Garden Reach Shipbuilders & Engineers (GRSE) has approved a capital budgetary outlay of ₹2,896 crore for the construction of a new greenfield shipyard at Raichak in West Bengal, marking a major step in the company’s plans to expand its shipbuilding infrastructure.
The approval was granted during GRSE’s 423rd Board meeting held on September 21, 2026. According to the company’s regulatory disclosure, the new facility will enhance GRSE’s shipbuilding capacity in both the naval and commercial segments.
The Raichak project is part of a wider capacity expansion programme being undertaken by the state-owned shipbuilder. In August, GRSE outlined plans involving new facilities at Raichak, Shalimar and Kidderpore in West Bengal to strengthen its manufacturing and vessel-support infrastructure.
The proposed Raichak shipyard is expected to provide additional capacity for future shipbuilding requirements as India continues to expand its domestic maritime manufacturing base. Earlier plans associated with the facility indicated that the infrastructure could support construction of warships of up to 200 metres and commercial vessels of up to 60,000 deadweight tonnes.
GRSE’s expansion comes amid growing demand for indigenous naval platforms and commercial vessels. The company is one of India’s major public-sector shipbuilders and has built a range of warships and specialised vessels for the Indian Navy and other maritime requirements.
The broader infrastructure programme also includes the rejuvenation of GRSE’s Timber Pond facility at Shalimar, Howrah, with an investment of around ₹100 crore. The facility is intended to support shipbuilding, repairs and related construction activities. Another investment of around ₹70 crore has been planned at the Damodar facility in Kidderpore for vessel repair and the construction of electric ferries and other small craft.
The Raichak investment is therefore positioned as a significant component of GRSE’s longer-term capacity expansion strategy. The new shipyard is expected to strengthen the company’s ability to undertake larger and more diverse naval and commercial shipbuilding projects while supporting the development of India’s domestic maritime manufacturing ecosystem.