New Delhi/Kolkata: Defence PSU Garden Reach Shipbuilders and Engineers (GRSE) Limited and Dempo Group of Goa have signed a memorandum of understanding for a collaboration to build commercial vessels on the west coast of the country, officials said on Friday.
The MoU has been signed between the two companies to collaborate to make vessels at three shipyards of Dempo at Goa and Bhavnagar in Gujarat, they said.
Warship builder GRSE is attempting to diversify into commercial shipbuilding to capture a large market share in the construction of commercial vessels, both domestic as well as international, he said.
"GRSE Ltd and the Dempo Group of Goa have signed a memorandum of understanding to launch a collaboration model to build commercial vessels in three premier shipyards of Dempo at Goa and Bhavnagar," the official said in a press statement.
Kolkata-headquartered GRSE took the maiden initiative in the country to make the public-private collaboration model a success story in warship building, he said.
Aligning the concept with the emerging commercial shipbuilding market, the Defence PSU is partnering with V S Dempo Holdings Private Ltd to share their shipbuilding resources with GRSE to build commercial vessels on the west coast of India, the official said.
Despite challenges, there is a positive outlook in the global commercial shipbuilding sector, GRSE chairman and managing director Commodore P R Hari (retd) said.
He also said that the shipbuilding and repair industry is undergoing rapid technological changes, and creating new opportunities for companies that can keep up with the latest trends.
Dempo Group chairman Srinivas Dempo expressed confidence that the collaboration with the Defence PSU will generate a very productive ecosystem, deriving strengths from each other's expertise and leveraging capacities towards bagging more domestic and foreign shipbuilding orders.