India Seeks Partnerships With South Korean and Japanese Shipbuilders for Enhancing Its Maritime Sector
India is actively seeking partnerships with Japanese and South Korean shipbuilders to enhance its own shipbuilding capabilities. Indian authorities seek to expand their market share of shipbuilding, which currently stands at 1%, and become a competitive player in the global landscape. A high-level Indian delegation landed in South Korea early in December. They visited major South Korean shipyards, including Hyundai Heavy Industries and Samsung Heavy Industries, to discuss potential collaborations. Such partnerships with shipbuilding giants will greatly help Indian players to get up to speed with best practices and technologies in shipbuilding.
Indian officials have also approached Japanese shipbuilders such as Mitsubishi Shipbuilding and Mitsui Engineering to assess their interest in a potential shipbuilding partnership. The Indian automotive industry achieved great success in the past decades due to partnerships with Japanese and South Korean automakers, and the current shipbuilding venture is an attempt to replicate the success.
Additionally, the Indian government is also providing support and financial incentives for encouraging shipbuilding. Shipbuilding and repair clusters across various states in India are being considered by the Indian government. The government is looking to provide land and investments for foreign investments in these ventures. A proposed Maritime Development Fund (MDF) of 25,000 crore rupees ($2.92 billion) is intended to offer long-term financial assistance for indigenous shipbuilding efforts.
In line with advancing its maritime sector, India is seeking to become top 10 in global shipbuilding, from the 17th rank that it holds now.
