L&T Shipbuilding to Invest Rs. 1,000 Crore to Expand Katupalli Shipyard
L&T Shipbuilding Ltd. (LTSB), a subsidiary of Indian EPC giant Larsen & Toubro Ltd (L&T), will invest Rs. 1,000 crore to expand operations at its shipbuilding complex in Katupalli, located about 40 Km north of Chennai.
Production Capacity Expansion to Boost Defence Manufacturing
Currently, the complex has a capacity of manufacturing 15 new ships and repairing of 30 ships every year. After the expansion, Katupalli shipbuilding complex will be able to produce 25 ships and conduct 60 ship repairs annually. Katupalli shipbuilding complex produces defence vessels, including submarines, as well as specialised commercial ships. In fact, first of the two Multipurpose Vessels (named Samarthak) for the Indian Navy, for which L&T and Defence Ministry had signed a contract in March 2022, was launched out of Katupalli shipyard in October 2024.
As part of the expansion plan, L&T Shipbuilding will build new fabrication and assembly shops, paint and blasting shops, warehouses, office buildings, residential accommodation, and a skill development centre. This expansion will be executed on 892.11 acre of land already owned by the company.
Construction work is scheduled to begin in October 2025 and is expected to be completed within three years.
Facility Was Operating Below Approved Capacity
Back in 2009, the shipyard received Environmental Clearance and Coastal Regulation Zone approval to produce 25 ships annually and conduct repairs of 60 ships per annum. However, L&T’s Katupalli shipyard was operating below this approved capacity, and the aforementioned expansion targets to meet this approved capacity.
Interestingly, Katupalli Port, where LTSB’s shipyard is located, was initially developed as a greenfield port by L&T, but in 2018 Adani Ports and Special Economic Zone (APSEZ) took over operations at the port, barring the Katupalli shipbuilding facility. Currently, only the shipbuilding complex at the port continues to be operated by L&T Shipbuilding.
Recognised for Safety Excellence
In 2019, the Katupalli shipyard earned the distinction of being the first Indian shipyard to receive a five-star grading from the British Safety Council’s Occupational Health and Safety Audit, placing it among a select few shipyards globally recognized for excellence in workplace safety.
About L&T Shipbuilding Ltd.: L&T Shipbuilding is headquartered in Chennai, and operates two shipyards – one in Katupalli near Chennai, and the other at Hazira, Gujarat. L&T Shipbuilding is engaged in production of defence as well as commercial sea vessels.
