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GRSE and YIL Begin Major Expansion of Shipbuilding and Defence Manufacturing Capabilities in West Bengal

Rajnath Singh lays foundation for five brownfield projects aimed at boosting warship construction, advanced manufacturing and self-reliance

Kolkata : In a major boost to India’s shipbuilding and defence manufacturing ecosystem, Defence Minister Rajnath Singh, in the presence of West Bengal Chief Minister Suvendu Adhikari, laid the foundation stone for five brownfield expansion projects of Garden Reach Shipbuilders & Engineers Ltd. (GRSE) and Yantra India Limited (YIL).

The foundation ceremony was held at GRSE Bhavan, Kolkata, on August 23, 2026. The projects are aimed at expanding manufacturing capacity, strengthening India’s indigenous defence capabilities and supporting the government’s Aatmanirbhar Bharat and Make in India initiatives.

The event was attended by West Bengal Chief Secretary Manoj Agarwal, Department of Defence Production Secretary Sanjeev Kumar, DG Ordnance (C&S) Dr. JP Dash, GRSE Chairman and Managing Director Cmde PR Hari, YIL Chairman and Managing Director Vijaykumar Iyer, and senior officials from both organisations.

GRSE Expands Shipbuilding Infrastructure

GRSE is undertaking three major expansion projects across Kidderpore, Shalimar and Raichak in West Bengal.

As part of its expansion strategy, GRSE has entered into lease agreements with Syama Prasad Mookerjee Port, Kolkata (SMPK) for two small shipyards on both banks of the Hooghly, along with a 32-acre riverside property at Raichak.

The new facilities are expected to strengthen GRSE’s capabilities in warship construction, vessel refit, commercial shipbuilding and ship repair.

₹2,500-Crore Raichak Shipbuilding Hub

The Raichak facility is set to become a major shipbuilding hub with an investment of more than ₹2,500 crore.

The facility will feature:

  • A 200-metre dry dock
  • Slipway and launching facilities
  • Jetties
  • Block fabrication facilities
  • A 356-metre waterfront
  • A 96-metre jetty
  • Water depth of around 8–10 metres

The infrastructure will enable GRSE to construct warships up to 200 metres long and commercial vessels of up to 60,000 DWT.

The facility is expected to significantly increase the shipyard’s capacity to undertake large and complex shipbuilding projects.

Shalimar Facility to Receive ₹100 Crore Investment

GRSE’s 4-acre Timber Pond facility at Shalimar will be rejuvenated with an investment of nearly ₹100 crore.

The project will support medium-sized shipbuilding and repair activities and includes restoration of the existing 130-metre dry dock and construction of a 120-metre slipway.

₹70 Crore Kidderpore Project

The Damodar facility at Kidderpore Docks, which includes an old workshop and a 25-metre waterfront, will receive an investment of around ₹70 crore.

The facility will focus on medium-sized vessel repairs and construction of electric ferries and other small vessels.

YIL to Strengthen Advanced Defence Manufacturing

At Yantra India Limited’s Metal and Steel Factory (MSF) in Ishapore, two advanced manufacturing facilities are being established with a combined investment of more than ₹750 crore.

These facilities will strengthen India’s capabilities in specialised metallurgy, defence manufacturing and high-end engineering.

₹277.59-Crore Heavy-Duty Forging Press

A ₹277.59-crore, 3,000-ton Heavy Duty Hydraulic Open Die Forging Press will replace the existing 2,650-ton press.

The new facility will manufacture critical products including:

  • Gun barrels
  • Ammunition components
  • Heavy defence forgings
  • Other specialised forged components

The upgraded equipment is expected to improve manufacturing capabilities while reducing dependence on imported components.

₹473.84-Crore Radial Forging Plant

A second facility, the ₹473.84-crore Radial Forging Plant, will manufacture high-value specialised forgings.

Its products will include:

  • Super-alloy forgings
  • Aerial bomb tubes
  • Ordnance hardware
  • Railway axles
  • Nuclear reactor components

The facility will incorporate Industry 4.0 technologies and energy-efficient manufacturing systems, strengthening India’s capabilities in strategic and high-precision manufacturing.

Boost to Aatmanirbhar Bharat

Together, the GRSE and YIL projects are expected to contribute significantly to India’s objective of becoming more self-reliant in defence production.

The expansion will help increase domestic manufacturing capacity, develop advanced industrial capabilities and reduce dependence on imports in strategically important sectors.

The projects are also expected to benefit the wider industrial ecosystem by creating employment and generating new opportunities for ancillary industries and MSMEs in West Bengal.

Rajnath Singh Praises GRSE and YIL

Defence Minister Rajnath Singh expressed confidence in the expansion of defence and industrial capabilities in West Bengal.

He said the country’s national security requirements have created confidence in expanding defence manufacturing capacity and congratulated the state leadership for supporting industrial development.

Praising GRSE’s capabilities, Singh said the shipyard is prepared to accept challenges in the pursuit of self-reliance. He also highlighted GRSE’s extensive experience in naval and commercial shipbuilding.

According to the Defence Minister, GRSE has delivered more than 800 platforms, demonstrating its long-standing capabilities in the sector.

He also highlighted GRSE’s construction of cargo ships for a German company as an example of India’s growing ability to “Make in India, Make for the World.”

Singh also expressed confidence that YIL’s new facilities would further strengthen India’s defence manufacturing capabilities.

West Bengal Government Promises Support

West Bengal Chief Minister Suvendu Adhikari assured GRSE of all possible cooperation from the state government.

He emphasised the importance of strengthening industrial development in Bengal and expressed confidence that the state would play an important role in India’s journey towards becoming a developed nation by 2047.

Major Projects at a Glance

OrganisationProjectInvestment
GRSERaichak Shipbuilding HubOver ₹2,500 crore
GRSEShalimar Timber Pond rejuvenationNearly ₹100 crore
GRSEKidderpore Damodar facilityAround ₹70 crore
YIL3,000-ton Heavy Duty Hydraulic Open Die Forging Press₹277.59 crore
YILRadial Forging Plant₹473.84 crore

The combined expansion is expected to strengthen West Bengal’s industrial ecosystem, enhance India’s warship and defence manufacturing capabilities, create employment and provide additional business opportunities for MSMEs and ancillary industries.

The projects represent another major step towards building a stronger domestic defence-industrial base and advancing India’s vision of Aatmanirbhar Bharat.

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