The Government has introduced a series of policy reforms aimed at reducing India’s reliance on foreign shipping while strengthening the country’s indigenous fleet to support economic and energy security, the Parliament was informed.
Responding to a question in the Rajya Sabha, Ports, Shipping and Waterways Minister Sarbananda Sonowal said a significant share of India’s trade currently depends on foreign shipping, prompting the Centre to roll out measures designed to modernise the maritime framework and encourage Indian ship ownership.
A key step in this direction is the enactment of the Merchant Shipping Act, 2025, which seeks to modernise the legal architecture governing the sector, improve ease of doing business and promote Indian flagging of ships.
The minister informed that Indian-flagged vessels are being supported through the Right of First Refusal (RoFR), simplified ship registration processes and other regulatory reforms intended to enhance competitiveness.
Read also : 50 Sagarmala projects under implementation with ₹3,581 crore investment: Govt
To address financing constraints, shipping vessels of more than a certain size have been classified as infrastructure assets, enabling easier access to funding, the minister said.
According to the minister, the government has also launched initiatives such as the Shipbuilding Financial Assistance Scheme, Ship Breaking Credit Note, Shipbuilding Development Scheme and the Maritime Development Fund to meet the long-term financing needs of the shipbuilding sector.
Alongside fleet expansion, the Centre is strengthening maritime safety and awareness, particularly at critical chokepoints.
The measures include round-the-clock monitoring through the Mercantile Marine Domain Awareness Centre (MMDAC), real-time incident tracking and close coordination with the Indian Navy and other agencies.
Further, periodic maritime security advisories are issued to Indian-flagged vessels, prescribing risk-mitigation measures and compliance with Standard Operating Procedures (SOPs) and Best Management Practices (BMPs).
Regular meetings with Indian shipowners, shipmasters, port authorities, the Indian Navy, Coast Guard and other security agencies are also being conducted to improve preparedness and response mechanisms.
The reforms form part of a broader strategy to expand domestic shipping capacity, attract investment into shipbuilding and reinforce India’s maritime resilience as global trade flows continue to evolve.
