Can you tell me about the latest tie-up between Cochin Shipyard and Dredging Corp?
Answer
Answer
Two listed PSUs, Dredging Corporation of India and Cochin Shipyard Ltd had signed an agreement to build a dredger with a capacity of 12,000 cubic meter. This will be developed by Dredging Corporation at the Cochin Shipyard. This is a part of the Make in India project to construct the first “Beagle Series 12 Trailing Suction Hopper Dredger”. This will be used to dredge waters to clear the ports ahead of the arrival of ships.
There is the need for sufficient dredgers at ports for timely completion of dredging. New dredgers manufactured with local technology and skills will be able to bring the much-needed efficiency and timeliness to dredging. This would eventually enable the smooth operation of vessels. The project will also get financial assistance from the (SFAP - 2016) policy of the Ministry of Shipping.
The policy offers financial assistance equal to 17% of the lower of the contract policy or fair price or actual payments. There is already a provision of Rs.4,000 crore made for this purpose over the next 10 years. Dredging Corporation of India is a Vizag based listed Indian company with 74% of its shares held by a consortium of 4 major port authorities viz. Vishakhapatnam Port, Paradip port, JNPT and Deendayal Port.