New Delhi: The Government of India is actively reviewing proposals to upgrade the status of select public sector undertakings (PSUs) in the defence and shipping sectors, with Cochin Shipyard Limited and Garden Reach Shipbuilders & Engineers Limited (GRSE) emerging as leading contenders for Navratna status, according to official sources.
The proposed upgrades are expected to significantly enhance the financial and operational autonomy of these high-performing Central Public Sector Enterprises (CPSEs), enabling faster decision-making and strategic expansion.
Cochin Shipyard’s Upgrade Under Active Review
Officials indicated that Cochin Shipyard Limited is likely to be elevated from its current Miniratna status to Navratna. The proposal, forwarded by the Ministry of Ports, Shipping and Waterways, is presently under consideration by the Department of Public Enterprises (DPE).
If approved, the move would grant the company greater independence in financial and operational matters, strengthening its ability to undertake large-scale projects and expand its global footprint.
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GRSE Proposal Nearing Final Approval
In parallel, the proposal to confer Navratna status on Garden Reach Shipbuilders & Engineers Limited, a defence PSU under the Ministry of Defence, has already received clearance from the DPE.
Sources revealed that the evaluation by an inter-ministerial committee is in its final stages, and a formal announcement regarding the upgrade could be made as early as next month.
Enhanced Autonomy and Investment Powers
Achieving Navratna status would allow both companies to make independent investment decisions of up to ₹1,000 crore without requiring prior government approval. This enhanced autonomy is expected to accelerate project execution timelines and facilitate strategic initiatives, including capacity expansion and technological upgrades.
Review of CPSE ‘Ratna’ Classification Framework
The government is also understood to be reviewing the broader criteria for granting “Ratna” status to CPSEs, aiming to strike a balance between increased autonomy and accountability.
India’s CPSEs are classified into three categories based on performance and strategic importance:
- Maharatna: Top-tier companies with the highest autonomy, allowed to invest up to ₹5,000 crore independently. Key examples include Oil and Natural Gas Corporation, Indian Oil Corporation, and NTPC Limited.
- Navratna: Companies with significant operational flexibility, permitted investments up to ₹1,000 crore. Notable firms include Bharat Electronics Limited, Engineers India Limited, and Container Corporation of India.
- Miniratna: Companies categorized into Category I and II with relatively limited financial autonomy. Examples include Airports Authority of India and Mazagon Dock Shipbuilders Limited.
At present, a total of 114 CPSEs enjoy special “Ratna” status across these categories.
Strategic Push for Defence and Maritime Growth
The proposed upgrades are part of the Centre’s broader strategy to strengthen India’s defence manufacturing ecosystem and maritime capabilities. Greater autonomy is expected to help companies like Cochin Shipyard Limited and Garden Reach Shipbuilders & Engineers Limited scale up operations, forge global partnerships, and enhance competitiveness in international markets.
The move also aligns with ongoing efforts to reduce bureaucratic oversight and empower efficient PSUs with faster decision-making authority.
About GRSE
Garden Reach Shipbuilders & Engineers Ltd., headquartered in Kolkata, is a premier Indian defense shipyard under the Ministry of Defence. Established in 1884, GRSE specializes in building warships and naval vessels for the Indian Navy and Coast Guard, and is known for its robust manufacturing capabilities, strong financial health, and strategic importance to India’s defense sector.
About Cochin Shipyard Limited (CSL)
Cochin Shipyard Limited (CSL), headquartered in Kochi, Kerala, is one of India’s premier shipbuilding and repair yards. Established as a public sector company, CSL has played a pivotal role in India’s maritime industry, delivering a variety of vessels including tankers, bulk carriers, and offshore structures.
