India, South Korea Forge $25 Billion Shipbuilding Deal to Boost Maritime Ties

The focus was on joint industrial partnerships, infrastructure development and skill building to support India's growing maritime ambitions.

Under the framework, India highlighted its ambitious plan to procure over 400 vessels in the coming years, with an estimated value of Rs 2.2 lakh crore (approximately USD 25 billion). Both sides agreed to channel this demand into bilateral partnerships, creating a sustainable and resilient shipbuilding ecosystem.

The two countries emphasised collaboration to upgrade Indian shipyards, including support for brownfield expansion projects and the development of advanced facilities such as block fabrication units and new dry docks for constructing large and specialised vessels.

Recognising India's policy and financial incentives for domestic manufacturing, the two sides said this would open up opportunities for Korean companies to expand into India, particularly in shipbuilding components and ancillary industries. They welcomed the establishment of a Mumbai branch of the Korea Marine Equipment Association and ongoing cooperation with the Korea Marine Equipment Research Institute.

In a boost to skill development, India and Korea agreed to work together on training programmes in the shipbuilding sector through a project led by the Korea International Cooperation Agency in partnership with India's Ministry of Ports, Shipping and Waterways. The initiative is expected to enhance workforce capacity through development cooperation and public-private partnerships.

The agreement also encourages Korean shipowners to utilise India's financial and regulatory platforms, including GIFT City, to flag vessels in India, benefiting from flexible ownership norms and incentives. Officials noted that India's growing pool of over 320,000 seafarers offers a strong workforce base for global maritime operations.

Both sides welcomed the signing of multiple memoranda of understanding, including cooperation on port development and infrastructure. This opens opportunities for Korean firms to participate in India's port modernisation pipeline, estimated at USD 13.3 billion over the next five years, covering major projects such as the Vadhvan container port in Maharashtra and terminals in Odisha and Gujarat.

Further, companies from both countries have agreed to jointly design and manufacture next-generation maritime and port cranes in India, marking a step forward in industrial collaboration.

The two nations also encouraged deeper academic and research partnerships between institutions such as the Indian Maritime University and Korea Maritime and Ocean University, focusing on areas like green shipping, autonomous vessels, and port management.

Highlighting cultural ties, both sides acknowledged their shared maritime heritage and welcomed cooperation on maritime history projects, including India's upcoming National Maritime Heritage Complex at Lothal in Gujarat.

- ANI