The public sector Cochin Shipyard Ltd. has not received any outlay from the interim Union Budget but has been allowed to spend ₹660 crore for capital expenditure from its own funds.
The yard had been allowed to spend ₹495 crore raised from internal and extra budgetary resources (IEBR), as internal funds raised from profits, loans or equity are known, in the last fiscal.
CSL, which is on an ambitious expansion with a new drydock and an international ship repair facility, is on a strong footing with orders worth ₹7,200 crore, also counting the soon-to-be signed contract worth ₹5,300 crore for the construction of eight anti-submarine warfare corvettes for the Navy. Sources at the yard said 35 vessels were on order right now. The yard’s turnover in the last fiscal was ₹2,355 crore with a net profit of ₹397 crore.
The Cochin Port, another public entity in the region, has been allowed to use ₹46.7 crore from its internal funds.