Indian Navy Likely To Cancel $1.1 billion Makar-Class Vessels Deal Over Delay Issues

Indian Navy is considering cancelling Rs.8000 crore (US$1.1 billion) deal with a private sector shipyard Alcock Ashdown Gujarat over 10 year delays in a contract to supply six vessels.

In 2006, Indian Navy had signed a contract with Gujarat-based Alcock Ashdown Gujarat Limited shipyard for building catamarans or survey vessels after it beat established players like L&T, ABG Shipyard and Garden Reach Shipbuilders in an open tender for the naval bid. Till now the contractor has supplied only one of the six vessels, Mail Today reported today.

"Out of the six vessels which would have been built under the Makar class, only one vessel INS Makar has been supplied and commissioned into the Navy but the other vessels have been delayed a long time," the Navy officials said.

Along with INS Makar, five more ships with names Meen, Mithun, Mesh,Mahika and Mayank were also supposed to be built but there is no indication on their scheduled timeline for induction from the vendor, the officials said.

Catamaran or survey vessels warships are planned to be used by the Navy to undertake coastal hydrographic survey, required for production of nautical charts and publications for improving navigation through waters closer to coasts.

"The ships were also to be made capable of limited coastal defence role in an emergency, limited search and rescue and limited ocean research," the officials said.