BHUBANESWAR: The Paradip Port Authority (PPA) and the Odisha Maritime Board (OMB) have signed an MoU to develop a national shipbuilding cluster on the northern bank of Mahanadi river in Kendrapara district.
This agreement signed on September 19, aligns with India’s ambitious Maritime Amrit Kaal Vision-2047, aims to position the nation among the top five shipbuilding countries globally.
The proposed shipbuilding cluster will be located on the Mahanadi riverbank opposite the IFFCO plant in Paradip with an estimated cost of Rs 24,700 crore. The project aims to create a fully integrated ecosystem, featuring one or more large shipyards with a combined capacity of 1-1.2 million gross tonnage (GT) per annum.
Key components of the proposed cluster include a dedicated waterfront of 2.0-2.5 km and a land area of 2,000-2,500 acre. Ancillary industries like engine-manufacturing, steel fabrication and equipment suppliers will support the shipbuilding process. Common infrastructure, including administrative offices, training centres and research and development facilities will be established.
“The shipbuilding cluster will significantly boost the state’s maritime industry and contribute to its economic growth. The cluster will be supported by various industries, including steel, engineering, and electronics, which will contribute to the growth of the maritime sector. It will provide training and skill development opportunities, enabling the local workforce to acquire the necessary skills to work in the maritime industry,” said Commerce and Transport minister Bibhuti Bhusan Jena.
The PPA and OMB will collaborate on developing the necessary landside and riverside infrastructure to fast-track the project. This cluster-based approach is designed to attract investment, enhance competitiveness and drive sustainable growth in India’s commercial shipbuilding capacity.
The PPA, OMB and Sagarmala Finance Corporation signed another tripartite agreement for development of a new all-weather greenfield satellite port at Bahuda Muhana in Ganjam district. The project is estimated to cost around Rs 21,500 crore and have the capacity to handle 150 million tonne of cargo per annum. The PPA will act as the lead member of the venture leveraging its experience in port development and operations.