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Andhra Pradesh Plans Rs 30,000 Crore Dugarajapatnam Ship Hub

Sarbananda Sonowal said Andhra Pradesh will build a Rs 30,000 crore greenfield shipbuilding cluster at Dugarajapatnam and four new greenfield ports.

By Published · 2 min read
Andhra Pradesh Plans Rs 30,000 Crore Dugarajapatnam Ship Hub

Why in News

At the 31st CII Partnership Summit in Visakhapatnam on 12 November 2026, Ports, Shipping and Waterways Minister Sarbananda Sonowal announced a proposed Rs 30,000 crore greenfield shipbuilding cluster at Dugarajapatnam and set out Andhra Pradesh's plan to become a global maritime hub.

Union Minister for Ports, Shipping and Waterways Sarbananda Sonowal said Andhra Pradesh is ready to grow into a globally competitive maritime and logistics centre, speaking at the 31st CII Partnership Summit in Visakhapatnam. He set out the state's case on the strength of its roughly 1,053-kilometre coastline along the Bay of Bengal, its access to international shipping lanes and its closeness to the big manufacturing and trading economies of Asia.

Shipbuilding cluster at Dugarajapatnam

The centrepiece is a proposed greenfield shipbuilding cluster at Dugarajapatnam. It has in-principle approval under the National Shipbuilding Mission, envisages investment of about Rs 30,000 crore and targets an annual capacity of 1.2 million gross tonnes. A Centre-State special purpose vehicle bringing together the Andhra Pradesh Maritime Board and the Visakhapatnam Port Authority has been set up to carry the project.

Four greenfield ports under construction

Work is on at four major greenfield port projects - Mulapeta, Machilipatnam, Ramayapatnam and the Kakinada SEZ - which are expected to add cargo-handling capacity and pull industry around them. Projects worth more than Rs 560 crore had their foundation stone laid at Visakhapatnam Port on Wednesday. The state already has working ports at Visakhapatnam, Gangavaram and Krishnapatnam. Visakhapatnam Port handled a record 91.17 million tonnes of cargo in FY 2025-26, about 10% more than the year before, and has grown for four years running since FY 2021-22.

The national backdrop

Sonowal said India has set itself the goal of joining the world's top five shipbuilding nations, and that Rs 70,000 crore has been allocated as financing support for shipbuilding and other maritime activity. Sagarmala, Maritime India Vision 2030 and the Maritime Amrit Kaal Vision 2047 together envisage investment of Rs 80 lakh crore. He also named the Rs 10,000 crore Container Manufacturing Scheme for home-made containers, a proposed Rs 10,000 crore Coastal Cargo Promotion Scheme for the country's 12,000-kilometre coastline, and the Rs 80,000 crore deep-draft, all-weather mega container port coming up at Vadhavan in Maharashtra. Four Global Maritime Investment Summits have drawn investment of about Rs 25 lakh crore into the sector.

Three ambitions for the state

The minister listed three goals for Andhra Pradesh: becoming a leading destination for port-led development under the Saptadhara roadmap for Viksit Bharat 2047, growing into a competitive shipbuilding and ship-repair hub, and serving as India's eastern maritime gateway to ASEAN, East Asia and the Indo-Pacific. Smart ports running on artificial intelligence, predictive analytics, automation and digital logistics platforms, he said, would decide efficiency in the next phase. 'If Hyderabad became Cyberabad, Andhra Pradesh today has the opportunity to become India's Maritime Gateway to the East,' he said.

Important Facts

Announced bySarbananda Sonowal, Union Minister for Ports, Shipping and Waterways
Occasion31st CII Partnership Summit, Visakhapatnam
Shipbuilding clusterDugarajapatnam, greenfield, under the National Shipbuilding Mission
Cluster investmentAbout Rs 30,000 crore
Targeted capacity1.2 million gross tonnes a year
Project vehicleCentre-State SPV of Andhra Pradesh Maritime Board and Visakhapatnam Port Authority
Greenfield portsMulapeta, Machilipatnam, Ramayapatnam and Kakinada SEZ
State coastlineAbout 1,053 km along the Bay of Bengal
Visakhapatnam Port cargoRecord 91.17 million tonnes in FY 2025-26, about 10% growth
Shipbuilding finance supportRs 70,000 crore allocated
Vadhavan mega portRs 80,000 crore, deep-draft and all-weather, in Maharashtra

Exam Point of View

Note the minister (Sarbananda Sonowal, Ports, Shipping and Waterways), the cluster site (Dugarajapatnam) with Rs 30,000 crore investment and 1.2 million gross tonnes capacity under the National Shipbuilding Mission, the four greenfield ports (Mulapeta, Machilipatnam, Ramayapatnam, Kakinada SEZ), the 1,053 km coastline, Visakhapatnam Port's record 91.17 million tonnes in FY 2025-26, and the Rs 70,000 crore shipbuilding support and Rs 80,000 crore Vadhavan port.

Practice Questions

Q1.EconomyMedium

Where is the proposed greenfield shipbuilding cluster of Andhra Pradesh, approved in principle under the National Shipbuilding Mission, to be set up?

  1. A.Machilipatnam
  2. B.Dugarajapatnam
  3. C.Ramayapatnam
  4. D.Gangavaram
Show answer
Correct answer: B. Dugarajapatnam

The shipbuilding cluster proposed there has in-principle approval under the National Shipbuilding Mission, envisages investment of about Rs 30,000 crore and targets an annual capacity of 1.2 million gross tonnes.

Q2.EconomyMedium

What is the approximate length of Andhra Pradesh's coastline, as highlighted by the Union Minister for Ports, Shipping and Waterways?

  1. A.974 km
  2. B.1,053 km
  3. C.1,240 km
  4. D.1,600 km
Show answer
Correct answer: B. 1,053 km

Sarbananda Sonowal cited a coastline of roughly that length along the Bay of Bengal as one of Andhra Pradesh's strategic advantages, together with access to key international shipping routes and proximity to major Asian manufacturing and trading economies.

Frequently Asked Questions

Where will the proposed greenfield shipbuilding cluster in Andhra Pradesh come up?

At Dugarajapatnam. It has in-principle approval under the National Shipbuilding Mission, envisages investment of about Rs 30,000 crore and targets 1.2 million gross tonnes of annual capacity, with a Centre-State SPV of the Andhra Pradesh Maritime Board and Visakhapatnam Port Authority formed for it.

How long is Andhra Pradesh's coastline as cited by the minister?

About 1,053 kilometres along the Bay of Bengal, which Sarbananda Sonowal called one of the state's strategic advantages, along with access to international shipping routes and proximity to Asian manufacturing economies.

How much cargo did Visakhapatnam Port handle in FY 2025-26?

A record 91.17 million tonnes, about 10% more than the previous year. The port has maintained continuous growth for four consecutive years since FY 2021-22.

Which four greenfield ports are under construction in Andhra Pradesh?

Mulapeta, Machilipatnam, Ramayapatnam and the Kakinada SEZ. They are expected to strengthen cargo-handling capacity and support industrial development in the state.

Sources

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