SHIPPING CORP OF INDIA LT

Shipping Corporation of India Limited was initially incorporated on March 24, 1950 as 'Eastern Shipping Corporation Limited'. Western Shipping Corporation Limited was amalgamated with the Company with effect from October 2, 1961 and the name of the Company was changed from Eastern Shipping Corporation Limited to The Shipping Corporation of India Limited on October 21, 1961. The Company is one of India's largest shipping in terms of Indian flagged tonnage. The company is involved in the business of transporting goods. SCI's owned fleet includes Bulk Carriers, Crude Oil Tankers, Product Tankers, Container Vessels, Passenger-cum-Cargo Vessels, LPG Carrier and Offshore Supply Vessels. In addition, SCI manages a large number of vessels on behalf of various government departments and other organizations. The company operates in three segments: liner and passenger services, bulk carriers and tankers and technical and offshore services. Liner segment includes break bulk and container transport. Bulk segment includes tankers (both crude and product), dry bulk carriers, gas carriers and phosphoric acid carriers. Others include offshore vessels, passenger vessels and services and ships managed on behalf of other organizations. The company's owned fleet includes Bulk carriers, Crude oil tankers, Product tankers, Container vessels, Passenger-cum-Cargo vessels, Phosphoric Acid /Chemical carriers, LPG / Ammonia carriers and Offshore Supply Vessels. In addition, the company manages a large number of vessels on behalf of various government departments and organizations. SCI's worldwide operations are supported by offices in the four metros of India, namely Mumbai, Delhi, Chennai and Kolkata and they also have an office in London. In the year 1964, the company diversified their business into crude oil transportation. In the year 1973, Jayanti Shipping Company Ltd was amalgamated with the company. In the year 1975, the company acquired first Indian VLCC. Also, they set up a joint venture company namely IranoHind Shipping Company in Iran. In the year 1984, the company diversified into offshore supply vessels through acquisition of 10 offshore supply vessels. In the year 1986, Mogul Line Ltd was amalgamated with the company. In the year 1987, the company established Maritime Training Institute in Mumbai. During the year 1990-91, the company executed the first memorandum of understanding with the Government of India specifying performance and operational targets. In the year 1991, the company diversified into chemical tankers and cryogenic operations. In the year 1992, they divested 18.51% equity shares in favour of financial institutions, mutual funds, banks and FIIs. Subsequently, the company was changed from a private company to a public company and received a fresh certificate of incorporation on February 18, 1993. Also, the shares were listed on the BSE, the NSE, the CSE, the DSE and the MSE. In the year 1993, the company acquired 3 cellular vessels namely Lal Bahadur Shastri, Indira Gandhi and Rajiv Gandhi. In the year 1994, the company made their second disinvestment of 3,864,600 equity shares constituting 1.37% of the paid up capital by the President of India in favour of FIIs, Mutual Funds and banks. In the year 2000, the company was conferred the status of 'Mini Ratna' by the Government of India, enhancing powers for capital investment to the Board. In the year 2004, the company diversified into LNG transportation through joint venture with Mitsui OSK Lines Ltd, Nippon Yusen Kabushiki Kaisha, Qatar Shipping Company QSC and Kawasaki Kisen Kaisha Ltd. In the year 2005, the company acquired the VLCC of 316,000 DWT, largest ship in India's registry. In the year 2006, the company entered into a joint venture arrangement with Forbes and Sterling Investments for operations in the chemical tanker. In the year 2008, the company conferred the status of 'Navratna' by the Government of India. They commenced their transformation through information technology project for better information management. In the year 2009, the company acquired VLCC of 321,000 DWT, largest ship in the Indian Registry. They took over the management of two LNG carriers. In the year 2010, the company entered into joint venture arrangement with SAIL to provide shipping related services to SAIL for importing coking coal. In September 2010, the company signed the shipbuilding contract with Jiangsu Eastern Heavy Industries Co Ltd for acquisition of four Kamsarmax Bulk Carriers of about 80,000 DWT each. As of September 30, 2010, the company had ordered the construction of 29 vessels, which they expect to be delivered between the year ended 2010 and 2013, and they have, plans to order an additional 20 vessels in fiscal year 2011. In addition, as of September 30, 2010, they managed 64 vessels of 0.2 million DWT on behalf of Government agencies, public sector undertakings, and their joint ventures. The company intends to expand and develop their container services. As part of their service routes, they plan to extend their reach into Southeast Asia, Southern Africa and North America. They are also reviewing ways in which they can connect their services to ports in East Africa, as they believe that India is emerging as the biggest exporter of goods and project cargo to this region. They also intend to recommence their India-U.S. containership service in the future. The company intends to expand and develop their break-bulk business by entering into new joint service agreements with vessel owners to operate in trade lanes that they believe present areas for diversification and growth such as Europe to the Middle East, the East Coast of the US to Europe and Southeast to Far East Asia. They intend to enter into joint ventures with reputable logistics providers for end-to-end logistical operations for projects in the area of power, oil and gas and infrastructure. The company continues to explore possibilities of setting up joint venture companies and forging strategic alliances in their existing lines of business, which will further consolidate their leading position in the maritime world. The company also continues to explore possible areas for diversification into shipping-related activities. Some of the areas identified for expansion/ diversification include, Coastal and Feeder Services, Total Logistics, Container Freight Stations (CFSs), Terminal Development/ Management, Shipbuilding, Dredging, etc. Shipping Corporation of India (SCI) launched IMS service (India-Myanmar Service) in October 2014 in chartering m.v. (Motor vessel) SCI Kamal, a 1200 TEU capacity vessel, which linked the East Coast and West Coast of India to Myanmar. In FY2015, the SCI team successfully completed berthing and un-berthing operations of 25 LNG tankers and one SPM (single point mooring) operation at RGPPL (Ratnagiri Gas and Power Private Ltd) Dabhol under the Port and Marine Services Contract. Thus under this contract a total of about 3.22 million metric tons of LNG was imported at the Dabhol LNG receiving terminal. The process for further renewal of contract is underway with RGPPL. At the end of the year 2016-17, the company had no new vessels on order. However, it had signed MOAs (Memorandum of Agreements) for acquisition of a secondhand Suezmax tanker and a resale MPSV. These vessels were delivered on 26 April.2017 and 7 July 2017 respectively. Two vessels viz; MV Indira Gandhi and MV Rajiv Gandhi were sold on 22 May 2017 and 7 July 2017 respectively. During FY17, the Shipping Corporation of India and GAIL (India) Ltd signed the Memorandum of Understanding to cooperate for transportation of 5.8 million tones per annum of LNG (Liquified Natural Gas) sourced by GAIL from Sabine Pass and Cove Point terminals in the U.S. The co-operation would include SCI assisting GAIL in the charter hiring of LNG ships and post fixture management services to GAIL for their in-chartered vessels, which will be carrying LNG from USA to India. This collaboration between GAIL and SCI aims to augment the natural gas supply through LNG imports. SCI acquired one secondhand Multi Purpose Support Vessel (MPSV) named 'SCI Sabarmati' on 18 November 2016 of 3,306 GT (gross tonnage) and 3,352.31 DWT. With this strategic acquisition, the company's offshore fleet has increased to 10 vessels. This vessel was successfully deployed on a distinguished charter for a period of 4 years. It also signed an MOA for purchase of one more secondhand MPSV, which will be delivered in early 2017-18, and will also be deployed on long-term charter. During FY17, SCI entered into three JVCs with three Japanese Companies viz. Mitsui O.S.K.Lines (MOL), Nippon Yusen Kabushiki Kaisha (NYK) and Kawasaki Kisen Kaisha Ltd. (K Line) along with Qatar Shipping Company (Q Ship) in case of ILT No. 1 and 2 and Qatar Gas Transport Company (QGTC) in case of ILT No. 3, each owning and operating an LNG tanker deployed in the import of a total of 7.5 million metric ton per annum of LNG for the Dahej Terminal of M/s Petronet LNG Ltd (PLL). SCI is the first and only Indian company to enter into the high-technology oriented and sunrise sector of LNG. In FY17, SCI entered into 4th JV formed in Singapore, with the same three Japanese companies viz. Mitsui O.S.K.Lines (MOL), Nippon Yusen Kabushiki Kaisha (NYK) and Kawasaki Kisen Kaisha Ltd. (K Line) along with Petronet LNG Limited (PLL), to own and operate one 173,000 CBM LNG Tanker for transporting 1.44 million metric tons of LNG from Gorgon, Australia to Kochi, India for charterers Petronet LNG Limited. India has a long coastline admeasuring 7500 km. and a large network of river systems. Despite this, very little attempt has been made to interlink these natural assets for a seamless, environment friendly transport system. In a bid to remedy this lacuna, during the Maritime India Summit 2016, the Inland Waterways Authority of India (IWAI) entered into a Memorandum of Understanding with The Shipping Corporation of India (SCI) on 15April 2016 to develop this field of domestic transport. Both parties agreed to work towards tapping the synergies of high sea shipping, coastal shipping and inland waterways to establish an integrated system of water transportation across the hinterland, the coasts and the high seas. For this purpose, the SCI Board approved the formation of a dedicated subsidiary company of SCI, based in Kolkata. The Company has been named as 'INLAND and COASTAL SHIPPING LIMITED' (ICSL). The subsidiary company is working on development of a viable business plan on this segment. During FY18, SCI added three vessels viz. Desh Abhimaan, SCI Saraswati and Nanda Devi. During the year, there was deletion of six vessels viz. Indira Gandhi, Rajiv Gandhi, SCI Ratna, B.C. Chatterjee, A.K. Azad and Harshavardhana from SCI's fleet. Thus the overall fleet of SCI stood at 66 vessels of 5.86 million DWT at the end of the year. The company successfully performed the Port and Marine Services Contract at the RGPPL (Ratnagiri Gas and Power Private Ltd.) Dabhol Terminal for further 3 years i.e. 2015 to 2018. The SCI team successfully handled 53 LNG tanker calls at the Dabhol LNG receiving terminal and the total imported LNG under the contract stands at 7.36 million cbm (cubic meter). Given the continued demand for LPG, the company acquired second hand VLGC (Very Large Gas Carrier) named Nandadevi in September 2017 to ensure SCI's continued presence in the LPG segment. The company acquired one resale Multi Purpose Support Vessel (MPSV), SCI Saraswati, on 7 July 2017 of 3,616GT (gross tonnage) and 3,719 DWT. This vessel is successfully deployed on a distinguished long-term charter with Defence Research & Development Organization (DRDO). During the year, one 120 T BP AHTSV viz. SCI Kundan continued to remain on long term charter with ONGC, while 3 nos. 120 T BP AHTSVs (Viz. SCI Pawan, SCI Ahimsa and SCI Urja) completed their contract during first half of the financial year. After completion of long-term charter, these 3 nos. 120 T AHTSVs were operating in spot market /short-term charter. 2 nos. MPSVs (viz. SCI Sabarmati and SCI Saraswati) are on long-term contract with DRDO. One 80 T AHTSV (SCI Ratna) of the company capsized on 21 November 2017, due to ingress of water in the engine room. The incident took place 96 nautical miles off the coast of Mumbai and there was neither loss of life nor any oil spill in the vicinity. Further the company has already received the Insurance amount due in the matter. Remaining 2 nos. PSVs and 2 nos. 80T AHTSVs were predominantly operating in spot charter. During the year 2019, while there has been no addition of vessels, five vessels (M.T.G.G. Singh, LPG Nangaparbat, LPG Annapurna, M. V. Tamilnadu, M. V. Lal Bahadur Shastri) have been decommissioned from SCI's fleet. Thus the overall fleet of SCI stood at 61 vessels of 5.606 million DWT at the end of the year. During FY 2019, SCI and GAIL had signed a Memorandum of Understanding for cooperation in transportation of 5.8 MMTPA LNG sourced by GAIL from U.S. terminals. As on 31 March 2019, about 4 in-chartered container vessels having total net tonnage of 64978 MT were operated by the Company. In addition to the above owned and in-chartered vessel, the Company also has cargo loading rights on 19 vessels of its partners in various consortia arrangements that the Company has with leading shipping lines, such as Mediterranean Shipping Company (MSC), Shreyas Shipping etc. The Company started a new Portblair Service in December 2018 with 2 in-chartered vessels connecting Kolkata - Chennai - Port Blair route providing connectivity for cargoes from West and East coast of India to Port Blair. It also started ECX service in March 2019 with 1 in-chartered vessel for providing connectivity for WC / ECI cargoes on Tuticorin / Kattupalli / Krishnapatnam/ Haldia route. During the year 2019, one 120 T BP AHTSV viz. SCI Kundan continued to remain on long term charter with ONGC and 2 Multi-Purpose Support Vessel (MPSVs) continued their charter with DRDO. The remaining 2 nos. 80T Anchor Handling, Towing & Supply Vessels (AHTSVs), 3 nos. 120T AHTSVs and 2 nos. Platform Supply Vessels (PSVs) were predominantly operating in the spot market/short term charter. With continued efforts, the company has been able to successfully obtain business from various reputed national/international/private clients. During the year 2018-19, the Company continued the Operation & Maintenance management (O&M) of ONGC' s 2 Multi Support Vessels (MSVs) (Samudra Sevak & Samudra Prabha) and one Geotechnical Vessel (GTV) (Samudra Sarvekshak) on nomination basis under Cost plus' arrangement. The existing contract for GTV is valid upto 31 March 2021. Accordingly, the company handed over Samudra Sevak on 16 March 2019. The Company had entered into a Crew Management Agreement with Regas Ventures India One Pvt. Ltd. during 2019 for providing manning services for their highly specialized Floating Storage and Re-gasification Unit (FSRU) viz. Vasant 1. On 29th Sept 2020, SCI's floating staff took the delivery of this newly built FSRU from Hyundai Heavy Industries Co. Ltd, Ulsan South Korea. During the prestigious Maritime India Summit held between 2nd and 4th March 2021, it executed 11 MOUs in various areas totaling to Rs. 7307.60 crores. In FY 2019-20, SCI commenced with a fleet strength of 61 vessels and disposed off two tankers, m.t. Ankleshwar and m.t. Maharaja Agrasen. It acquired two secondhand/resale MPSVs, SCI Sabarmati and SCI Saraswati, customized to suit requirements of Defence Research & Development Organization (DRDO). It provided technical consultancy services to A&N Administration, Union Territory of Lakshadweep Administration, Geological Survey of India, Union Territory of Daman and Diu Administration (UTDD) and other Government Departments for their various ship acquisition projects. During the year 2019-20, it also provided consultancy service to another Government organization namely M/s. Sardar Sarovar Narmada Nigam Limited (SSNNL) for selection of integrated operator for running passenger ferry vessels at Statue of Unity site, Kevadia, Gujarat. In FY 2021, direct cargo ferry services between India and Maldives was commenced towards end of September connecting Indian ports of Tuticorin & Cochin with Kulhudhuffushi and Male Ports in Maldives. The Company through its wholly owned subsidiary, Inland & Coastal Shipping Ltd. (ICSL) forayed into the inland waterways and a Memorandum of Understanding (MOU) was signed between ICSL and Inland Waterways Authority of India (IWAI) on 22nd January 2021 for operations and management of 3 of its cargo vessels on bareboat charter basis. MV Sindhu's, 500 Pax and 150 MT cargo vessels under construction at Cochin Shipyard was delivered to A&N Administration and the vessel was inducted into service during June 2021. SCI, as a technical consultant, had been involved in the project and oversaw the technical specifications, construction supervision till delivery. It had five VLCCs, which were operational during the year 2020-21. Most of SCI's LR-I tankers were employed on Indian Coast on a mix of COAs, Spot voyages and time charters, catering to Indian Coastal Crude Movement of the Indian oil industry. In addition, the LR 1's were employed on assignments such as lighterage operations, FPSO loadings and floating storage duties etc. One LR-I tanker was used as a CPP tanker for hauling Clean Petroleum Product cargoes worldwide. During FY 2021-22, it floated tenders for acquisition of 2 nos. of Very Large Gas Carriers (VLGC) and acquisition of resale/second-hand OSV. The Company had entered into 4th JV formed in Singapore, with the same three Japanese companies viz. Mitsui O.S.K.Lines (MOL), Nippon Yusen Kabushiki Kaisha (NYK) and Kawasaki Kisen Kaisha Ltd (K Line) and Petronet LNG to own and operate one 173,000 CBMLNG Tanker for transporting 1.44 million metric tons of LNG from Gorgon, Australia to India for charterers Petronet LNG Limited with a focus on India and Far East region. MT Swarna Mala was deployed on Spot Voyages with foreign charterers for short periods during financial year 2022. MT Swarna Kalash and MT Swarna Pushp, which were deployed along the Indian Coast, were employed in a profitable mix of time and voyage charters supporting coastal product movements. Apart from these, two LR-II tankers MT Swarna Jayanti and MT Swarna Kamal were employed with foreign charterers in a mix of pools & voyage charters. The overall fleet position of SCI stood at 59 vessels of 5.311 million DWT at on 31st March 2022. In 2023, the Scheme of Arrangement for Demerger between the Company and Shipping Corporation of India Land and Assets Limited (SCILAL) was made effective from March 14, 2023 for hiving off the Non-Core Assets of the Company as a part of the Demerger under SCI's strategic Disinvestment process and SCILAL ceased to be a subsidiary of the Company effective from 01 April, 2021. SCI executed a Memorandum of Agreement (MOA) on 04 July 2025 with M/s Milaha VLGC Ltd. for acquisition of two secondhand Very Large Gas Carriers (VLGC). The Company has taken physical delivery of a VLGC - 'SAHYADRI' with cargo carrying capacity of 82,000 CBM.