Business Standard reported that Japan has signed a MoU for INR 100 crore to upgrade the ship breaking yards at Alang to international requirements by way of technology transfer and financial assistance under a private public partnership. The modernized Alang yard will be ready by 2012 to 2013.

An official of Gujarat Maritime Board said that Japan and the Gujarat Maritime Board have signed an MoU to upgrade the recycling yards, construct and operate a common hazardous waste removal pre treatment facility, develop ways to add value to steel products with electric furnace and cultivate human resource capacity.

A consortium of the Japan government, the Japan External Trade Organization and the Japan Development Institute will do a feasibility study of the existing set up and suggest up gradations.

Mr Atul Sharma technical environment engineer at GMB said that “According to Japanese representatives, the working conditions at Alang are very good. They will suggest enhancements of the procedures at the yard, as well intensify eco friendly conditions in line with the IMO convention. Japan aims to divert most of its vessels to Alang, as it is facing problems of dismantling them back home.”

Sources said that if all goes well, Japan will send most of its ships at the Indian yard for dismantling. Japan owns 15% to 20% of the ships in the world.

Alang dismantles about 250 ships every year and after upgradation this will go up to 350. Currently, the yard produces 3.5 million tonnes to 4 million tonnes of iron annually from ship dismantling activities. Its turnover is an estimated INR 5,000 crore.

(Sourced from www.business-standard.com)