JM Baxi draws up Rs 10,000 crore ship recycling and repair plan: Sources

Private port terminal operator JM Baxi plans spending close to Rs 10,000 crore for establishing ship-recycling, repair centres and cruises. The company plans shoring funds from a mix of multi-lateral institutions, domestic banks and internal accruals and domestic banks. Along with this, the company plans to enter the subsea cable deployment industry in India. Top company officials said the diversification is in line with the boost this industry is recently getting.

“The first phase of this recycling facility will be operational by 2029,” a top company offical told ET adding it will be spending around $ 1 billion (roughly Rs 8,500 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 its capacity by 2029.” The facility will be built in partnership with another Indian players.


Along with this, JM Baxi will also establish a ship repair facility in South India. The company has already started scouting for both these projects.

“Most funds will be on the basis internal accruals in the first phase,” the official said adding JM Baxi will also look at raising fund from global development and infrastructure funds.

In addition to these, the company is also looking at launching a luxury cruise service in India with a capacity of 600 passengers. “The ship will most likely be a European flag and will look at touring India’s tourist hubs along the coastline,” the official added.