Hindustan Shipyard to become naval yard

Keen to increase the Indian Navy?s blue-water capability and improve self-sufficiency in defence production, the Ministry of Defence is to take over the Hindustan Shipyard at Visakhapatnam from the Union shipping ministry. The matter is before the Union Cabinet which has to resolve the issues on compensating the shipping ministry.

The move was stalled during the earlier government?s tenure after former shipping minister T R Baalu had refused to let go of the shipyard, saying shipbuilding capacity would be hit considerably. An empowered group of ministers headed by Pranab Mukherjee now the finance minister, was formed last year to sort the issue.

Currently, there are three defence shipyards, i.e. Garden Reach Shipbuilders and engineers(GRSE) near Kolkata, the Goa Shipyard and Mazagon Docks Ltd at Mumbai. The prime defence needs right now are for stealth frigates, aircraft carriers, submarines, and also anti-submarine warfare vessels.

The GRSE is now building four anti-submarine warfare corvettes and 10 fast attack craft for the Navy, besides 88 fast interceptor boats for the home ministry. The deliveries of the ASWCs will start from 2012 and continue till 2015.