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2022 September 20   14:47

Fishery Shipowners Association estimates demand for investments in ship repair facilities at RUB 20 billion

Ship repair clusters should be created in four regions within 5 years

Fishery Shipowners Association (FSA) estimates the demand for investments in ship repair facilities in four regions of Russia at RUB 20 billion, according to FSA head Aleksey Osintsev who spoke at the Ship Repair, Modernization and Components conference organized by PortNews Media Group.

In the current conditions, ship repair clusters should be created in four regions within 5 years before the first dock repair of new fishing ships begins, he emphasized. According to FSA, about RUB 20 billion is required for creation of ship repair clusters in Kamchatka, Primorye, Murmansk and Kaliningrad. Those are the projects for large businesses but the clusters will attract small companies as contractors.

As of today, the scope of domestic ship repair makes about RUB 20 billion. A considerable  share of ship repair in neighboring countries speaks about a potentially high demand for ship repair in Russia, said Aleksey Osintsev reminding that Far East fishery companies used to have their ships repaired in S. Korea and North-West ones – in Norway. However, it is impossible now amid the sanctions.

“Domestic companies are not ready to serve modern sophisticated ships which are currently being built for our fishery industry. The fleet should be upgraded since it is not economically reasonable to repair most ships due to their age and depreciation. The Merchant Shipping Code refers to them as failed structurally. By today, average age of the fleet exceeds 33 years. Expenses for maintenance of an old ship for 25 years are comparable to the cost of a newbuilding of the same type. And it’s added value will be 1.5 times higher over 25 years of operation,” stressed Aleksey Osintsev.

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