Khulna Shipyard Limited (KSY) is currently implementing 20 shipbuilding projects. Photo: BSS

By S M Zahid Hossain

KHULNA, Dec 19, 2025 (BSS) - Khulna Shipyard Limited (KSY), operated under the guidance of the Bangladesh Navy, is currently implementing 20 shipbuilding projects simultaneously, including the construction of Landing Craft Tanks (LCTs) and various other vessels for different government organisations.

Once considered a loss-making entity, Khulna Shipyard has been transformed into a profitable and internationally recognised shipbuilding facility since it was handed over to the Bangladesh Navy in 1999. According to shipyard officials, KSY has constructed more than 800 ships, vessels, tankers, dredgers and warships over the past decades.

Officials said manufacturing works of all 20 ongoing projects are progressing at full pace. Among them, three LCTs are under construction, each measuring 74.5 metres in length, 13 metres in width and weighing 1,505 tonnes. These LCTs are scheduled to be handed over to the Bangladesh Navy on March 30, April 30 and May 30 in 2026 respectively.

In addition, one search and rescue vessel will be delivered to the Mongla Port Authority on March 31, 2026. Two bollard pull tugboats are being built for the Payra Port Authority, which will be handed over in June and December of 2026 respectively. One survey vessel and one pilot vessel are also scheduled for delivery to the Payra Port Authority by February next year.

For the Bangladesh Inland Water Transport Authority, four 24-inch cutter suction dredgers and four crane boats are expected to be handed over by June 30, while four glass reinforced plastic (GRP) catamaran boats will be delivered to the Bangladesh Water Development Board by June 30, 2026.

Talking to BSS, Captain A F M Enamul Hasan, General Manager (Design and Production) of KSY, said Bangladesh is now capable of constructing international-quality, cost-effective medium warships domestically. Alongside warships, vessels of various sizes and categories are also being manufactured locally, he added.

He said several large ships built to international standards have already been completed at the shipyard, significantly reducing dependence on imports. Terming shipbuilding a major source of foreign currency earnings, Hasan said KSY earned around Tk 800 crore during the 2024-25 fiscal year.

Recently, Khulna Shipyard completed the construction of four warships under the guidance of the Bangladesh Navy, named Shaheed Daulat, Shaheed Farid, Shaheed Mohibullah and Shaheed Akhtar Uddin. 

Equipped with essential war equipment, including boat guns, large depth chargers, rocket depth chargers, solar panels and other advanced systems, the vessels are primarily designed for transporting war materials.

A senior Navy official said such vessels were previously imported at high costs, but they are now being built locally at significantly lower expenses. 

He noted that around 30 years ago a warship of similar category cost approximately Tk 34 crore to import, whereas it can now be constructed domestically for about Tk 17 crore, marking a substantial reduction in expenditure.

Contacted, Commodore Md Shahidulla Al Faruk, Managing Director of Khulna Shipyard Limited, said the shipyard had earlier built four warships during 2012-2013 and is now capable of meeting both domestic and potential foreign demand for medium-category warships.

He said KSY can currently build a wide range of vessels including ships, LCTs, patrol craft, dredgers and other specialised vessels, making imports largely unnecessary. With the support of recently formulated government policies, the shipyard is also planning to build more sophisticated warships with assistance from classified societies.

The managing director said more than 1,200 skilled workers are employed at the shipyard, whose experience, discipline and planned work culture have contributed significantly to its success. 

He added that KSY is also manufacturing international-standard rubber equipment with advanced designs in collaboration with foreign experts, which will help save government expenditure in the long run.

Khulna Shipyard Limited, one of the country's leading state-owned shipbuilding and ship repair enterprises, is located on 69 acres of land along the Rupsha River adjacent to Khulna city.

 Established in 1957 with technical assistance from West Germany, the shipyard has undergone several administrative transitions before being handed over to the Bangladesh Navy in October 1999 along with liabilities of Tk 9.3 billion.

Since then, the shipyard has emerged from a critical state to become the country's largest internationally standard shipbuilding facility and the only state-owned shipyard capable of constructing warships. It is currently the highest taxpayer in the southern region, with an annual turnover of around Tk 7 billion.

The shipyard employs about 1,200 skilled personnel and is equipped with a 700-tonne capacity slipway and rail tracks that allow the construction of eight to sixteen vessels simultaneously. It also has the capacity to carry out approximately 3,000 tonnes of steelwork annually.

KSY's scope of work includes the construction of warships, modern tugboats, pilot vessels, survey vessels, dredgers, oil tankers and container vessels for both government and private organisations. 

Its major clients include the Bangladesh Navy, Army, Coast Guard, Border Guard Bangladesh, BIWTA, BIWTC, Fire Service and Civil Defence, Payra, Chattogram and Mongla port authorities, Bangladesh Water Development Board and several other organisations.

The shipyard also houses the country's only international-standard, class-certified rubber factory, equipped with 14 laboratory testing facilities. The factory produces various rubber components such as ship runner parts, tank track pads, jetty fenders and other specialised items, contributing significantly to foreign currency savings.

To ensure workers' welfare, the shipyard operates a medical centre providing free treatment, a subsidised canteen and a modern gymnasium.

Officials said Khulna Shipyard Limited has now emerged as a trusted brand in Bangladesh's industrial sector and stands as a model state-owned enterprise in shipbuilding and manufacturing.