Nitin Gadkari pushes for new financial model to boost India’s shipbuilding sector

Union Minister Nitin Gadkari has called for a new financial model to attract investment and capital into India’s shipbuilding sector. His remarks highlight the urgent need to revive and strengthen the country’s maritime manufacturing capacity, which remains largely underdeveloped despite India’s vast coastline and growing trade needs. The goal is to create a sustainable ecosystem where shipyards, investors, and technology work together efficiently.

India’s shipbuilding industry has long faced challenges due to limited funding, high infrastructure costs, and global competition. According to experts, the lack of dedicated financial mechanisms has slowed progress, making Indian shipyards less competitive compared to those in countries like China, South Korea, and Japan. Gadkari’s call aims to change that by encouraging private participation and exploring public–private partnerships.

The minister emphasized that a well-structured financial model could unlock large-scale investment, leading to better facilities, skilled manpower, and advanced technology adoption. This would not only strengthen domestic shipbuilding but also support India’s vision of becoming a maritime hub under initiatives like “Make in India” and “Sagarmala.”

For Tier 2 and coastal cities such as Visakhapatnam, Kochi, and Mangalore, a revival in shipbuilding could translate into significant employment opportunities and regional growth. Local industries, suppliers, and training institutions could benefit from a surge in demand for skilled workers, engineering services, and raw materials.

Experts believe that integrating shipbuilding with port development and coastal shipping could generate long-term economic impact. It could also support inland waterways and logistics infrastructure, reducing transport costs and easing road congestion. However, they caution that the policy framework must ensure financial transparency and protect smaller shipyards from being overshadowed by larger players.

Conclusion:
Gadkari’s push for a new financial model reflects a broader attempt to modernize India’s maritime sector and make it globally competitive. If implemented effectively, this initiative could help India shift from being a ship importer to a strong shipbuilder, creating jobs and strengthening regional economies along the country’s coastlines.