The extensive coastline of Andhra Pradesh, stretching over 1,053 kilometres, is finally being positioned as a central pillar of India’s industrial strategy. After decades of underutilised potential, the state is making a decisive move to transform its maritime landscape into a premier hub for shipbuilding and repair.

This shift is closely aligned with the central government’s Maritime Amrit Kaal Vision 2047, which seeks to modernise and expand India's presence on the high seas.

A cornerstone of this ambitious plan is the identification of Dugarajapatnam in the Tirupati district as a primary site for a national shipbuilding cluster. This location joins an elite group of sites in Tamil Nadu, Gujarat, Odisha, and Maharashtra earmarked for large-scale maritime development.

To facilitate this, the state government has established a Special Purpose Vehicle, NSHIP-AP Ltd, tasked with developing essential infrastructure such as dry docks and dredging to attract private investment.

The scale of the Dugarajapatnam project is significant, with 3,500 acres of land currently being acquired to house both the main shipyard and essential downstream industries. The target is to achieve a capacity of 1.20 million gross tonnage per year. This fits into a broader state objective to command a 25% share of India’s total shipbuilding capacity by the year 2047, a goal supported by the recently approved AP Maritime Policy 2024–29.

Strategic partnerships are already being solidified through memoranda of understanding with major defence public sector undertakings, including Hindustan Shipyard Limited, Garden Reach Shipbuilders & Engineers, and Goa Shipyard Limited. These entities are expected to act as anchor investors, not only for the primary cluster at Dugarajapatnam but also for auxiliary facilities in locations such as Kakinada, Srikakulam, and Gangavaram.

Further north, the historic Hindustan Shipyard Limited (HSL) in Visakhapatnam serves as a testament to the region's maritime heritage and future potential. Since its inception in 1941, HSL has evolved from a conventional builder into a sophisticated provider of naval platforms and research vessels. Recently, the yard has seen a remarkable financial turnaround, with turnover jumping from £57.4 million (₹574 crore) in 2019–20 to an impressive £147.1 million (₹1,471 crore) in the 2024–25 period.

The military significance of the region is underscored by the Ship Building Centre in Visakhapatnam, a high-security facility dedicated to the indigenous construction of nuclear-powered submarines. With the successful commissioning of vessels like INS Arihant and INS Arighaat, and plans for a new class of larger attack submarines, the state is cementing its role as a vital component of national security and technical innovation.

Beyond heavy industry, the state is also fostering niche maritime technology. A recent foundation stone was laid for an autonomous maritime shipyard at Juvvaladinne, focusing on advanced systems development.

With a tender deadline for a new cluster at Machilipatnam set for mid-April, the state’s multi-pronged approach suggests that Andhra Pradesh is no longer merely watching the tide, but is now actively steering the future of the Indian maritime industry.

Agencies