Gist of PIB | Ship Building Agreement between DCI and Cochin Shipyard For UPSC IAS Current Affairs Preparation

Context

A historic Ship Building Agreement has been signed by the Dredging Corporation of India. 

• This agreement has been signed between the Dredging Corporation of India and Cochin Shipyard providing a major boost to the Make in India initiative. 
• It is for the first time that the construction of the first Beagle Series Dredger will commence under this historic agreement backed by the ambitious vision of Make in India.
• The agreement would result in the manufacturing of domestic high capacity dredgers. 

Gist Of PIB For UPSC IAS Current Affairs Preparation

Financial Assistance

• The Shipbuilding Financial Assistance Policy 2016 of the Ministry of Ports, Shipping and Waterways for Indian Shipyards will extend its benefits to this agreement for securing the shipbuilding contracts. 
• Financial aid will be granted under this policy at a lower contract price or fair price. 

Gist Of PIB For UPSC IAS Current Affairs Preparation

About Dredging Corporation of India (DCI)

• The DCI was incorporated as a public sector organisation under the Companies Act 1956.
• The DCI, since its foundation, has been engaged in dredging activities.
• In 2017, the Government of India approved the privatisation of DCI followed by which the stake of DCI was transferred to 4 major ports. These ports include Visakhapatnam port trust, Paradeep port trust, Jawaharlal Nehru port trust and Kandla port trust. 
• DCI is involved in activities such as capital dredging, beach nourishment and land reclamation. 

Gist Of PIB For UPSC IAS Current Affairs Preparation

Significance

• The need for sufficient dredgers is of primary importance for the timely completion of dredging activities. The new shipbuilding agreement is a landmark achieved in this context. 
• The initiative for the construction of 12,000 cubic metre Trailing Suction Hopper Dredger (TSHD) will add new dimensions to the shipbuilding industry of India showcasing the technological prowess that prepares a potential ground to ‘Make in India, Make for the World’. 
• Moreover, this agreement signifies India’s way forward with the objectives of Atma Nirbharta (Self-reliance).