Private port terminal operator IM Baxi plans to spend close to Rs 10,000 crore to establish ship recycling and repair centres, as well as launch cruise operations. The company plans to raise funds through a mix of multilateral institutions, domestic banks, and internal accruals. Alongside this, it also aims to enter the subsea cable deployment industry in India. Senior company officials said the diversification aligns with the recent boost the sector has been receiving.

"The first phase of this recycling facility will be operational by 2029," a top company official told ET, adding that it will spend around $1 billion (roughly 18,500 crore) near Alang in Gujarat for this greenfield facility.

"Seven to eight large ships can be simultaneously recycled at the facility in the first phase. The facility will reach full capacity by 2029." The facility will be built in partnership with other Indian players.

In addition, JM Baxi will also set up a ship repair facility in South India. The company has already started scouting for locations for both these projects.

"Most funds will be based on internal accruals in the first phase," the official said, adding that JM Baxi will also explore raising funds from global development and infrastructure funds.

The company is also looking to launch a luxury cruise service in India with a capacity of 600 passengers. "The ship will most likely be a European flag and will cover India's tourist hubs along the coastline," the official added.

Source: ET Infra. Com 

#theshippingtribune #latestnews #shippingnews #dailynews #Maritimenews #shippingindustry #news #media #newsupdate #maritime #shippingnewsworldwide