Minister of Shipping Sarbanandan Sonowal announced on Wednesday that the Detailed Project Report (DPR) for the proposed shipbuilding plant, which could become the largest foreign investor project in India, will be completed within six months.
This report, concerning the mega-project in Tutukudi, will cover aspects such as the range of vessels to be produced, production capacity, infrastructure requirements, overall project costs, and its implementation schedule.
The Minister held a meeting with Jon Ki-song, chairman of the South Korean giant HD Hyundai, which earlier this year was marked by the announcement of an investment of nearly $4 billion in the construction of a new shipyard in Tuticorin, Tamil Nadu.
According to the Ministry of Shipping, a Joint Working Group (JWG) will now oversee the development of the project. The parties intend to agree on the structure of the joint venture, and the Detailed Project Report (DPR) is expected to be finalized within half a year.
The proposed plant, being developed under the Central Shipbuilding Development Scheme, is planned to have an annual construction capacity of about 2.5 million gross tons (GT), subject to confirmation during the DPR.
The Ministry noted that after commissioning, this plant is expected to become the largest commercial shipbuilding enterprise in India, significantly strengthening domestic shipbuilding capabilities and India's competitiveness in the global maritime market.
During the meeting, HD KSOE reaffirmed its firm intention to participate as the main strategic investor, providing its global expertise in the design, construction, advanced manufacturing, and operation of shipyards.
The Ministry added that further discussions will focus on approving the proposed investment structure, shareholder participation, and implementation plans, subject to due diligence and obtaining necessary clearances.