Defence ministry signs Rs19k-cr contract with HSL
image for illustrative purpose
Visakhapatnam: Bright days seem to be ahead for Visakhapatnam-headquartered Hindustan Shipyard Limited with the Ministry of Defence on Friday signing a contract for construction of five Fleet Support Ships (FSS) at a cost of Rs 19,000 crore.
The MoD signed the contract in New Delhi on Friday for acquisition of five FSS. The project will be a major boost towards self-reliance in defence manufacturing. The ships will be built indigenously at HSL, according to an official release.
Sources told Bizz Buzz that the first ship is expected to be delivered in four years which will be followed by one vessel a year till the completion of the contract by 2031-32. The contract on which HSL had pinned high hopes for revival of its fortunes to improve cash flow has finally materialised.
The Cabinet Committee on Security had cleared the proposal for acquisition of the ships at its meeting on August 16. The FSS will be employed for replenishing ships at sea with fuel, water, ammunition and stores, enabling the Indian Naval Fleet to operate for prolonged periods without returning to harbour. These ships will enhance the strategic reach and mobility of the fleet. The induction of these ships will significantly enhance the blue water capability of the Indian Navy.
