The approval marks a significant step towards establishing Maharashtra as a major shipbuilding and ship-repair hub and strengthens the Centre’s broader strategy to expand India’s domestic shipbuilding capabilities.The decision follows the Maharashtra government’s selection of Dighi as the preferred location for the proposed cluster after evaluating three other sites. The National Shipbuilding Mission, headed by Vijay Kumar, Secretary, Ministry of Ports, Shipping and Waterways, granted the in-principle approval on Monday, according to industry sources.The Dighigreenfield shipbuilding cluster will be developed by the National Shipbuilding & Heavy Industries Park, Maharashtra (NSHIP, MH), an equal special purpose vehicle (SPV) formed by the Mumbai Port Authority and the Government of Maharashtra.The SPV will be responsible for developing the common infrastructure required for the cluster, including both landside and waterfront facilities.The in-principle approval enables the SPV to proceed with various preparatory activities required to secure the final project approval.With the Dighi approval, NSbM has now granted in-principle approval to five proposed greenfield shipbuilding clusters across India, including projects at Thoothukudi in Tamil Nadu, Dugarajapatnam in Andhra Pradesh, Kuchhadi in Gujarat and Kendrapada in Odisha.The proposed Dighi cluster is planned across approximately 2,000 acres, spread over two land parcels, with a 2.6-km waterfront offering a draft of around 14 metres in protected waters along the Dighi Creek.The site is located adjacent to Dighi Port, operated by Adani Ports and Special Economic Zone (APSEZ).The location is strategically positioned to serve the industrial ecosystem of western India. It has strong connectivity with the Pune-Kolhapur industrial belt and the proposed Dighi Smart City. Its proximity to major economic centres such as Mumbai and Bengaluru is also expected to support the availability and retention of skilled manpower.Haskoning India Consulting Pvt Ltd has been appointed to prepare the Detailed Project Report (DPR) for the proposed shipbuilding cluster.The proposed facility is envisaged as a comprehensive plug-and-play shipbuilding and ship-repair ecosystem, bringing together large shipyards, ancillary industries and common infrastructure within a single industrial cluster.Under the greenfield shipbuilding cluster framework, the development area is expected to include approximately 1,000 acres for shipyards and another 1,000 acres for ancillary industries, common facilities, internal infrastructure and social infrastructure.The cluster is expected to include one or more large shipyards with an aggregate capacity of around 1.2 million GT per annum.The SPV will also be required to secure investment commitments from one or more anchor shipyards. At least one anchor shipyard must have a design capacity of 0.5 million GT per annum, to be achieved within 10 years from the commissioning of the shipyard.Once the anchor shipyard is selected, the facility will become eligible for funding support under the government’s Shipbuilding Development Scheme (SbDS).

The Union government has allocated ₹19,989 crore for the Shipbuilding Development Scheme, approved by the Union Cabinet last year.

Of this, around ₹11,728 crore has been earmarked for the development of greenfield shipbuilding clusters, while ₹8,261 crore has been allocated to support brownfield shipyard expansion.The scheme envisages the development of three to four greenfield shipbuilding clusters, with a maximum of one cluster being supported in each state.The government will provide 100% capital assistance in the form of grants for eligible common infrastructure components. These include breakwaters, tide-independent basins, wave breakers, channel and basin development, land reclamation, area grading, regional shipbuilding capability development centres, common maritime assets such as barges and floating cranes, internal infrastructure, utilities and land development.

Under the scheme guidelines, land identified for a greenfield shipbuilding cluster is to be transferred by the respective state government to the project SPV at a nominal price of ₹1. Where suitable government land is unavailable, the state government may acquire the required land at its own cost.

The proposed Dighi cluster is expected to create an integrated ecosystem covering ship construction, ship repair, marine equipment manufacturing and a wide range of ancillary activities.      These ancillary industries could include engine manufacturing, steel and component fabrication, shipboard machinery and equipment suppliers, marine systems manufacturers and other allied industrial units, strengthening domestic value addition across the shipbuilding supply chain.   The Dighi project is expected to be one of the largest greenfield shipbuilding initiatives in India and will play an important role in the country’s long-term ambition to emerge as a globally competitive shipbuilding nation.   India has set an ambitious target of increasing its shipbuilding output 40-fold to 4.5 million GT by 2047, to become one of the world’s top five shipbuilding nations.

The Dighigreenfield cluster, along with similar projects being developed across the country, is expected to provide the infrastructure, industrial ecosystem and capacity required to support this transformation.