Government Inks ₹1,070 Cr Deal with Mazagon Dock for 14 Coast Guard Patrol Vessels

Govt signs ₹1,070 crore deal with Mazagon Dock for 14 fast patrol vessels for Coast Guard
Govt signs ₹1,070 crore deal with Mazagon Dock for 14 fast patrol vessels for Coast Guard

by Tanushree Jaiswal Last Updated: Jan 25, 2024 - 04:02 pm 865 Views
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To enhance India's maritime security, the Ministry of Defence has signed a contract worth ₹1,070.47 crore with Mazagon Dock Shipbuilders Ltd (MDL), Mumbai. This deal includes the acquisition of 14 fast patrol vessels (FPVs) for the Indian Coast Guard (ICG). The vessels, falling under the buy (Indian-IDDM) category, will be designed and manufactured by MDL, marking a crucial step in bolstering the ICG's operational capabilities.

14 FPVs are expected to be delivered within a timeline of 63 months, aligning with the government's Atmanirbhar Bharat Initiative (self-reliant India). Reflects a dedication to boosting maritime economic activities and stimulating the growth of ancillary industries, particularly benefiting the MSME sector.

Equipped with advanced technology such as multipurpose drones, wirelessly controlled remote water rescue craft lifebuoy, and artificial intelligence capabilities. This integration aims to provide the ICG with heightened flexibility and operational advantages in addressing contemporary multidimensional challenges.

FPVs are set to play  important role in various maritime operations, including fisheries protection and monitoring, control and surveillance, anti-smuggling endeavors, search and rescue operations in shallow waters, assistance to distressed ships/craft, towing capabilities, and monitoring during marine pollution response operations. Additionally, the vessels will actively engage in anti-piracy operations, contributing to fortifying India's maritime security.

Mazagon Dock Recent Contracts

This latest contract follows Mazagon Dock Shipbuilders' previous agreements, including a ₹1,600 crore contract for the construction and delivery of six next-generation offshore patrol vessels for the Indian Coast Guard. The company is on track to deliver the first vessel within 41 months and subsequent ones at intervals of five months.

Mazagon Dock recently signed a $42 million contract with a European client for the construction of three units of 7,500 DWT multi-purpose hybrid power vessels and secured a ₹1,142 crore order from ONGC for part replacement of a pipeline on a turnkey basis.

Final Words

Mazagon Dock Shipbuilders' stock has been on the rise, showing a 3.11% increase in the past month. Over the last 6 months it grew 26.59%. Stock's performance over the past year has been exceptional with a surge of 219.63%. Zooming out to a longer timeframe, Mazagon Dock Shipbuilders has delivered outstanding returns soaring by 1,303.75% over the past 5 years. These numbers indicate a positive trend, showcasing the company's strong performance and gaining trust from investors.
 

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About the Author

Tanushree is a seasoned professional with 6 years of experience in the Fintech and Edtech industry.

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