Gandhinagar: The state’s shipbuilding and repair policy, which is expected to be announced next month, will offer a slew of incentives to industries, including interest subvention for reducing interest rates on financing, electricity and water subsidy, and dredging support for the shipbuilding ecosystem.Beyond fiscal support, the proposed policy will ensure long-term waterfront access, single-window clearances, and the development of common infrastructure to reduce overall costs through the establishment of integrated mega shipbuilding parks (IMSPs), along with investments in R&D centres and skill hubs to develop skilled and technical manpower. Department sources said that the state govt has granted in-principle approval to the policy. “The shipbuilding and repair policy will be announced soon after the completion of local body elections in the state. An in-principle approval has already been granted for the policy,” top sources said. The state’s shipbuilding policy is being announced after a gap of 16 years. The last policy was announced in 2010. According to sources in the govt, a capital assistance of Rs 100 crore or 10% of the eFCI (eligible fixed capital incentive) will be provided, whichever is lower, for individual shipyards. Similarly, for development of IMSPs, a capital assistance of Rs 150 crore or 20% of the eFCI will be provided, whichever is lower. For setting up marine equipment clusters in proximity of IMSPs, capital assistance of Rs 25 crore or 20% of the eFCI will be provided, whichever is lower. Special capital incentives for early birds have also been introduced in the form of additional 5% benefits of the eFCI, sources said. “Special incentives in the form of exemption of stamp duty and interest subvention of maximum of 7% have been proposed to effectively lower the interest rate to 5%. The govt has also proposed additional incentives in the form of dredging because of higher capital outlay for such activities,” said sources. The govt has also proposed financial assistance for setting up of skill development centres and institutions for research work in shipbuilding and repair-related activities, sources added.
