VPA to invest in mega shipping cluster at Dugarajapatnam, inks MoUs worth Rs.29,662 crore at IMW in Mumbai

The mega shipbuilding cluster proposed at Dugarajapatnam in Tirupati district by the Andhra Pradesh Government has received a shot in the arm with the Visakhapatnam Port Authority (VPA), one among top five major ports in India, announcing to pick up equity in the project.

In a significant development, VPA signed an MoU with the Andhra Pradesh Government for the establishment of a shipbuilding and ship repair cluster at Dugarajapatnam, with an investment commitment of ₹29,662 crores. The project will generate large-scale employment, strengthen India’s self-reliance under the Make in India framework, and deliver modern infrastructure to accelerate the nation’s maritime growth.

VPA made the announcement at the ongoing India Maritime Week 2025 being held at Mumbai from October 27 to 31, which is being projected as a premier International platform showcasing India’s maritime potential and global partnerships. The event brings together delegates from over 100 countries, highlighting India’s vision to become a Global Maritime Hub through advancements in port infrastructure, shipbuilding, inland waterways, and green shipping initiatives.

With a strong focus on sustainability and innovation, the week emphases clean fuels, eco-friendly logistics, and the blue economy. The presence of Prime Minister Narendra Modi and senior Ministers underscored the government’s commitment to maritime development and investment facilitation, a senior official of VPA told Bizz Buzz.

HD Korean Shipbuilders Offshore Engineers Ltd. had an interaction with the officials of VPA and the Andhra Pradesh Government on the current development on Dugarajapatnam mega shipbuilding cluster and technical salient features in the IMW-2025.

VPA also signed an MoU with MECON India, valued at ₹3,000 crores, to focus on developing modern stack yards and railway sidings. The initiative seeks to optimise multimodal logistics, enhance port efficiency, and promote seamless regional connectivity.

VPA partnered with NBCC under a ₹500 crore self-financing scheme for the monetisation and integrated development of under-utilised land in Harbour Park in Visakhapatnam..

A collaboration with HUDCO worth ₹487.38 crore will drive the mechanisation and modernisation of cargo berths, incorporating advanced handling technologies to improve productivity, ensure environmental sustainability, and support ongoing efforts toward digital and operational excellence.

VPA joined hands with Rail Vikas Nigam Limited (RVNL) through a ₹535 crores MoU for developing internal flyovers within port premises. VPA Chairman Dr. M. Angamuthu said at India Maritime Week, VPA highlighted its comprehensive land monetisation program designed to bolster investment and infrastructure across multiple zones. Collectively, the MoUs and development programs announced by VPA at India Maritime Week 2025 are set to attract over ₹39,216 crore in new investments.

These projects support regional economic growth, job creation across Andhra Pradesh focussing on the National Logistics Policy, Maritime India Vision 2030, and the nation’s commitment to achieving Net Zero emissions by 2047, Dr. Angamuthu, who is also the Chairperson of Mumbai Port Authority, said.

India Maritime Week 2025 thus strengthens the nation’s maritime heritage while enhancing its international standing and contributing to economic growth through sustainable and strategic ocean-based development.