The Shipping Corporation of India has officially executed a shipbuilding contract with Mazagon Dock Shipbuilders Ltd on March 18, 2026, marking a significant milestone in India's sustainable maritime operations. The agreement, announced through a regulatory filing under SEBI Regulation 30, represents a strategic partnership positioning both companies at the forefront of green technology adoption in the Indian shipping industry.

Contract Execution and Regulatory Compliance

The contract was formally executed on March 18, 2026, at 13:15 hours, with SCI fulfilling its disclosure obligations under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The announcement was made through official communications to both BSE Limited and National Stock Exchange of India Limited, ensuring complete regulatory transparency.

Vessel Specifications and Green Technology

The contract covers the construction of one 3000 DWT (Dead Weight Tonnage) methanol dual fuel platform supply vessel. This vessel will incorporate advanced dual fuel technology, enabling operations on both conventional marine fuel and green methanol, providing operational flexibility while significantly reducing environmental impact. The PSV will achieve a historic milestone as the first vessel in SCI's fleet planned to operate on alternate fuel green methanol.

National Green Hydrogen Mission Framework

The project is being developed as a step towards green shipping under the aegis of the National Green Hydrogen Mission (NGHM). This initiative demonstrates the government's commitment to promoting clean energy solutions across various sectors, with SCI and Mazagon Dock Shipbuilders leading the transformation in India's maritime industry. The partnership represents a collaborative effort to advance sustainable operations and establish India as a leader in green hydrogen and sustainable fuel technologies.

The official announcement was signed by Smt. Swapnita Vikas Yadav, Company Secretary and Compliance Officer of The Shipping Corporation of India Limited, ensuring proper corporate governance and regulatory compliance throughout the contract execution process.

Shipping Corporation of India has received an official order from tax authorities confirming substantial relief in its tax proceedings, with the company securing a significant reduction in the disputed tax demand.

Official Order Details

The Joint Commissioner of State Tax (Appeal-VI), Mumbai, issued an order on March 11, 2026, providing formal confirmation of the tax demand reduction. The following table outlines the key financial figures:

Tax Component Breakdown

The order specifically details the tax components involved in both the original and revised demands:

Background and Dispute Nature

The tax dispute primarily relates to a mismatch of Input Tax Credit (ITC) with GSTR-2A filings. SCI had previously filed an appeal against the order issued by the Deputy Commissioner of State Tax with the Joint Commissioner of State Tax (Appeal-IV), Mumbai, following an earlier disclosure made in August 2024.

Company's Response and Next Steps

According to the official disclosure, SCI is currently reviewing the order in detail and evaluating its next course of action. The company stated it is exploring all possible options to contest the remaining demand, including filing an appeal against the order. SCI believes there is strong merit in its case for further relief.

Financial Impact

This development represents substantial financial relief for the state-owned shipping corporation, with the tax demand reduction of over ₹100 crores significantly improving the company's potential tax liability position. The reduction from ₹160.37 crores to ₹60.07 crores marks a decrease of approximately 62.5% in the original demand, providing greater financial clarity and reducing uncertainty regarding tax-related obligations.