Indian Shipyards Sail Beyond Warships

Indian shipyards are increasingly venturing beyond their traditional focus on naval vessels to embrace commercial shipbuilding, exports, and ship repair. This strategic shift aims to diversify revenue streams, attract foreign currency, and enhance the utilization of existing infrastructure.

Swan Defence and Heavy Industries, having emerged from insolvency in January 2024, has secured substantial export orders. These include contracts for six chemical tankers and four dual-fuel ammonia bulk carriers, marking a significant move into commercial shipping. Additionally, they will build four advanced tugs for Denmark's Svitzer, with deliveries starting in early 2028.

Garden Reach Shipbuilders and Engineers (GRSE) is also broadening its portfolio. While naval projects still form the majority, non-defence orders now constitute 25% of its shipbuilding order book, up from a previous 2%. GRSE is constructing 12 multipurpose vessels for a German client and also building research vessels, electric ferries, and dredgers.

Cochin Shipyard is strengthening its ship repair business, which contributed 36% of operating revenue in Q1 FY27. Its new International Ship Repair Facility enhances its capacity for recurring revenue. The company is also developing a commercial shipbuilding segment, with orders for battery-electric tugs for Svitzer and other specialized vessels.