The governments of India and South Korea announced a broad range of agreements, including support for the development of Indian shipbuilding and port developments, during a state visit by South Korea’s President Lee Jae Myung. The agreements support India’s ambition to become a world-class shipbuilder while South Korea continues to look to new opportunities to stem China’s dominance in shipbuilding.
It was the first state visit by a South Korean leader to India in eight years. Prime Minister Narendra Modi hailed the cooperation between their government agencies and the private sector. In addition to the planned partnerships in shipbuilding, shipping, and maritime logistics, they agreed on more than 50 points of cooperation. This includes energy security, where the two countries said they would work together, as well as efforts for sustainability, industrial cooperation, and technology.
Prime Minister Modi said the maritime sector is extremely critical to India’s security and prosperity. He highlights the government’s plans for the internationalization of its economy, where the maritime industry will be a key contributor. India has said it wants to be a top 10 global shipbuilder by 2030 and a top five builder by 2047.
During the meetings between the leaders, they agreed that India’s maritime ambitions would create opportunities for long-term cooperation. Today’s agreements focused on shipbuilding, port development, and logistics.
There have already been several key developments, including the Korean shipbuilder HD Korea Shipbuilding & Offshore Engineering announcing cooperation with Cochin Shipyard, while Samsung Heavy Industries has struck a partnership with India’s Swan Defence and Heavy Industries, which operates the former Reliance Naval and Engineering Limited Pipavav shipyard. KSOE has also entered into a non-binding MOU to be part of the effort to develop a new shipyard in southern India.
The Indian government highlights its incentives and financial support as it seeks the development of greenfield shipbuilding clusters. Idia invited the Korean shipbuilders to become strategic anchor partners for these projects and lead the efforts in design, production engineering, and advanced manufacturing for the clusters.
Both India’s federal government and states have committed to incentive programs supported by the country’s financial institutions.
India is also calling for brownfield capacity expansion after its existing shipbuilders. The government has also committed to financial assistance for these projects to upgrade existing Indian shipyards. Efforts are also underway for a block fabrication plant in southern India, which they highlight could be used to support the Korean shipbuilders.
The master plan launched in 2025 for the Indian maritime industry envisions the acquisition of more than 400 vessels. The government has allocated a value of $25 billion to these plans.
As part of the agreements, the Korea Marine Equipment Association is establishing an office in Mumbai. The Korea Marine Equipment Research Institute is also exploring opportunities in India for a similar presence. The two countries also agreed to cooperate on training efforts, with India highlighting that it already has a pool of around 320,000 seafarers.
They also signed MOUs for port development in India. India is inviting the Korean port developers and terminal operators to participate in the planned growth in the sector. It points to a committed investment estimated at $13.3 billion over the next five years, including the Vadhvan container port, the multipurpose terminal in Bahuda, and the terminal in Deendayal Port.
Source : The Maritime Executive
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