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Indian Defence NewsMinistry of Defence Inks Rs 19,000 Crore Deal with Hindustan Shipyard Limited...

Ministry of Defence Inks Rs 19,000 Crore Deal with Hindustan Shipyard Limited for Fleet Support Ships

Tipping the scales at 44,000 Tons, these Fleet Support Ships will set a new benchmark as they will be the first of such magnitude to be constructed in India by an Indian shipyard.

New Delhi, August 25, 2023 – The Ministry of Defence (MoD) today announced the signing of a landmark contract with the Visakhapatnam-based Hindustan Shipyard Limited (HSL) for the procurement of five Fleet Support Ships (FSS) for the Indian Navy. Valued at approximately Rs 19,000 crore, this deal marks a significant stride towards bolstering India’s self-reliance in defence manufacturing.

The entire project embodies the vision of indigenization as HSL, Visakhapatnam, will indigenously design and construct these vessels. The green light for this acquisition was given by the Cabinet Committee on Security in their meeting on August 16, 2023.

HSL class fleet support ship

Primarily tasked with replenishing naval vessels at sea with essential supplies such as fuel, water, ammunition, and other stores, the FSS will be pivotal in allowing the Indian Naval Fleet to sustain prolonged operations without the need to return to port. This not only increases the fleet’s strategic reach and mobility but also amplifies the blue water capability of the Indian Navy. Apart from their logistical role, these vessels can be employed in evacuation missions and play a vital role in human assistance and disaster relief (HADR) operations.

Tipping the scales at 44,000 Tons, these Fleet Support Ships will set a new benchmark as they will be the first of such magnitude to be constructed in India by an Indian shipyard. The ripple effect of this undertaking will be felt in the employment sector as the project is expected to generate approximately 168.8 lakh mandays of employment over an eight-year span.

This endeavor stands to rejuvenate the Indian shipbuilding industry, fostering the growth and active involvement of associated industries, especially Micro, Small, and Medium Enterprises (MSMEs). A significant proportion of the equipment and systems incorporated into these ships will be sourced from local manufacturers. This aligns seamlessly with the ‘Aatmanirbhar Bharat’ ethos and resonates with the ‘Make in India’ initiatives, making these vessels a symbol of national pride and technological prowess.

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