India Signs Rs 53,866 Crore Contracts for Eight Navy Corvettes
India’s Ministry of Defence has signed contracts worth Rs 53,866.50 crore for eight Next Generation Corvettes (NGC) for the Indian Navy. The contracts were signed in New Delhi on Monday, 2 November, in the presence of Defence Secretary Rajesh Kumar Singh. Garden Reach Shipbuilders & Engineers (GRSE) in Kolkata, West Bengal, will build five of the ships, and Goa Shipyard Limited (GSL) in Vasco da Gama, Goa, will build three.
The signing follows last week’s approval of the project by the Cabinet Committee on Security. According to the ministry, this is the first time that warships designed in India for the Navy will be built by defence shipyards chosen through a competitive process.
The corvettes will carry advanced missiles, guns and sensors. They are meant for air defence, surface warfare and anti-submarine operations, and will help protect India’s coastline and sea lanes.
The ministry expects the project to create about 72 lakh man-days of work in the two shipyards over ten years. It also expects about 460 lakh man-days in supporting industries, including small and medium enterprises that supply steel, equipment, cabling and machinery. No delivery schedule was announced with the contract signing.
The order adds to a busy period for Indian shipbuilding. In October, the Defence Acquisition Council cleared procurement proposals worth about Rs 2.12 lakh crore, with around 82 per cent of the value going to Indian industry.
Large warship orders keep Indian yards, designers and suppliers busy and build skills that also serve merchant shipbuilding. For Indian seafarers and marine engineers, a stronger shipbuilding base means more jobs ashore in yards, trials and new-building supervision.
