The Maharashtra government has identified Dighi in Raigad district as the preferred location for a ‘mega greenfield shipbuilding cluster’ estimated at more than Rs 20,000 crore, with state-run Mazagon Dock Shipbuilders Limited (MDL) being approached to serve as the anchor shipyard.

Mumbai Port Authority Chairman M Angamuthu spoke to The Economic Times Infra and said, “that the key project has moved into a more concrete phase, adding that the site is a good location for the proposed cluster.”

“We have almost identified Dighi for the greenfield shipbuilding cluster in Maharashtra,” Angamuthu said, signalling that Maharashtra has narrowed its focus after earlier considering three locations — Nandgaon, Dighi and Vijaydurg. The identified site lies south of Dighi Port, which is operated by Adani Ports and Special Economic Zone Ltd (APSEZ).

Mumbai Port Authority and the Maharashtra government have formed an equal special purpose vehicle (SPV) to develop the project. The SPV will be responsible for building common infrastructure on both land and the waterfront, laying the groundwork for a full-scale shipbuilding ecosystem.

Mazagon Dock Shipbuilders Limited tapped as anchor shipyard

The state government is actively seeking an anchor shipyard for the cluster, and Mazagon Dock Shipbuilders has been asked to play that role. “They have responded in black and white that they are supporting us. We are pushing it and the Maharashtra government is also proactively pursuing it,” Angamuthu said.

A Detailed Project Report and feasibility study for the Dighi project is being prepared by Haskoning India Consulting Pvt Ltd, indicating that the initiative is moving through formal planning and technical evaluation.

Rs 19,989 crore grant scheme to support shipbuilding infrastructure

Once the anchor shipyard is finalised, the cluster will be supported under the Union government’s Shipbuilding Development Scheme, which has been allocated Rs 19,989 crore. The scheme, approved by the Union Cabinet last year, is designed to support the development of three to four greenfield shipbuilding clusters across India, with one cluster per state.

The scheme offers 100 per cent capital assistance as a grant for eligible infrastructure components such as breakwaters, tide-independent basins, wave breakers, channel and basin development, land reclamation, area grading, regional shipbuilding capability development centres, common maritime assets like barges and floating cranes, internal infrastructure, utilities and land development.

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What the ‘greenfield shipbuilding cluster’ will include?

The state government will need to provide land, clearances and connectivity, while also extending fiscal incentives, tax rebates or policy support through its own schemes to attract investors and accelerate execution.

The proposed cluster will be developed as a plug-and-play industrial hub designed to host a complete shipbuilding and repair ecosystem. Each cluster will include a waterfront of about 2 km and a landside area of around 2,000 acres, including 1,000 acres each for shipyards and ancillary industries, along with internal and social infrastructure and shared facilities.

The project is expected to create a broad shipbuilding supply chain, with ancillary industries covering engine manufacturing, steel and component fabrication, suppliers of shipboard machinery, equipment and systems, and other allied industrial units. The cluster will include one or more large shipyards with a combined capacity of about 1.2 million gross tonnage per annum.

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The SPV must secure investment commitments from one or more anchor shipyards, and at least one of them must have a design capacity of at least 0.5 million gross tonnage per annum. That capacity must be achieved within ten years from the date the shipyard is commissioned, underscoring the long-term scale and ambition of the project.

The initiative fits into India’s larger maritime manufacturing strategy, with the country aiming to raise shipbuilding output 40 times to 4.5 million gross tonnage by 2037. If implemented as planned, the Dighi cluster could become a major industrial and maritime asset for Maharashtra and a significant contributor to India’s shipbuilding ambitions.

Note: An earlier version of the story missed attributing the interview to Economic Times. This error has been rectified.