New Delhi/Kolkata: In a major boost to India’s indigenous defense capabilities, Garden Reach Shipbuilders & Engineers (GRSE) has emerged as the lowest bidder (L1) in the Ministry of Defence’s Commercial Negotiation Committee (CNC) meeting held on May 21, 2025, for the prestigious Next Generation Corvettes (NGC) project for the Indian Navy.
The meeting, convened in New Delhi, witnessed the opening of commercial bids for the construction of eight advanced corvettes, a cornerstone of India’s maritime modernization plans. GRSE’s bid secured the company the contract to build five of these cutting-edge warships, valued at over ₹25,000 crore, making it the largest order ever received by the defense PSU.
The total value of the NGC project is estimated at ₹40,000 crore, with the remaining three ships expected to be awarded to another Indian shipyard that participated in the bidding process.
Read Also: From Warships to Weapons: GRSE’s Naval Surface Gun Trial Marks New Era of Indigenous Capability
Massive Boost to ‘Aatmanirbhar Bharat’
The NGC project represents a significant stride toward India’s self-reliance in defense manufacturing under the ‘Aatmanirbhar Bharat’ initiative. The advanced corvettes will be designed with state-of-the-art stealth features, including low radar cross-sections and reduced thermal, acoustic, and magnetic signatures.
These vessels will serve multi-role capabilities such as–
- Anti-surface warfare
- Surveillance and escort operations
- Search and attack missions
- Littoral combat and deterrence
Equipped with cutting-edge sensors and weapon systems, the NGCs will dramatically enhance the Navy’s blue-water capabilities in the Indian Ocean Region and beyond.
GRSE Stock Jumps Nearly 11%
Following the announcement, GRSE shares rallied on the Bombay Stock Exchange (BSE), surging 10.94% during the trading session.
- Current Price: ₹2774
- Opening Price: ₹2,474.00
- Market Cap: ₹3,032.07 billion
Investor sentiment was buoyed by the announcement, reflecting confidence in GRSE’s expanding role in India’s defense ecosystem.
GRSE: Rising Star in India’s Naval Shipbuilding
Established in 1884 and taken over by the Government of India in 1960, GRSE has a long-standing legacy in warship construction. It has previously delivered over 100 warships to the Indian Navy and Coast Guard.
This latest win not only cements GRSE’s status as a key pillar in India’s naval defense architecture but also marks a pivotal moment for Indian shipbuilding at large.
What’s Next?
With the Letter of Acceptance (LoA) expected soon, GRSE is set to kick-start the design and construction phase. Deliveries of the NGCs are expected to be completed within the next 7–8 years, bolstering India’s maritime deterrence posture amid rising security challenges in the Indo-Pacific.