New Delhi: Responding to a Rajya Sabha query, Minister of State for Shipping Mansukh Lal Mandaviya claimed that the shipbuilding industry upholds a great potential for generating employment at remote, coastal and rural areas.
Informing that nearly 30,000 people are employed in the shipbuilding industry, the MoS Shipping wrote, "Shipbuilding is capable of generating mass employment in remote, coastal and rural areas, thereby absorbing the labour migrating from farm fields into manufacturing facilities which are set up by shipyards and their ancillaries."
He further stressed saying that Ship building is a strategically important industry due to its role in energy security, national defence and development of heavy engineering industry.
To promote shipbuilding in Indian shipyards, the Union Cabinet in December 2015 approved New Shipbuilding Financial Assistance Policy for Indian shipyards for contracts signed during a ten year period, for example from 2016 to 2026, with budgetary projections of Rs. 4,000 crore for this period.
Nearly 65% value of the built ship is contributed by heavy engineering industry such as steel, electronics, engineering and electrical equipment, port infrastructure as well as trade and shipping services. Promotion of ship building industry also develops ancillary industries.
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