In a major step toward strengthening its energy security and reducing reliance on foreign shipping, India has announced a $10 billion plan to build 112 domestically manufactured crude oil tankers by 2040. This ambitious initiative falls under the government’s broader ‘Make in India’ campaign, aimed at promoting local manufacturing and self-reliance in critical sectors.
The investment will significantly modernize India’s crude oil transport infrastructure, replacing the aging fleet of vessels currently leased from foreign firms. Officials stated that the move will help ensure greater control over strategic oil shipments, particularly amid rising global uncertainties in shipping and energy supply chains.
The first phase of the project includes the acquisition of 79 tankers, of which 30 will be medium-range carriers. According to sources close to the Ministry of Petroleum and Natural Gas, the initial order for 10 ships is expected to be placed by the end of this month.
The project also aims to boost India’s shipbuilding industry, creating thousands of jobs and strengthening capabilities in domestic maritime engineering and construction. It is expected that public and private sector shipyards will be invited to bid for contracts under this program.
Industry experts have welcomed the announcement, noting that owning a larger domestic fleet will not only reduce dependency on international carriers but also bring down long-term costs associated with oil transportation.
Source:
Business Standard, The Economic Times
