India to Build Crude Oil Tankers Domestically

SEATTLE (Oil Monster): The Indian government unveiled plans to build crude oil tankers domestically. The INR 85,000 crore project aims to build as many as 112 crude oil tankers under the Make in India initiative. The plan is part of the government’s broader efforts to reduce the country’s dependence on foreign-owned vessels to transport crude oil into the country.

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Nearly 85% of the nation's crude oil demands are met by imports. However, ships owned by foreigners transport almost 95% of the crude oil. The majority of the tankers in the small fleet operated by the state-owned Shipping Corporation of India (SCI) and a few private operators are outdated. By the end of this decade, the nation's refining capacity is expected to increase from 250 million tonnes to 450 million tonnes.

The administration intends to order the construction of ten tankers domestically as a first step. The government wants 69% of the nation's crude oil fleet to be owned and constructed in India by 2047.

Together, China, South Korea, and Japan control nearly all of the world's shipbuilding market, accounting for more than 90% of all commercial ship deliveries.