Garden Reach Shipbuilders & Engineers Ltd (GRSE), recently elevated to ‘Navratna’ status, has announced plans to establish a joint venture with Modest Infrastructure Pvt Ltd, a subsidiary of Dempo Shipbuilding and Engineering Pvt Ltd, ET Infra reported.

The collaboration will see the creation of a ₹3,000 crore integrated greenfield shipyard at Ratanpar in Gujarat’s Bhavnagar district. This marks GRSE’s first venture outside its traditional base in Kolkata, reflecting its ambition to expand operations under the Ministry of Defence’s oversight.

The conferment of ‘Navratna’ status provides GRSE with enhanced financial and operational autonomy, enabling faster strategic investments, expansions, and joint ventures. This autonomy is particularly significant as GRSE explores diversification into container manufacturing, supported by the Union Budget’s ₹10,000 crore program over five years to build a globally competitive container manufacturing ecosystem. The initiative is designed to counter China’s dominance in this sector and strengthen India’s industrial resilience.

The Ratanpar shipyard will be strategically located on the shores of the Gulf of Cambay, with a 1.4 km waterfront spread across 58 hectares. Of this, 16.1 hectares are owned by Modest Infrastructure, while the remainder will be leased from the Gujarat government.

The facility will be capable of constructing vessels up to 45,000 Deadweight Tonnage (DWT), including one ship of 45,000 DWT, three ships of 20,000 DWT, and six offshore support vessels or platform supply vessels annually. It will also be equipped for afloat repairs of offshore rigs and supply vessels, enhancing India’s maritime repair capacity.

The Expert Appraisal Committee of the Ministry of Environment, Forest and Climate Change recommended environmental clearance for the project on 29 May, paving the way for its phased development.

The investment will be executed in stages, ensuring sustainable growth and alignment with India’s broader shipbuilding revitalisation program worth ₹69,725 crore, approved by the Union Cabinet last year. This program aims to boost domestic shipbuilding capacity and reduce reliance on foreign yards.

India has set ambitious targets to break into the world’s top ten shipbuilding nations by 2030 and the top five by 2047. Achieving this requires a forty-fold increase in shipbuilding output to 4.5 million Gross Tonnage (GT) by 2047.

GRSE’s expansion into Gujarat is a critical step towards meeting these targets, complementing its ongoing projects to expand capacity at its Kolkata yard from 28 to 32 platforms by December through modernisation initiatives.

Chairman and Managing Director Commodore P. R. Hari (Retd) highlighted during the FY26 earnings call that GRSE is pursuing two brownfield shipbuilding facilities in West Bengal and two greenfield facilities, one in West Bengal and one in Gujarat.

He emphasised that the government’s revitalisation program and aggregated demand from the Ministry of Shipping will drive momentum in the commercial shipbuilding segment, positioning GRSE to capitalise on emerging opportunities.

Modest Infrastructure currently operates a shipbuilding and repair facility at Ramsar in Bhavnagar, capable of constructing medium-sized vessels up to 6,000 DWT. The Ramsar yard features a 220-metre waterfront, enabling construction of ships up to 110 metres in length and 20 metres in breadth, with a launching draft of 4.5 metres.

It is designed to facilitate the simultaneous construction of eight vessels and includes a side launching facility with two dry docks for building and repair. This existing expertise will complement GRSE’s capabilities in the joint venture, ensuring efficient execution of the Ratanpar project.

The Ratanpar shipyard represents a landmark in India’s maritime industrial expansion, combining GRSE’s defence shipbuilding expertise with Modest Infrastructure’s regional presence. It underscores India’s determination to strengthen its shipbuilding industry, diversify into container manufacturing, and achieve global competitiveness in maritime infrastructure.

Agencies