{"id":156403,"date":"2026-05-26T15:38:16","date_gmt":"2026-05-26T22:38:16","guid":{"rendered":"https:\/\/www.lankaweb.com\/news\/items\/?p=156403"},"modified":"2026-05-26T15:38:16","modified_gmt":"2026-05-26T22:38:16","slug":"will-indias-new-shipyards-transform-the-indian-ocean-and-what-does-it-mean-for-sri-lanka","status":"publish","type":"post","link":"https:\/\/www.lankaweb.com\/news\/items\/2026\/05\/26\/will-indias-new-shipyards-transform-the-indian-ocean-and-what-does-it-mean-for-sri-lanka\/","title":{"rendered":"Will India\u2019s New Shipyards Transform the Indian Ocean \u2014 and What Does It Mean for Sri Lanka?\u201d"},"content":{"rendered":"

Dr Sarath Obeysekera<\/em><\/span><\/h2>\n\n\n

From IT Giant to Shipbuilding Giant: Can Modi\u2019s India Challenge China at Sea?\u201d<\/strong><\/p>\n\n\n\n

Prime Minister Narendra Modi is pushing one of the biggest maritime industrial strategies India has attempted since independence. The plan is not merely about building ships. It is about transforming India into a strategic maritime manufacturing power by 2047 under the Maritime Amrit Kaal Vision.\u201d  <\/p>\n\n\n\n

The proposed expansion includes:<\/p>\n\n\n\n

    \n
  • New greenfield shipbuilding clusters on both east and west coasts<\/li>\n\n\n\n
  • Expansion of existing shipyards like Cochin Shipyard Limited, Garden Reach Shipbuilders & Engineers and others<\/li>\n\n\n\n
  • Dedicated ship repair ecosystems<\/li>\n\n\n\n
  • Ship technology and design centres<\/li>\n\n\n\n
  • Maritime financing support funds<\/li>\n\n\n\n
  • Strategic naval and commercial ship production capability \u00a0<\/li>\n<\/ul>\n\n\n\n

    Where are the new shipbuilding hubs proposed?<\/h2>\n\n\n\n

    Reports indicate major clusters are planned in:<\/p>\n\n\n\n

      \n
    • Gujarat<\/li>\n\n\n\n
    • Tamil Nadu<\/li>\n\n\n\n
    • Andhra Pradesh<\/li>\n\n\n\n
    • Odisha<\/li>\n\n\n\n
    • Maharashtra<\/li>\n<\/ul>\n\n\n\n

      India is discussing collaborations with global giants including South Korean companies such as HD Hyundai.  <\/p>\n\n\n\n

      There are also plans for:<\/p>\n\n\n\n

        \n
      • autonomous shipyards,<\/li>\n\n\n\n
      • advanced fabrication yards,<\/li>\n\n\n\n
      • dry docks,<\/li>\n\n\n\n
      • modular ship block\u00a0<\/li>\n<\/ul>\n\n\n\n

        Can India realistically become a major shipbuilding power without enough iron ore and steel?<\/h2>\n\n\n\n

        The answer is:<\/p>\n\n\n\n

        India has iron ore \u2014 but shipbuilding-grade steel is the real challenge.<\/h2>\n\n\n\n

        India actually possesses large iron ore reserves. It is among the world\u2019s major iron ore producers. The problem is not raw iron ore availability.<\/p>\n\n\n\n

        The real bottleneck is:<\/p>\n\n\n\n

          \n
        • high-grade marine steel,<\/li>\n\n\n\n
        • specialized alloy steel,<\/li>\n\n\n\n
        • cryogenic steel,<\/li>\n\n\n\n
        • naval steel,<\/li>\n\n\n\n
        • precision fabricated steel plates,<\/li>\n\n\n\n
        • marine engines,<\/li>\n\n\n\n
        • propulsion systems,<\/li>\n\n\n\n
        • advanced electronics,<\/li>\n\n\n\n
        • LNG containment systems.<\/li>\n<\/ul>\n\n\n\n

          These are dominated globally by:<\/p>\n\n\n\n

            \n
          • China<\/li>\n\n\n\n
          • South Korea<\/li>\n\n\n\n
          • Japan<\/li>\n<\/ul>\n\n\n\n

            Why China dominates shipbuilding<\/h1>\n\n\n\n

            China controls:<\/p>\n\n\n\n

              \n
            • huge steel production,<\/li>\n\n\n\n
            • cheap financing,<\/li>\n\n\n\n
            • massive labour ecosystems,<\/li>\n\n\n\n
            • marine supply chains,<\/li>\n\n\n\n
            • state subsidies,<\/li>\n\n\n\n
            • port infrastructure,<\/li>\n\n\n\n
            • export financing.<\/li>\n<\/ul>\n\n\n\n

              China builds over 50% of global commercial ships today.<\/p>\n\n\n\n

              A shipyard alone is useless without:<\/p>\n\n\n\n

                \n
              • steel mills,<\/li>\n\n\n\n
              • engine manufacturers,<\/li>\n\n\n\n
              • propeller foundries,<\/li>\n\n\n\n
              • marine cable makers,<\/li>\n\n\n\n
              • automation suppliers,<\/li>\n\n\n\n
              • classification societies,<\/li>\n\n\n\n
              • logistics ecosystems.<\/li>\n<\/ul>\n\n\n\n

                This is why shipbuilding is called a mother industry.\u201d<\/p>\n\n\n\n

                India is trying to recreate this ecosystem almost from scratch.<\/p>\n\n\n\n

                Will India depend on Russia, China or South Africa?<\/h1>\n\n\n\n

                Partially yes.<\/p>\n\n\n\n

                India will almost certainly depend on:<\/p>\n\n\n\n

                  \n
                • imported marine-grade steel,<\/li>\n\n\n\n
                • imported propulsion systems,<\/li>\n\n\n\n
                • imported marine equipment,<\/li>\n\n\n\n
                • foreign design partnerships,<\/li>\n\n\n\n
                • technology transfer.<\/li>\n<\/ul>\n\n\n\n

                  Likely suppliers:<\/p>\n\n\n\n

                    \n
                  • South Korea for shipyard know-how<\/li>\n\n\n\n
                  • Japan for precision systems<\/li>\n\n\n\n
                  • China indirectly for steel and components<\/li>\n\n\n\n
                  • Russia for energy and some metallurgical cooperation<\/li>\n\n\n\n
                  • South Africa mainly as a mineral supplier rather than shipbuilding partner<\/li>\n<\/ul>\n\n\n\n

                    However, India will try very hard to reduce direct Chinese dependence because of strategic rivalry.<\/p>\n\n\n\n

                    The biggest challenge is not steel \u2014 it is productivity<\/h1>\n\n\n\n

                    A modern Korean or Chinese yard can build ships astonishingly fast because:<\/p>\n\n\n\n

                      \n
                    • they use modular construction,<\/li>\n\n\n\n
                    • robotic welding,<\/li>\n\n\n\n
                    • automated cutting,<\/li>\n\n\n\n
                    • highly disciplined supply chains,<\/li>\n\n\n\n
                    • synchronized subcontractors.<\/li>\n<\/ul>\n\n\n\n

                      India still struggles with:<\/p>\n\n\n\n

                        \n
                      • bureaucratic delays,<\/li>\n\n\n\n
                      • port congestion,<\/li>\n\n\n\n
                      • labour productivity,<\/li>\n\n\n\n
                      • inconsistent industrial execution,<\/li>\n\n\n\n
                      • financing delays,<\/li>\n\n\n\n
                      • environmental clearances.<\/li>\n<\/ul>\n\n\n\n

                        Even Indian defence projects often suffer delays.<\/p>\n\n\n\n

                        But India has some major advantages<\/h1>\n\n\n\n

                        1. Huge coastline<\/h2>\n\n\n\n

                        India has strategic access to the:<\/p>\n\n\n\n

                          \n
                        • Arabian Sea,<\/li>\n\n\n\n
                        • Bay of Bengal,<\/li>\n\n\n\n
                        • Indian Ocean.<\/li>\n<\/ul>\n\n\n\n

                          2. Cheap labour<\/h2>\n\n\n\n

                          Still far cheaper than Korea or Japan.<\/p>\n\n\n\n

                          3. Geopolitical opportunity<\/h2>\n\n\n\n

                          Many Western countries want alternatives to China.<\/p>\n\n\n\n

                          4. Rising navy demand<\/h2>\n\n\n\n

                          India\u2019s navy and coast guard expansion creates guaranteed domestic demand.<\/p>\n\n\n\n

                          5. Global shipping demand<\/h2>\n\n\n\n

                          The world needs:<\/p>\n\n\n\n

                            \n
                          • LNG carriers,<\/li>\n\n\n\n
                          • offshore vessels,<\/li>\n\n\n\n
                          • coastal cargo ships,<\/li>\n\n\n\n
                          • green fuel vessels,<\/li>\n\n\n\n
                          • naval patrol ships.<\/li>\n<\/ul>\n\n\n\n

                            Can India become another Korea or China?<\/h1>\n\n\n\n

                            Not quickly.<\/p>\n\n\n\n

                            Realistically:<\/p>\n\n\n\n

                              \n
                            • India can become a regional shipbuilding power.<\/li>\n\n\n\n
                            • It can dominate smaller commercial ships, naval craft, offshore vessels and repairs.<\/li>\n\n\n\n
                            • Becoming equal to China is far harder.<\/li>\n<\/ul>\n\n\n\n

                              China\u2019s shipbuilding ecosystem evolved over 30\u201340 years with enormous state support.<\/p>\n\n\n\n

                              India is trying to compress this into 15\u201320 years.<\/p>\n\n\n\n

                              Strategic implication for Sri Lanka<\/h1>\n\n\n\n

                              This is where your repeated point about Trincomalee Harbour becomes very relevant.<\/p>\n\n\n\n

                              If India succeeds:<\/p>\n\n\n\n

                                \n
                              • the entire Indian Ocean industrial balance changes.<\/li>\n\n\n\n
                              • Sri Lanka could either:\n
                                  \n
                                • become a supporting maritime hub,<\/li>\n\n\n\n
                                • or become bypassed.<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n\n\n\n

                                  Sri Lanka cannot compete with India in scale.<\/p>\n\n\n\n

                                  But Sri Lanka could specialize in:<\/p>\n\n\n\n

                                    \n
                                  • offshore support,<\/li>\n\n\n\n
                                  • ship repair,<\/li>\n\n\n\n
                                  • bunkering,<\/li>\n\n\n\n
                                  • marine engineering,<\/li>\n\n\n\n
                                  • logistics,<\/li>\n\n\n\n
                                  • vocational maritime training,<\/li>\n\n\n\n
                                  • offshore fabrication,<\/li>\n\n\n\n
                                  • blue economy services.<\/li>\n<\/ul>\n\n\n\n

                                    Especially around:<\/p>\n\n\n\n

                                      \n
                                    • Trincomalee Harbour<\/li>\n\n\n\n
                                    • Port of Colombo<\/li>\n<\/ul>\n\n\n\n

                                      India\u2019s shipbuilding push may actually create opportunities for Sri Lankan marine industries if policy makers act intelligently rather than depending only on tourism and garment exports.<\/p>\n\n\n\n

                                      Regards

                                      Dr Sarath Obeysekera<\/p>\n\n\n\n

                                      <\/p>\n","protected":false},"excerpt":{"rendered":"

                                      Dr Sarath Obeysekera From IT Giant to Shipbuilding Giant: Can Modi\u2019s India Challenge China at Sea?\u201d Prime Minister Narendra Modi is pushing one of the biggest maritime industrial strategies India has attempted since independence. The plan is not merely about building ships. It is about transforming India into a strategic maritime manufacturing power by 2047 […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[116],"tags":[],"class_list":["post-156403","post","type-post","status-publish","format-standard","hentry","category-dr-sarath-obeysekera"],"_links":{"self":[{"href":"https:\/\/www.lankaweb.com\/news\/items\/wp-json\/wp\/v2\/posts\/156403","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.lankaweb.com\/news\/items\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.lankaweb.com\/news\/items\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.lankaweb.com\/news\/items\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.lankaweb.com\/news\/items\/wp-json\/wp\/v2\/comments?post=156403"}],"version-history":[{"count":1,"href":"https:\/\/www.lankaweb.com\/news\/items\/wp-json\/wp\/v2\/posts\/156403\/revisions"}],"predecessor-version":[{"id":156404,"href":"https:\/\/www.lankaweb.com\/news\/items\/wp-json\/wp\/v2\/posts\/156403\/revisions\/156404"}],"wp:attachment":[{"href":"https:\/\/www.lankaweb.com\/news\/items\/wp-json\/wp\/v2\/media?parent=156403"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.lankaweb.com\/news\/items\/wp-json\/wp\/v2\/categories?post=156403"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.lankaweb.com\/news\/items\/wp-json\/wp\/v2\/tags?post=156403"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}