Swan Defence and Heavy Industries Limited (SDHI), India’s leading shipbuilding and heavy engineering firm, has signed a Memorandum of Understanding (MoU) with Sagarmala Finance Corporation Limited (SMFCL), a government-backed non-banking financial company focused on the maritime sector. This collaboration aims to identify and support projects related to new vessel construction, ship repair, and allied maritime infrastructure under the Maritime-focused Equity Fund (MfEF).
The agreement outlines cooperation across four key areas: technical and commercial assessments, financing strategies, project implementation, and broader ecosystem development. The partnership aligns with national initiatives such as Maritime India Vision 2030 and PM Gati Shakti, with the objective of positioning India as a global hub for shipbuilding.
As part of the initiative, SDHI and SMFCL will undertake feasibility studies that evaluate yard capacity, vessel types, design standards, and the integration of modern technologies. A major emphasis will be placed on adopting sustainable shipbuilding practices—such as energy-efficient designs, green fuels, and digitised shipyards. The partnership will also work toward developing domestic supply chains, nurturing vendors, and building strong backward linkages to reinforce India’s maritime manufacturing base.
A comprehensive financing model will be developed under the MoU. This will cover aspects like capital structure, equity and debt planning, and credit enhancement mechanisms. The partnership will also seek to engage multilateral institutions, government bodies, and private sector investors for co-financing opportunities.
Rear Admiral Vipin Kumar Saxena (Retd), CEO of Swan Defence and Heavy Industries, commented, “This collaboration marks an important step in creating a self-reliant and competitive shipbuilding ecosystem. By combining technical expertise with structured financial support, we aim to drive job creation, enhance exports, and strengthen India’s position in the global maritime economy.”
Beyond domestic shipbuilding, the partners will explore prospects to increase vessel exports and integrate into global shipbuilding supply chains. They also plan to develop a framework for academic partnerships, workforce training, and skills development to build long-term capacity in the sector.
Swan Defence and Heavy Industries Limited, formerly Reliance Naval and Engineering Limited, operates India’s largest dry dock (662m x 65m) on the country’s western coastline and boasts a fabrication capacity of 144,000 tonnes per year. The company continues to focus on innovation, operational excellence, safety, and sustainability to advance India’s maritime and industrial growth.
