Cabinet clears ₹1,570 crore ship repair facility in Gujarat's Vadinar

The Cabinet Committee on Economic Affairs, chaired by Prime Minister Narendra Modi, on Tuesday approved the development of a state-of-the-art ship repair facility at Vadinar in Gujarat with an investment of ₹1,570 crore.

The project will be jointly implemented by Deendayal Port Authority and Cochin Shipyard Limited, the government said in a statement.

PM Modi said that the Cabinet approval for a world-class ship repair facility at Vadinar marks an important step in strengthening India’s maritime capabilities.

"It will enhance our ability to service large vessels, generate employment, boost ancillary industries and improve the competitiveness of our ports," he posted on X.

Planned as a brownfield development, the facility will include a 650-metre jetty, two large floating dry docks, workshops and associated marine infrastructure.

The location at Vadinar offers a natural deep draft and proximity to major ports such as Mundra Port and Kandla Port, according to the release, making it suitable for handling large commercial and foreign-flagged vessels.

“You must have recently seen major reforms in the ship manufacturing, ship repair, maritime reforms, and shipping sectors, as people around the world are looking for a reliable partner in ship manufacturing... India can establish itself there,” Union Information and Broadcasting Minister Ashwini Vaishnaw said at the Cabinet briefing.

Vaishnaw said the facility will have two floating dry docks of about 300 metres each, with a deep draft of 14 metres, and a capacity to repair up to 34 ships annually.

The project is expected to address a critical gap in India’s ship repair capability, particularly for vessels exceeding 230 metres in length.

“By enabling repair of vessels up to 300 m, the facility will allow high‑value repairs of large vessels within India,” the official release said. “This will significantly reduce dependence on foreign shipyards and curb foreign exchange outflow.”

The facility is also projected to generate around 290 direct jobs and about 1,100 indirect employment opportunities across ship repair, logistics and ancillary services, while boosting MSMEs in the region.

“Enhanced turnaround times and strengthened repair capability on the western coast will improve the overall competitiveness of Indian ports,” the government said.