NEW DELHI: The State owned Hindustan shipyard has tied up with South Korean Hyundai Industries for strategic cooperation in the maritime sector including joint manufacture of ships for Indian and South Korea navies Mr. L V Sarat Babu, Chairman, Hindustan Ship yard said.
He said both the companies plan to build together five fleet support ships worth about Rs. ten thousand crores. He said Indian and South Korean Governments are expected to sign an agreement facilitating the tie up.
Hyundai is rated to be the best shipyard in the world and the tie up will be beneficial to both the countries, he said.
The Shipyard is also pursuing orders for construction of two cadet training ships, nine 25 T Bollard pull tugs for the Navy and eight inshore patrol vessels for the Indian Coast guard.
The shipyard achieved the highest ever turn over Rs 625 crores during the just concluded last financial year 2016-17 as against Rs 593 crores the previous year. The shipyard has improved efficiency in all parameters during the past two years.
It earned a net profit of Rs 19 crores and an operating profit of Rs fifteen crores after a gap of thirty five years. The negative networth of the company has reduced to Rs 659 crores.
The capital restructuring plan for the Shipyard is still under the consideration of the Shipping Ministry. Meanwhile the company received Rs. two hundred crores as relief after the Hudhud cyclone ravaged the company two years ago. The amount is being spent on renovating the shipyard.