India aims to boost its shipbuilding industry, offering incentives for greener ships to become a global leader by 2030.
In an ambitious move, the Indian government is set to introduce a new shipbuilding incentive program to elevate India’s shipbuilding industry into the global top 10 by 2030 and top 5 by 2047. The Ministry of Ports, Shipping, and Waterways (MoPSW) has developed this strategy to strengthen Indian shipyards, with the program extending through 2035.
Announcing the plan, T.K. Ramachandran, Secretary of MoPSW, highlighted the government’s dedication to advancing India’s shipbuilding capacity in alignment with the Maritime India Vision 2030 and Maritime Amrit Kaal Vision 2047. Sustainability is central to the program, offering 30 percent financial support for ships powered by green fuels such as methanol, ammonia, and hydrogen fuel cells. Vessels using electric or hybrid propulsion systems will receive 20 percent assistance, demonstrating India’s commitment to decarbonising the marine sector.
While the global shipbuilding market is dominated by China, Japan, and South Korea, accounting for over 90 percent of production, India contributes just 0.05%. The new initiative seeks to overcome barriers in efficiency, private participation, and regulatory support, addressing a critical opportunity as global shipyards are booked through 2028. By investing in green and sustainable practices, India positions itself to become a significant player in the global shipbuilding supply chain, leveraging economic and employment potential in the sector.
