Cochin Shipyard to commence operations at Marine Dockyard in Port Blair
Cochin Shipyard Ltd has entered into an agreement with the Andaman & Nicobar Administration to commence operations at the Marine Dockyard in Port Blair, a facility that is currently operated directly by the A&N Administration.
Under the agreement signed, CSL would assist the administration to set up a ship repair ecosystem in the Andaman & Nicobar Islands, associate in the augmentation and modernisation of the facility, and also focus efforts towards skill development in the islands.
CSL will be entitled to a management fee of Rs 15 crore per annum. A profit share of 7.5 per cent of PAT would be payable to the administration from the profit generated by the yard, by providing ship repair services at the Marine Dockyard facility.
The agreement was signed at Port Blair by Sudhir Mahajan, Secretary (Shipping), Andaman & Nicobar Administration, and Madhu S Nair, CMD, CSL. The agreement is for a period of 30 years, during which CSL is expected to spruce up the operational efficiency of the dockyard as well as improve the overall ship repair ecosystem on the island, to ensure faster turnaround and minimise the downtime of vessels, which are the lifeline for the islands.
CSL’s existing MoU (since 2017) with the Andaman & Nicobar Administration for repair of large sea-going vessels of the administration at its facility in Kochi, is being successfully executed.
Source: The Hindu Business Line