The Dredging Corporation of India (DCI) is stepping up efforts to modernise its fleet, with plans to invest around ₹3,560 crore over the next five years to acquire 11 new dredgers and strengthen its vessel maintenance network.
The state-owned dredging company is also negotiating partnerships with Hindustan Shipyard Ltd and Mazagon Dock Shipbuilders Ltd to secure dedicated dry-docking and repair capacity. The move is intended to reduce waiting periods for vessel maintenance and increase the number of days its dredgers remain operational.
₹3,560 crore fleet modernisation
DCI plans to add 11 vessels as part of a five-year fleet renewal programme. The investment is aimed at addressing the ageing profile of its existing fleet, which has an average age of more than 23 years.
An older fleet has resulted in higher maintenance requirements and operational costs. New dredgers are expected to improve reliability, capacity and fuel efficiency while supporting DCI’s growing project pipeline.
The fleet expansion comes as DCI seeks to strengthen its position in India’s dredging market and meet rising requirements from ports and maritime infrastructure projects.
Focus on faster repairs
Alongside new vessel acquisitions, DCI is exploring arrangements with public-sector shipyards for dedicated dry-docking slots. Faster access to repair facilities could help the company avoid lengthy waiting periods for maintenance.
According to reports, the proposed arrangements could reduce vessel downtime by as much as two months, potentially increasing the number of operational days across DCI’s fleet.
DCI has already taken steps in this direction through its agreement with Colombo Dockyard PLC. Under an April 2026 MoU, Colombo Dockyard became DCI’s preferred partner for dry-docking, repair and maintenance services. The partnership also covers potential shipbuilding cooperation.
Strong project pipeline
The fleet expansion is being planned against a substantial pipeline of dredging opportunities. DCI signed 22 MoUs with 16 ports and organisations in 2025, representing potential business worth about ₹17,645 crore over the following two to five years.
The agreements include dredging requirements involving major ports, while separate partnerships with Cochin Shipyard, BEML and IHC are aimed at vessel construction, repairs, fleet modernisation and localisation of equipment and spares.
Financial turnaround supports expansion
DCI’s fleet investment comes after a significant improvement in its financial performance. The company reported its highest-ever annual turnover of ₹1,214.09 crore in FY2025-26, compared with ₹1,147.97 crore in the previous year.
It also returned to profitability, recording a profit after tax of ₹4.75 crore against a reported loss of ₹27.46 crore in FY2024-25. Operating profit rose substantially, with EBITDA reaching about ₹253.46 crore.
Building capacity for India’s dredging needs
DCI’s fleet renewal is expected to play an important role as Indian ports expand capacity and deepen channels to accommodate larger vessels. Increasing the availability of modern dredgers, while ensuring quicker access to repair and dry-docking facilities, could help the company improve asset utilisation and project execution.
The combination of new vessel acquisition, strategic repair partnerships and a larger project pipeline signals a broader effort by DCI to build a more modern and commercially competitive dredging operation.