Indian Shipbuilding Takes Another Step Forward with Damen Deal
Dutch giant partners with Square Port Shipyard as India pushes to be a top 10 global shipbuilder by 2030
India’s ambitions to climb the global shipbuilding ranks have received a significant boost with the signing of a fresh partnership between Dutch shipbuilding major Damen Shipyards Group and India’s Square Port Shipyard. The two companies have inked a Memorandum of Understanding (MoU) aimed at developing Square Port Shipyard’s facility in western India, paving the way for the construction of Damen-designed vessels catering to both domestic and regional markets.
The deal marks the latest in a series of collaborations between Damen and Indian shipbuilders, underscoring growing international interest in India’s evolving maritime sector. Square Port Shipyard, located roughly 250 kilometers south of Mumbai, is expected to benefit from Damen’s technical expertise and global experience as it upgrades its infrastructure to meet international shipbuilding standards.
“This partnership with Square Port Shipyard will enable us to bring our shipbuilding culture, with its unique combination of quality and competitive prices, to India’s maritime sector,” said Dingeman van Worden, Damen’s regional sales director for Asia. “A physical presence in one of the world’s fastest-growing economies is critical for Damen Shipyards. The availability of good infrastructure and economic labour costs will further strengthen our competitive edge in the global market.”
This latest tie-up follows closely on the heels of Damen’s agreement with Yeoman Marine, announced earlier this year, to build tugs at the latter’s Ratnagiri facility. In 2023, Damen also partnered with Goa Shipyard Ltd. to construct a fleet of electric tugs, highlighting the company’s commitment to sustainable technologies and local capacity-building in India.
Damen’s continued engagement with Indian yards reflects the country’s concerted efforts to enhance its domestic shipbuilding capabilities under a broader national strategy. The Indian government has declared its intention to make the country one of the world’s top ten shipbuilding nations by 2030, leveraging a mix of public investment, foreign collaboration, and policy reform.
Central to this ambition is the recently announced Maritime Development Fund (MDF), which aims to provide long-term financial support to India’s shipping and shipbuilding sectors. The MDF, equivalent to nearly $2.93 billion, will be 49% government-funded, with the remaining contributions expected from shipping companies and private investors. The fund is designed to facilitate access to capital for infrastructure development, vessel construction, and technological innovation across the maritime value chain.
Analysts say the fund, coupled with strategic partnerships like those with Damen, is likely to accelerate the modernisation of India’s shipyards, many of which have historically lagged behind global competitors in terms of scale and sophistication.
“Foreign players like Damen bring not only capital and know-how, but also a global customer base,” said maritime analyst Vishal Ramani. “These collaborations help Indian yards climb the value chain, moving from basic fabrication to advanced ship construction, including green vessels and complex offshore support ships.”
India’s shipbuilding potential is anchored in a number of structural advantages: a long coastline, a large pool of engineering talent, and competitive labor costs. But the sector has also faced chronic underinvestment and bureaucratic hurdles. The government’s recent moves aim to reverse that trend by making the sector more attractive to private and foreign stakeholders alike.
Damen, headquartered in the Netherlands, is one of the world’s most prolific shipbuilders, with a portfolio that includes tugs, ferries, naval vessels, and offshore support ships. Its approach to modular shipbuilding and standardized designs has helped it streamline production and reduce costs globally—a model that fits well with India’s aspiration to scale up its shipbuilding sector.
For Square Port Shipyard, the partnership represents an opportunity to position itself as a center for regional vessel construction. The yard’s proximity to major ports and industrial centers enhances its appeal as a strategic hub for Damen’s operations in the region.
As India continues to court international partnerships and deploy financial tools to build its shipbuilding base, deals like this signal tangible progress. With the 2030 deadline approaching, the country is clearly steering its maritime sector into a new era—one built on global collaboration, technology transfer, and a renewed focus on industrial competitiveness.
