In the last four years, India’s shipyards clinched orders worth Rs 6,800 crore for 88 vessels, bolstered by the Shipbuilding Financial Assistance Policy (SBFAP).
Minister Sarbananda Sonowal disclosed in the Rajya Sabha that 31 shipyards successfully delivered 69 vessels valued at Rs 1,145 crore to both domestic and international clients. The Government’s recent initiative to offer increased SBFA funding for green fuels and hybrid vessels anticipates additional shipbuilding orders.
Introduced to support the shipbuilding industry and promote “Make in India,” SBFAP enables Indian shipyards to compete globally. Operating from April 1, 2016, to March 31, 2026, the scheme features a declining financial assistance rate from 20 percent to 11 percent.
Recent updates expand eligible vessels to include wind farm installation and advanced dredgers, offering a 30 percent financial assistance rate for green fuel-dependent vessels and 20 prercent for electric or hybrid propulsion.
