Hindustan Shipyard Proposes Greenfield Shipyard in Andhra Pradesh to Expand Shipbuilding Capacity
Hindustan Shipyard Limited (HSL), the Visakhapatnam-based defence public sector undertaking, has proposed establishing a greenfield shipyard in Andhra Pradesh as part of its expansion plans to boost domestic shipbuilding capacity. The proposal was presented by HSL Chairman and Managing Director Rear Admiral Chandrasekharan Raghuram during a meeting with Andhra Pradesh Governor S. Abdul Nazeer.
Machilipatnam in Krishna district and Dugarajapatnam in Tirupati district have been identified as potential locations for the proposed facility. The project is aligned with the Centre's Maritime Amrit Kaal Vision 2047 and the Aatmanirbhar Bharat programme, and is intended to address capacity constraints in India's shipbuilding sector.
The proposal follows a Memorandum of Understanding signed earlier between HSL and the Andhra Pradesh Maritime Board (APMB) to jointly explore development of a greenfield shipyard in the state. That MoU was formalised during the CII Partnership Summit 2025 in Visakhapatnam, in the presence of Andhra Pradesh Chief Minister N. Chandrababu Naidu and Union Commerce and Industry Minister Piyush Goyal.
HSL officials said the new facility is intended to support mega-scale shipbuilding clusters, modern infrastructure for green-energy vessels, and dedicated capacity for high-tonnage fleet support ships, given that nearly 95% of India's trading cargo by volume is currently carried on foreign-flagged vessels. Company sources clarified that, at this stage, the greenfield shipyard remains a proposal under HSL's broader expansion and exploration plans, pending further government directives.
The project is expected to expand large-scale shipbuilding capacity, promote advanced vessel construction technology, attract global partnerships, and generate employment in Andhra Pradesh's coastal economy.