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Rajnath Singh, Suvendu Adhikari Launches ₹3,500-Crore GRSE, YIL Expansion Push to Boost India’s Defence Manufacturing

Five expansion projects worth around ₹3,500 crore will expand GRSE’s shipbuilding and repair capacity and strengthen YIL’s indigenous production of strategic defence components.
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Kolkata: Defence Minister Rajnath Singh and West Bengal Chief Minister Suvendu Adhikari virtually performed the Bhumi Pujan for five expansion projects of Garden Reach Shipbuilders & Engineers Limited (GRSE) and Yantra India Limited (YIL) from GRSE Bhavan in Kolkata on August 23.

The projects involve a combined investment of approximately ₹3,500 crore and cover facilities in Kolkata, Howrah, Raichak and Ishapore.

Three projects are being undertaken by GRSE to expand shipbuilding and ship-repair capabilities, while two projects of YIL at its Metal and Steel Factory (MSF), Ishapore, are focused on strengthening metallurgical and manufacturing capabilities.

GRSE Projects to Expand Shipbuilding and Repair Capacity

GRSE has undertaken the expansion programme to support the construction and repair of next-generation warships and commercial vessels.

Read Also: India-Japan Defence Ties Get Fresh Push as Rajnath Singh, Shinjiro Koizumi Set for Key Delhi Talks

The three projects are:

  • Raichak, South 24-Parganas: A new shipbuilding facility planned with an investment of more than ₹2,500 crore.
  • Timber Pond, Shalimar, Howrah: A shipbuilding and repair facility involving an investment of nearly ₹100 crore.
  • Damodar facility, Kidderpore, Kolkata: A facility for medium-sized vessel repairs and construction of electric ferries and small craft, with an investment of about ₹70 crore.

GRSE has taken the sites on lease from Syama Prasad Mookerjee Port, Kolkata (SMPK).

Raichak Facility to Handle Warships Up to 200 Metres

The 32-acre Raichak site has a 356-metre waterfront and an existing 96-metre jetty. With a draught of around 8-10 metres, the site is planned as a major shipbuilding facility.

The planned infrastructure includes:

  • 200-metre dry dock
  • 200-metre slipway
  • 200-metre ship-launching pad
  • Two jetties measuring 120 metres and 86 metres
  • Block fabrication and consolidation facilities
  • Hull repair shops
  • Stores and administrative facilities

The facility is planned to support construction of warships up to 200 metres long and commercial vessels of up to 60,000 tonnes deadweight.

The expansion is also expected to enable GRSE to bid for next-generation destroyers.

Howrah, Kidderpore Facilities to Strengthen Repair Network

At Timber Pond in Shalimar, Howrah, GRSE plans to invest nearly ₹100 crore to revive an existing facility and develop it for shipbuilding and repair.

The planned work includes:

  • Restoration of a 130-metre dry dock
  • Construction of a 120-metre slipway
  • Shoreline protection
  • Installation of a dry-dock gate
  • Installation of a gantry crane
  • Block fabrication facilities
  • Stores and workshops

The Damodar facility at Kidderpore Docks is planned with an investment of about ₹70 crore. It will support repairs of medium-sized vessels and construction of electric ferries and other small craft.

YIL Projects to Upgrade Strategic Forging Capabilities

The two YIL projects at MSF Ishapore represent a combined investment of more than ₹750 crore.

The projects are designed to strengthen indigenous manufacturing capabilities for heavy ordnance, railway requirements, nuclear infrastructure and advanced weapon systems.

3,000-Tonne Hydraulic Open Die Forging Press

The first project involves installation of a 3,000-tonne Heavy Duty Hydraulic Open Die Forging Press with two integrated rail-bound manipulators.

The new press will replace the existing 2,650-tonne press, which has been in operation since 1976.

According to the Ministry of Defence, the new facility is:

  • Scheduled for completion in 26 months
  • Designed for production of gun barrels, ammunition components and heavy defence forgings
  • Projected to generate annual savings of ₹25.58 crore
  • Expected to support annual turnover of ₹500 crore
  • Estimated to have a payback period of 11 years

Radial Forging Plant to Produce Advanced Components

The second YIL project is a Radial Forging Plant with associated upstream and downstream facilities.

The project has an estimated investment of ₹473.84 crore and an execution timeline of 30 months.

The facility will introduce radial forging technology at MSF Ishapore and is planned to manufacture:

  • Super-alloy forgings
  • Hollow tubes for aerial bombs
  • Components for future ordnance systems
  • High-strength railway axles
  • Nuclear reactor components

The facility will incorporate Industry 4.0 standards and energy-efficient manufacturing systems.

The project is projected to generate an annual profit of approximately ₹69 crore, with an estimated 10.58% internal rate of return (IRR) and a payback period of around six years.

Rajnath Singh Highlights Self-Reliance in Defence Manufacturing

Addressing the event, Rajnath Singh said the five projects reflected the government’s focus on Aatmanirbhar Bharat, Make in India and Make for the World.

He said the projects would strengthen defence production while creating employment opportunities and providing greater opportunities for MSMEs and ancillary industries.

“Self-reliance is not merely a policy; it is a force multiplier for battlefield capability.”

The Defence Minister also highlighted the role of indigenous defence systems during Operation Sindoor, stating that Indian defence platforms and weapons had demonstrated their capabilities.

India Sees Opportunity in Global Shipbuilding Capacity Gap

Rajnath Singh also highlighted what he described as an emerging “Capacity Paradox” in global shipbuilding.

He said demand for naval and commercial vessels is increasing while traditional shipbuilding nations are witnessing a decline in capacity. According to him, this presents an opportunity for India to expand its presence in global shipbuilding.

The Defence Minister identified three areas where India can build greater capability:

  • Design: Develop indigenous ship designs by leveraging engineering, IT, simulation and artificial intelligence capabilities.
  • Manufacturing: Modernise shipyards and use India’s skilled workforce, steel industry and MSME ecosystem.
  • MRO: Develop India as a hub for ship maintenance, repair and overhaul in the Indian Ocean Region.

He urged GRSE to use its expanded capacity to compete more strongly in domestic and international markets.

Projects Expected to Expand Industrial Opportunities

West Bengal Chief Minister Suvendu Adhikari described the Bhumi Pujan as a significant occasion and said the projects would enhance the capacities of GRSE and YIL.

The projects are also expected to create employment opportunities and provide greater scope for ancillary industries, including MSMEs.

The event was attended by senior officials from the Ministry of Defence, Government of West Bengal, GRSE and YIL.

Read Also: GRSE Launches ‘GAINS 2026’ to Boost AI, Green Energy and Innovation in Indian Shipbuilding


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