the surrounding region.

Officials have said the facility will contribute to regional economic growth and support India's long term maritime objectives under Maritime India Vision 2030 and Maritime Amrit Kaal Vision 2047. Implementation will be led jointly by DPA and CSL with the aim of building a broader maritime industrial ecosystem on the western seaboard. The development is described as a major expansion of the national ship repair ecosystem.