India’s maritime sector received a major boost with the signing of a landmark tripartite Memorandum of Understanding (MoU) for the development of the country’s first mega greenfield shipyard at Thoothukudi in Tamil Nadu.
The agreement was signed on April 20, between HD Korea Shipbuilding & Offshore Engineering (HD KSOE), National Shipbuilding & Heavy Industries Park, Tamil Nadu Limited (NSHIP-TN), and Sagarmala Finance Corporation Limited (SMFCL) under the Ministry of Ports, Shipping and Waterways.
The MoU was exchanged in the presence of Union Ports, Shipping and Waterways Minister Sarbananda Sonowal during the state visit of South Korean President Lee Jae Myung to India.
The project has been launched under the India-Republic of Korea maritime cooperation framework ‘VOYAGES’ – Shared Vision for Operation of Yard Assisted Growth with Efficiency and Scale – which was initiated following talks between Prime Minister Narendra Modi and President Lee Jae Myung.
The proposed shipyard at Thoothukudi is expected to have an annual shipbuilding capacity of 2.5 million Gross Tonnage (GT), making it one of the largest maritime infrastructure projects in the country. Officials said the project is expected to generate nearly 15,000 direct jobs after operations stabilise, besides creating substantial indirect employment opportunities across Tamil Nadu and neighbouring regions.
The mega facility will serve as the anchor unit of the Thoothukudi Shipbuilding Cluster being developed by NSHIP-TN. Authorities said the Techno-Economic Feasibility Report for the project has already been completed, while preparation of the Detailed Project Report is underway. The proposed cluster has also received in-principle approval under the National Shipbuilding Mission of the Government of India.
The development is aligned with India’s Maritime Amrit Kaal Vision 2047, which aims to place India among the world’s top five shipbuilding nations with a targeted output of 4.5 million GT annually by 2047. The Thoothukudi facility alone is expected to contribute more than half of the target capacity.
The Ministry of Ports, Shipping and Waterways (MoPSW) said the project is also expected to accelerate the growth of a broader maritime industrial ecosystem through ancillary manufacturing clusters, localisation of marine equipment supply chains, workforce training initiatives, and adoption of advanced digital and green shipbuilding technologies. The collaboration may also facilitate specialised training for Indian professionals and workers at HD KSOE facilities in South Korea.
The Centre had earlier announced a comprehensive ₹70,000 crore shipbuilding policy package in September 2025 to strengthen India’s maritime manufacturing capabilities and attract global investment into the sector.
Recent international orders placed with Indian shipyards have reflected growing global confidence in India’s shipbuilding ecosystem. These include vessel orders secured by Cochin Shipyard Limited and Swan Defence and Heavy Industries Limited from international clients.
Speaking on the occasion, Sonowal described the agreement as a “defining moment” in India’s journey towards becoming a global maritime power.
He said the partnership under the VOYAGES framework would bring world-class technology, innovation and green shipbuilding capabilities to India, while strengthening the country’s maritime ecosystem and generating thousands of skilled jobs.
The minister added that Thoothukudi is expected to emerge as a major global maritime and industrial hub as India advances towards achieving the goals of Maritime Amrit Kaal Vision 2047.
