Kochi aims to be world-class

The Indian shipping ministry has proposed the setting up of two shipbuilding hubs, including a $480 million world-class facility in Kochi in conjunction with the special economic zone proposed on land owned by Cochin Port Trust. The government has asked the Hindustan Shipyard in Visakapattinam and the Cochin Shipyard to prepare plans to expand their current facilities and to set up green field building facilities.

The Kochi facility is expected to be built on the land owned by the Cochin Port Trust and, possibly, within the proposed special economic zone. The Cochin Shipyard was exploring the possibilities of not only upgrading its existing facilities but was also looking at the area earmarked for the Vallarpadam container trans-shipment project for the creation of a green field international class shipyard. The Port Trust has about 600 acres of land close to Vallarpadam Island where the international box terminal will be created and a portion of this land is likely to be used to build the shipyard.

The Indian government has stated it is open to both Indian and foreign private direct investment in the shipbuilding sector. The Vallarpadam project will need investments to the tune of $484 million while the upgrading of the Cochin Shipyard would require an additional investment of a similar size.