Mazagon Dock Shipbuilders Limited (MDL), which signed a Memorandum of Understanding (MoU) with the Tamil Nadu government in September 2025 to explore a greenfield shipyard on the state’s eastern coast, has now signed another major agreement in Maharashtra for a new shipbuilding cluster involving an overall investment of around ₹27,000 crore, as reported in The Hindu.
MDL on Tuesday, 15 September 2026, signed an MoU with National Shipbuilding & Heavy Industries Park Maharashtra Limited (NSHIPML) to participate as the anchor shipyard in the proposed Greenfield Shipbuilding Industrial Cluster at Dighi in Raigad district. The agreement was signed in the presence of Maharashtra Chief Minister Devendra Fadnavis.
Under the agreement, MDL has proposed an investment of approximately ₹15,000 crore in the Dighi facility, while the overall investment associated with the proposed shipbuilding cluster is estimated at around ₹27,000–₹27,500 crore. The project is expected to significantly expand Maharashtra’s shipbuilding and maritime manufacturing ecosystem.
MDL has envisaged an annual shipbuilding capacity of at least 1.2 million Gross Tonnes (GT) at the proposed facility. The yard is intended to undertake construction of large commercial vessels and expand MDL’s capabilities beyond its established focus on warships and submarines.
Capt. Jagmohan, Chairman and Managing Director of MDL, said the MoU would mark an expansion of the company’s capabilities into large-scale commercial shipbuilding.
“MDL will bring to the Dighi project its experience in complex ship construction, engineering, project management and development of a strong domestic vendor ecosystem,” he said.
The project is also expected to generate around 90,000 employment opportunities, including direct and indirect jobs. Fadnavis said the development would strengthen Maharashtra’s position in the maritime sector, with shipbuilding, ship repair, ship breaking and ship recycling planned as part of the broader ecosystem.
The Maharashtra government has projected the state as a major shipbuilding hub, with the Dighi project expected to contribute substantially to India’s overall shipbuilding capacity.
The latest Maharashtra agreement comes nearly a year after MDL signed an MoU with Guidance Tamil Nadu, the state’s nodal investment promotion agency, on 19 September 2025, to explore the development of a world-class greenfield shipyard on India’s eastern coast. The agreement was signed during a Ministry of Ports, Shipping and Waterways event in Bhavnagar, Gujarat.
The Tamil Nadu MoU was signed by Biju George, then Director (Shipbuilding) of MDL, and Darez Ahamed, Managing Director and CEO of Guidance Tamil Nadu. The proposed facility was to expand MDL’s presence to the eastern coast and was being pursued under the Government of India’s Maritime Amrit Kaal Vision 2047 framework.
Mazagon Dockyard had signed MOU with TN govt in Sept 2025 to develop a greenfield shipbuilding yard in TN.
Today, the company has signed a MoU with the Maha govt for an investment of ₹27,000 crore.
Will the TN govt provide an explanation regarding this?
SEP 2025 PIB PR https://t.co/R2qXgjQwUH pic.twitter.com/EHgp7GA8Ff
— Kannan Jeevanantham (JK) (@Im_kannanj) September 15, 2026
The Centre later stated that MDL had entered into a parallel MoU with Guidance Tamil Nadu to set up a large greenfield yard in Thoothukudi. The proposed Tamil Nadu facility was part of a broader push to develop new commercial shipbuilding capacity in the country.
Tamil Nadu had also signed agreements involving Cochin Shipyard and MDL for two greenfield commercial shipyards in Thoothukudi, with the combined projects reported at around ₹30,000 crore and expected to create approximately 55,000 direct and indirect jobs.
The latest Dighi agreement therefore adds another major greenfield shipbuilding project to MDL’s expansion plans, with the Maharashtra cluster positioned around large-scale commercial ship construction and a wider maritime industrial ecosystem.
The MoU between MDL and NSHIPML will remain valid for five years from its effective date or until it is superseded by a comprehensive Concession Agreement, including the Lease Agreement, whichever is earlier.
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