Bhubaneswar: In a major step toward transforming Odisha into a maritime hub, the Paradip Port Authority (PPA) and the Odisha Maritime Board (OMB) on Friday signed a Memorandum of Understanding (MoU) to establish a mega shipbuilding cluster in the state.
The initiative aligns with India’s Maritime Amrit Kaal Vision 2047, which seeks to position the nation among the world’s top five shipbuilding countries. The proposed cluster will be developed on the Mahanadi riverbank in Kendrapada district, opposite the IFFCO Plant in Paradip, at an estimated cost of ₹24,700 crore.
According to officials, the facility will feature one or more large shipyards with a combined capacity of 1.0–1.2 million Gross Tonnage (GT) annually. The project will include a dedicated waterfront of 2–2.5 km and a land area of 2,000–2,500 acres, offering ample space for ancillary industries such as engine manufacturing, steel fabrication, and equipment supply.
The cluster will also house common infrastructure like administrative offices, training centres, and research & development facilities. Both PPA and OMB will work together to create the required land-side and river-side infrastructure to expedite project execution. Officials said this cluster-based model is expected to attract significant investment, boost competitiveness, and expand India’s commercial shipbuilding capacity sustainably.
In a parallel development, the PPA, OMB, and Sagarmala Finance Corporation signed a tripartite pact for the construction of a new satellite port at Bahuda in Ganjam district, involving an investment of ₹21,500 crore.
