MUMBAI : India’s two largest private sector shipbuilders–Larsen & Toubro Ltd and Pipavav Defence and Offshore Engineering Co Ltd–intend to contest GAIL (India) Ltd if the shipbuilders are kept out of the race to bid for its multi-billion dollar deal to build-and-hire nine liquefied natural gas carriers.
“We want to emphatically state that this is an once-in-a-lifetime opportunity where India’s strategic needs in terms of LNG transportation can be met through at least partial involvement of the otherwise grossly underutilised capacity in the Indian shipbuilding industry,” M.V. Kotwal,
whole-time director and president-heavy engineering of L&T told Cogencis. Shipyards are livid that the tender could exclude Indian companies even at the start of the process citing technological challenges without even giving them an opportunity to present their case.
Countries like China require LNG ships transporting gas to the country to be built domestically. -Cogencis