Centre, Andhra Pradesh Government Plan Mega Shipbuilding Cluster In Tirupati District

Andhra Pradesh is positioning itself as a major hub for shipbuilding and shipbreaking by offering fiscal incentives through the new AP Maritime Policy, reported The Times Of India.

Investments and Infrastructure Minister BC Janardhan Reddy told the Assembly on Thursday (25 September) that the policy provides up to 25 per cent capital subsidy, full SGST reimbursement for ten years, and production-linked incentives covering up to 25 per cent of costs.

It also includes exemptions on stamp duty and electricity duty, subsidies on water and power, long-term land leases, 75 per cent reimbursement on feasibility study expenses, and full reimbursement for environment-friendly ship technologies.

Reddy said the Centre is developing a shipbuilding cluster at Dugarajapatnam in Tirupati district.

Modalities for forming a Special Purpose Vehicle (SPV) between the state and Centre are currently underway, he noted.

Based on techno-economic studies, authorities have identified suitable sites for shipyards handling both construction and repair.

Officials expect the project to create nearly 1.48 lakh direct and indirect jobs once operational.

Company representative Shyam Kumar met Reddy at the Secretariat and outlined plans to expand operations in the state.

Garuda, which delivered over 500 drones under Operation Sindoor, has gained national recognition for its expertise in drone manufacturing.

Welcoming the proposal, Reddy said Andhra Pradesh is fast emerging as a preferred investment destination.

He expressed confidence that ventures like Garuda’s would generate substantial employment and livelihood opportunities for the state’s youth.

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