On Friday, Mazagon Dock signed a memorandum of understanding with National Shipbuilding and Heavy Industries Park‑AP to develop a greenfield shipyard at Dugarajapatnam, slated at ₹15,000 crore over five to seven years—an investment that dwarfs the company’s current order book, which sits under ₹18,000 crore. The MoU also earmarks a design capacity of 1.2 million gross tonnes per annum, with a target of 45,000 direct and indirect jobs, positioning the yard to handle tankers, bulk carriers, LNG carriers and specialised vessels.
Capt. Jagmohan, MDL’s Chairman‑MD, said the site’s scale and maritime potential will enable a globally competitive shipyard. Andhra Pradesh’s Chief Minister N. Chandrababu Naidu highlighted the state’s ambition to become one of India’s top five shipbuilders by 2047, with the broader Shipbuilding‑cum‑Port Cluster at Dugarajapatnam estimated at ₹29,254 crore for the yard and ₹9,513 crore for the proposed port.
Ruchir Agrawal, MDL’s Director‑Finance, told CNBC‑TV18 that the company’s order book could cross ₹1 lakh crore in FY27 if the anticipated submarine and naval vessel orders materialise. He added that the P‑75I submarine programme, in partnership with Germany’s ThyssenKrupp Marine Systems, remains a key potential order, with a projected award during the current fiscal year.
Shares closed 2% higher at ₹2,252, a modest lift after a 9% YTD decline. Analysts note the MoU could lift long‑term revenue and support the forecasted 15‑17% growth, but the 12‑month decline reflects broader market sentiment and the high valuation of the sector.