India’s state-owned shipping company SCI has recently launched a global shipbuilding tender for up to six 8,000 TEU LNG dual-fuel container ships, with a total investment of USD 720 million. The tender is a key part of India’s national shipping capacity expansion plan, aimed at addressing the shortage of domestic container shipping capacity, advancing the BCSL fleet plan, and reducing the country’s reliance on foreign carriers for its overseas trade.

Key Highlights、

• Major tender: SCI has launched a USD 720 million tender for up to six LNG dual-fuel container ships.

• Support for domestic shipyards: Indian shipyards are encouraged to participate, with technical cooperation permitted but full outsourcing of construction prohibited.

• Closing the capacity gap: India remains highly dependent on foreign carriers for container shipping, while domestic deep-sea container capacity remains limited.

• Long-term fleet plan: BCSL is accelerating fleet development, targeting 51 vessels within five years and more than 100 vessels over the medium to long term.

USD 720 Million Shipbuilding Tender Launched, with New Vessels to Join BCSL Fleet

The tender covers two firm vessels and four optional vessels. Bids will close on August 31, with bid opening scheduled for September 1. Contracts may be signed by SCI or through its joint ventures or special-purpose project companies.

All of the new vessels will be incorporated into the BCSL fleet, strengthening India’s deep-sea container shipping capacity and improving the structure of its cross-border shipping capacity.

Tender Terms Favor Domestic Shipyards

The tender includes specific provisions to support India’s domestic shipbuilding industry. Indian shipyards without extensive experience in building large vessels may bid in cooperation with qualified overseas companies. The overseas partner must have delivered at least two container ships of 5,000 TEU or above within the past ten years and have experience in building LNG dual-fuel vessels.

The tender also requires successful bidders to construct the vessels at their own shipyards and prohibits full outsourcing of the construction work. The requirement is intended to help Indian shipyards gain experience in building higher-end vessels and strengthen the country’s shipbuilding capabilities.

SCI Controls Significant Tonnage but Has Limited Container Shipping Capacity

SCI is one of India’s leading state-owned shipping companies. The Indian government holds a 63.75% stake in the company, which has “Navratna” status and controls nearly one-third of the country’s shipping tonnage. SCI operates a diversified fleet and also undertakes a number of national maritime and strategic transportation responsibilities.

However, its container shipping capacity remains limited. In the second quarter of 2025, SCI’s profit after tax fell 39.4% year on year, reflecting considerable earnings volatility. Foreign carriers including Maersk and MSC currently account for 84% of container shipping capacity on major India–Europe routes, while SCI operates only two company-owned container ships. India therefore continues to have limited domestic capacity in deep-sea container shipping.

BCSL Fleet Expansion Aims to Reduce Reliance on Foreign Carriers

The shipbuilding tender is a key part of India’s efforts to expand domestic shipping capacity. In October 2025, India announced the establishment of BCSL as a national container shipping company. In February 2026, six organizations, including SCI, CONCOR, and port authorities, jointly established the platform and formally began developing the domestic fleet.

Under the plan, BCSL is expected to place orders for 15 domestically built vessels by fiscal year 2027, build a fleet of 51 vessels within five years, and expand to more than 100 vessels over the medium to long term. The fleet will focus on major routes serving Asia, West Asia, and the Red Sea to support India’s foreign trade transportation needs.

As the world’s fourth-largest economy, India relies on foreign shipping companies to carry 99% of its exports and has long faced supply-chain risks caused by freight-rate volatility and unstable shipping capacity. As the BCSL fleet expands, it is expected to reduce this dependence and improve the stability of India’s foreign trade logistics supply chain.

Industry Impact and Market Outlook

The LNG dual-fuel vessel tender is also part of SCI’s efforts to upgrade its fleet with lower-carbon vessels. The company has previously added methanol-ready vessels, product tankers, gas carriers, and other vessel types as it continues to diversify and modernize its fleet.

The expansion of India’s domestic shipping capacity could gradually reshape the South Asian shipping market and reduce the current dominance of foreign carriers.

Operational Reference for Trading Companies and Freight Forwarders

In the short term, South Asian routes will remain heavily dependent on major foreign carriers, and freight-rate and schedule volatility will continue to pose risks. Over the medium to long term, as BCSL vessels are gradually delivered, regional capacity, space availability, and freight-rate stability are expected to improve.

Trading companies and logistics companies active on India-related routes are advised to continue monitoring the tender process and fleet development and to adjust booking and supply-chain planning accordingly.

Sources

Directorate General of Shipping, India; SCI official tender announcement; and publicly available industry information

Timeliness Note

As of August 6, 2026, the global tender remains in progress, with bid opening scheduled for September 1.

Disclaimer

The information in this article is sourced from publicly available channels and is provided solely for industry reference. It does not constitute commercial advice, booking guidance, or logistics operating guidance.