Dighi shipbuilding cluster: ₹20,000 cr plan in 2026

Maharashtra selects Dighi as the preferred site

Maharashtra has zeroed in on Dighi in Raigad district for a mega greenfield shipbuilding cluster estimated to cost over ₹20,000 crore, according to a senior port official. M Angamuthu, Chairman of the Mumbai Port Authority, said the site is “almost identified” and called it a good location. The proposed cluster is expected to be built as a large, shared industrial platform rather than a single shipyard. For investors tracking India’s shipbuilding pipeline, the announcement matters because it links a state-led project to the Centre’s shipbuilding push. It also puts Mazagon Dock Shipbuilders Ltd (MDL) firmly in the frame as a potential anchor shipyard.

A 50:50 SPV structure to build common infrastructure

Mumbai Port Authority and the Maharashtra government have formed an equal special purpose vehicle (SPV) for the project. The SPV will develop common infrastructure for the cluster, covering both land-side and seaside facilities. This approach typically lowers entry barriers for multiple shipbuilders and suppliers by providing shared assets. It also helps standardise key utilities and maritime access needed for heavy shipbuilding. In the Dighi plan, the SPV model is positioned as the platform that prepares the site before an anchor yard and other units scale up.

Mazagon Dock tapped as the anchor shipyard

The Maharashtra SPV is in the process of identifying an anchor shipyard and has requested support from Mazagon Dock Shipbuilders. Angamuthu said MDL has responded “in black and white” that it is supporting the proposal, and that both the SPV and the state government are pushing the plan. MDL is India’s biggest warship builder, so its involvement can materially shape the cluster’s credibility, future order pipeline, and vendor ecosystem. The project remains contingent on anchor selection and subsequent funding decisions, but official engagement with MDL is already on record.

Why Dighi’s location is being highlighted

The identified location for the greenfield cluster is to the south of Dighi Port. Dighi Port is a private port operated by Adani Ports and Special Economic Zone Ltd (APSEZ). Proximity to an operating port can support logistics for heavy equipment, steel, and oversized modules, and can help in the movement of completed vessels or large assemblies. Officials have emphasised site suitability rather than detailing timelines, but the geographic reference signals a port-linked industrial strategy.

DPR and feasibility work underway

Haskoning India Consulting Pvt Ltd has been hired to prepare a Detailed Project Report (DPR) and feasibility report for the Dighi shipbuilding cluster. Maharashtra had earlier shortlisted three locations for the cluster: Nandgaon, Dighi and Vijaydurg. The narrowing to Dighi, along with a formal DPR mandate, indicates that groundwork is moving from concept to project structuring. However, final design, phasing, and commercial terms will depend on the anchor yard and the funding framework.

Funding hook: the Shipbuilding Development Scheme

Once the anchor shipyard is selected, the facility is expected to be funded under the Shipbuilding Development Scheme. The Union government has budgeted ₹19,989 crore for this scheme, which was approved by the Union Cabinet last year. Separately, the government has said it plans to invest nearly ₹10,000 crore to build integrated shipbuilding clusters with common infrastructure, maritime assets and industrial ecosystems. The model also expects anchor investors to bring a minimum investment of ₹25,000 crore to each cluster. These numbers frame what Maharashtra and the Dighi SPV may need to demonstrate to secure support.

MDL’s recent order and financial snapshot

MDL has also been in the news for winning an order worth about ₹330 crore from Shipping Corporation of India for a methanol dual-fuel platform supply vessel. A senior official described it as a landmark green technology order for a domestic shipyard. On the financial side, MDL reported March 2026 quarter net sales of ₹3,683.72 crore, up 16.04% year-on-year, keeping investor attention on capacity expansion opportunities. While financial performance does not determine project awards, it often influences how markets assess execution capacity for large capex plans.

Parallel push: Andhra Pradesh cluster and MDL’s anchor discussions

Andhra Pradesh’s proposed greenfield mega shipbuilding hub at Dugarajapatnam (Tirupati district) has been pitched at ₹29,253 crore with an annual capacity of about 1.2 million gross tonnage. The land area mentioned for the project is nearly 2,000 acres. The proposed investment split includes ₹5,289 crore by the government (for land and marine infrastructure) and ₹23,964 crore by the anchor investor (for core shipbuilding facilities). A 50:50 SPV named National Shipbuilding & Heavy Industries Park Andhra Pradesh Ltd (NSHIP-AP Ltd) has been formed between the Andhra Pradesh Maritime Board and Visakhapatnam Port Authority to drive the project. Reports also say MDL has held preliminary discussions and is expected to visit the site shortly for a feasibility assessment, with a final decision likely after evaluation and negotiations.

Tamil Nadu context and competing project proposals

MDL had signed a memorandum of understanding with the Tamil Nadu government in September 2025 for a 1,050-acre greenfield shipyard at Thoothukudi, estimated at ₹15,000-18,000 crore, under the Maritime Amrit Kaal Vision 2047. Separately, a high-level delegation from HD KSOE met Tamil Nadu Chief Minister Joseph Vijay regarding a proposed ₹38,000 crore mega shipbuilding project in Thoothukudi, expected to create around 15,000 jobs. Some reports suggest MDL is exploring Andhra Pradesh after uncertainty over its role in the Thoothukudi cluster. This backdrop underscores how anchor selection decisions can redirect investment flows across coastal states.

Key facts at a glance

Market impact and what investors will watch

For listed defence and shipbuilding names, the immediate market relevance is the visibility of a multi-state project pipeline under a funded central scheme. In Maharashtra, the key gating item is the anchor shipyard decision and the bankability of the SPV’s infrastructure plan. In Andhra Pradesh, the project has already been structured into an SPV with a defined investment split and capacity target, and MDL’s potential anchor role is being actively discussed. The other signal is the Centre’s statement that two more clusters, one in Gujarat and another in Maharashtra, will be approved soon, alongside processing for similar proposals in Odisha. The next disclosures that could move sentiment will likely be formal anchor confirmations, DPR outcomes, and scheme-linked approvals.

Conclusion

Maharashtra’s choice of Dighi and its SPV-led infrastructure plan adds momentum to India’s broader shipbuilding cluster strategy under the Shipbuilding Development Scheme. MDL’s written support for the Maharashtra effort, alongside its ongoing anchor discussions in Andhra Pradesh, keeps the PSU at the centre of multiple greenfield conversations. The next milestones are the Dighi DPR and anchor selection, and MDL’s site evaluation and negotiations for Dugarajapatnam, before any final investment decisions are formalised.