Centre revamps ship building subsidy scheme

In a notable development, subsidies will be offered by the centre to vessels for setting up offshore wind energy projects and laying undersea cables. This ship building subsidy scheme has been revamped by the centre to include support for manufacture of these vessels. Under the Rs 40 billion Shipbuilding Financial Assistance, financial assistance up to 20 per cent of the contract price or the fair price (whichever is lower) is extended to Indian shipyards for each specialised vessel built by them. The introduction of this scheme will make ships made in India competitive with those manufactured in other countries.