Pipavav Shipyard has appealed to the government to take a cue from Korea and China and help the ship building industry to succeed.

Addressing the The Lloyds List-sponsored two-day “International Shipbuilding Conference 2008” in progress at Athens, Pipavav Shipyard CEO Mr Ray Stewart pointed out that the Korean and Chinese governments have helped their ship building industries attain global number one and two positions, respectively.

India is being represented by Pipavav Shipyard, the upcoming yard in Gujarat which is rapidly becoming one of the largest shipbuilding complexes in the country. Senior executives from major yards in Japan, South Korea, China and Europe also made their presentations, in addition to contributions from ship-owning, steel, financing, ship-broking and legal companies.

Mr Stewart’s topic was “A Spotlight on India” and he called upon the Indian government to come out clear on the issue of continuation of the subsidy scheme for the country’s ship building industry that expired in August 2007. “This is needed in order to encourage other companies to enter the industry and enable a critical mass to be achieved in the country. This would in turn lead to further investment from international and national equipment and material suppliers,” he said.

Mr Stewart said “the invitation (to represent at the conference) in itself is a sign that India has arrived on the world stage and it was a great honor and endorsement for Pipavav Shipyard to be selected. It was a wonderful opportunity to inform such an august audience about our plans and those of our Indian yard colleagues.”

Pipavav Shipyard is now building the biggest ships under construction in India – a series of Panamax bulk-carriers which are about 74,500 dwt tons and 225m long. The yard has won orders exceeding USD 1 billion which places it at number two in the world for Panamax bulk-carriers after the major Japanese builder Oshima. The company started production of the first ships in the series in February this year and will deliver its first vessel early next year.

Mr Stewart said: “We are investing in some of the best state-of-the-art equipment that money can buy in order to ensure that shipyard achieves best international practices and productivity levels. Pipavav Shipyard is in advance stage of constructing one of the largest dry-dock in the world admeasuring 651m by 65m and will be building two Panamax vessels at a time in the dock initially but will increase simultaneous production of other ships in due course.”.

He pointed out that the recent major study by KPMG has shown that shipbuilding has one of the highest economic multiplier effects among all industries, especially in employment and investment. “There has never been a better time for the Indian shipbuilding industry to really take off and become a major world player” Mr. Stewart added.

Lloyds List is the number one daily newspaper in the marine industry across the world. It was established in the 18th century in London as the city became the marine insurance capital of the world. It now covers all maritime aspects as well as organizing some of the top industry conferences.

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Pipavav Shipyard Limited (PSL) is a testimony to the vision and active participation of the private sector in India’s quest to become a major player in the global maritime industry...

PSL is currently setting up of an integrated shipbuilding facility which, upon completion, will be the largest in India and among the largest in Asia. The Government of India has accorded the project the status of an Export Oriented Unit (“EOU”).

The shipyard complex is located on the South Western coast of Gujarat, about 130 kms from Bhavnagar to its east and Diu, about 90 kms to its west. It is adjacent to Pipavav Port, the first private sector port in India, which is controlled and operated by the A.P. Møller Group (Maersk) of Denmark, one of the largest maritime group in the world.