DCI is embarking on a ₹3,560 crore fleet expansion program, aiming to acquire 11 new dredgers while simultaneously exploring ship-repair tie-ups with major shipyards to reduce downtime and improve operational efficiency.

The company is also securing longer-duration dredging contracts to ensure business stability and visibility.

The State-owned Dredging Corporation of India Ltd (DCI) is actively pursuing collaborations with Hindustan Shipyard Ltd and Mazagon Dock Shipbuilders Ltd to secure dry-docking and ship-repair facilities. This initiative is designed to reduce vessel turnaround time and improve fleet availability, a critical need as the company undertakes an ambitious expansion program.

DCI plans to acquire 11 new dredgers over the next five years with an indicative investment of ₹3,560 crore. This expansion will be financed through a mix of equity and debt.

The new vessels will include different types and capacities to serve both port and inland waterway applications, ensuring the company is well-prepared for emerging opportunities in deeper channels and larger vessel operations.

Chairman Jasmeet Singh Bindra highlighted that while the existing fleet has served the company well, ageing vessels and dry-docking requirements are affecting availability and utilisation. He emphasised the need to build the right fleet to match the evolving demands of India’s ports.

Managing Director and CEO S Divakar explained that by entering into MOUs with shipyards, DCI could reduce downtime by up to two months. Currently, shipyards are operating at full capacity, leading to delays in dry-docking slots. With planned tie-ups, yards can schedule repairs in advance, thereby increasing available dredging days.

Typically, dredgers require repairs every two-and-a-half years within a five-year cycle, with three to four vessels undergoing maintenance annually. A collaboration with shipyards could significantly shorten this turnaround time, boosting operational efficiency.

A key element of the fleet renewal program is the DCI Dredge Godavari, a 12,000-cubic-metre Trailer Suction Hopper Dredger under construction at Cochin Shipyard Ltd with technical collaboration from Royal IHC. Launched in October 2025, the vessel is expected to join the fleet during 2026-27, adding substantial capacity.

DCI is also examining longer-duration dredging contracts to provide greater visibility for capacity planning and investments. In line with Ministry directives, the company is considering contracts with longer tenures to better align fleet capacity, business visibility, and capital allocation.

The company secured several new contracts in the last financial year. These include five-year maintenance dredging contracts for the Mumbai Harbour Channel and JN Port Channel covering 2025-26 to 2029-30. It also received maintenance dredging work for channels and basins at Cochin Port. 

Additionally, DCI won an order at VOC Port in Thoothukudi for removing spillage, loose materials, and disturbed seabed in the Inner Harbour basin and approach channel using a Backhoe Dredge.

Industry observers note that DCI’s expansion and shipyard collaborations are critical to modernising India’s dredging capacity.

With ports deepening channels to accommodate larger vessels, the company’s strategy of fleet renewal and long-term contracts will ensure it remains a key player in India’s maritime infrastructure development.

Agencies