The Indian Navy is set to induct five new warships worth ₹15,000 crore over the next two months, marking a significant development in the country's naval modernisation programme. According to Zee Business sources, these vessels are being built by Cochin Shipyard Ltd (CSL), Garden Reach Shipbuilders and Engineers (GRSE) Ltd and Mazagon Dock Shipbuilders Limited. The development aligns with the central government's 'Atmanirbhar Bharat' in Defence vision, aimed at enhancing combat capability and survivability through indigenous shipbuilding capabilities.
The government has launched the Logistics Port Performance Index (LPPI) for FY25 and unveiled four major digital initiatives to strengthen India's maritime ecosystem. Shipping Minister Sarbananda Sonowal announced these developments during the 37th Foundation Day celebrations of the Jawaharlal Nehru Port Authority (JNPA) in Mumbai. The LPPI, developed under the Sagar Aankalan framework, serves as a national benchmarking tool that evaluates ports across three key cargo segments—dry bulk, liquid bulk and container cargo—using indicators such as cargo volumes, vessel turnaround time, berth idle time, pre-berthing waiting time, container dwell time and ship berth day output. According to The Financial Express, Sonowal described the LPPI as a significant step towards improving efficiency, transparency and global competitiveness in the port sector.
India currently builds less than 1% of the world's ships despite handling about 95% of its trade by sea. To address this gap, the country has launched an aggressive mission to become a top-five global shipbuilding power by 2047. According to reports from The Financial Express, the incoming demand is substantial, with the Indian Navy planning to expand its frontline combat fleet by 80% by 2030. State-owned companies are expected to order $20 billion (around ₹2 lakh crore) in commercial ships over the next decade, while the ship repair market is estimated at $1.7 billion by 2033.
Defence sector stocks showed mixed reactions to the naval induction news. GRSE shares rose 2.7% to close at ₹2,676.7, while Cochin Shipyard and Mazagon Dock shares gained 1.1% and 0.2% to ₹1,472.4 and ₹2,445.3 respectively. However, GRSE has declined 20.1% in a year compared to Cochin Shipyard's 29.3% decline and Mazagon's 28.2% drop. The Nifty 50 has lost 10.4% during this period, highlighting the sector's volatility. Analysts expect homegrown defence suppliers like Bharat Electronics Ltd (BEL), Mishra Dhatu Nigam Limited (MIDHANI) and Bharat Forge to benefit from rising demand for military-grade materials and components.
A Defence Acquisition Procedure (DAP) can be initiated over the next 30-40 days, according to sources, marking an essential step in capital defence procurement. The DAP prioritises indigenously designed, developed and manufactured equipment, with the DAC rulebook defining how the country's Armed Forces procure military equipment, technology, platforms and services. These vessels represent a diversified expansion of the Indian Navy's operational capabilities, ranging from frontline combat ships to support and survey vessels, as the nation places greater emphasis on maritime domain awareness and blue-water navy capabilities in the Indian Ocean.
