IN an interaction with TNIE, Cochin Shipyard chairman and managing director Madhu S Nair said the opening of the International Ship Repair Facility and the new dry dock will transform Kochi to a global maritime hub. Its close proximity to the international sea route will be a key attraction.
Excerpts.
Q What is the significance of the International Ship Repair Facility and the new dry dock?
A. This is a major chapter in positioning Kochi as a global maritime hub. With an experience of 50 years in ship building and repair, the Cochin Shipyard has gone through all sorts of challenges and is now a confident, technologically advanced and trustworthy company with sound financial background. An investment of Rs 2,800 crore in ultra modern infrastructure will spur significant growth and trigger activity across various sectors.
Q. What will be the new facility's contribution to state economy?
A. It has the potential to provide direct employment to 4,000 people. The ship building and repair industry has a multiplier effect of four to five times
because these projects will trigger activities across sectors, including MSME, logistics and transport services, banking, insurance and hospitality. With the new project, CSL will be able to repair 150-160 ships per year. Currently, we repair 80-90 ships.
Q. What is CSL’s share in country’s ship building and repair sector?
In ship repair, our market share is 40-50%. After the commissioning of the new facility, it will rise to 60%. We have seven units -- one each in Mumbai,
Kolkata, Howrah, Udupi and Port Blair and two in Kochi. We are yet to see full benefits, but will be visible in the next few years. These investments will
really help the country in the long term, both from strategic and economic points of view.
Q. How will it help CSL increase footprint internationally?
We have already exported around 50 ships to Europe. Globally, ships are moving away from fossil fuels. CSL is building vessels using advanced technology, adopting electrical means of operation. A German client has contracted us for two methanol-fuelled vessels that will be operating in the off-shore wind turbine sector. We expect more European orders for green vessels.
Q. What is our position in the global ship building market?
A. We are among the top 10 shipyards in green ship building. This year, we have set a turnover target of Rs 4,000 crore. Now a 500 million dollar company, we are definitely in the top league.
Q. Is CSL ready if the Centre decides to build a bigger aircraft carrier?
A. The new dry dock can accommodate an aircraft carrier of 70,000-tonne displacement. For perspective, INS Vikrant has a displacement of 45,000 tonnes. The new dry dock can take 600 tonnes of load per sq m. The dry dock is designed for a minimum life of 100 years. So, if India decides to build a bigger aircraft carrier, we are strategically well-positioned.
Q. What are the Navy projects?
A. We have taken up two Navy projects covering 14 ships. One is a Rs 6,000-crore project to build eight anti-submarine corvettes. The other project is to build six next generation missile vessels, at around Rs 10,000 crore.
Q. There were allegations that two boats built for Kochi Water Metro were given to Ayodhya. Is it true?
A. The two vessels were not taken out from the Kochi Water Metro fleet. Though the design is the same, the vessels were built for the Union government. We got the order in January 2023. The Centre is rolling out a huge project to have electric vessels in Indian rivers, to convert around 1,000 inland navigation vessels to electric power. The two projects were running simultaneously. We are hopeful of delivering three more vessels for Kochi in February.