Pipavav Shipyard begins construction of naval ship for Indian Navy

Infrastructure Today News Bureau

Nikhil Gandhi promoted Pipavav Shipyard, major private shipbuilding and offshore infrastructure company begins construction of defence naval ship for Indian Navy. This is the first time any private shipyard received a contract to build such naval ship for Indian Navy.

The contract of Rs 3,000 crore is naval OPVs fitted with 76mm. Oto Melara Guns. The naval ship is expected to be delivered to Indian Navy in next 24-30 months. US based ‘Alion’ is the technology provider of the ship while the ship construction will be overseen by Indian Navy.

With this contract Pipavav Shipyard is became the first company in the country to receive the license and contract to build warships and also the first private company to form joint venture with the state owned naval defence major Mazagon Dock Ltd.

"Commencement of the warships at the private yard like Pipavav is expected to generate huge interest among the other players in the naval defence field both in India and across the globe," said Nikhil Gandhi, Executive Director and Chairman, Pipavav Shipyard told Infrastructure Today.

Pipavav is working to build warships like Frigates, Destroyers and Aircraft Carriers taking the advantage of its mammoth dry docks that it has built, he added.

Beside, this contract Pipavav Shipyard is also in talks with 12 countries in building/ co building submarines for respective countries navy and coast guards. Pipavav Shipyard has also set up a separate ‘Foreign Military Sales group’ to work on export market. Meanwhile, the company also is in advanced stage to set up 3 more JV’s in overseas market to increase its business presence, said Gandhi adding "We intend to keep 51-74 percent stake in all these JV’s".

Recently, Ministry of Defence introduced policy for private sector to participate in the defence production sector which has encouraged private sector players like TATA, Mahindra, L & T, Piramal, Godrej, Hinduja, Wipro, Kalyani Group to enter in this segment. Ministry of Defence also likely to give out contracts to the tune of nearly USD 247 Billion over next 4 to 5 years comprising Fighter Jets, Submarines, Frigates, Aircraft Carriers, OPVs, Corvetts, Missile Systems, Guns, Tanks and other military hardware.