Around 95% of India's trading by volume and 70% by value is done through maritime transport. In November 2020, Hon’ble Prime Minister Shri Narendra Modi renamed the Ministry of Shipping as the Ministry of Ports, Shipping and Waterways.
Ports sector in India is being driven by high growth in external trade. India has 12 major and 200+ notified minor and intermediate ports. Under the National Perspective Plan for Sagarmala, six new mega ports will be developed in the country. The Indian ports and shipping industry play a vital role in sustaining growth in the country’s trade and commerce. India is the sixteenth-largest maritime country in the world with a coastline of 7,516.6 kms. The Indian Government plays an important role in supporting the ports sector. It has allowed Foreign Direct Investment (FDI) of up to 100% under the automatic route for port and harbour construction and maintenance projects. It has also facilitated a 10-year tax holiday to enterprises that develop, maintain, and operate ports, inland waterways, and inland ports.
In FY24, all key ports in India handled 817.97 million tonnes (MT) of cargo traffic, a 4.45% increase from 784.305 million tonnes in FY23. India's merchandise exports in FY23 were at US$ 451 billion from US$ 417 billion in the previous year. The Government has taken several measures to improve operational efficiency through mechanisation, deepening the draft and speedy evacuations.
The Amrit Kaal Vision 2047, outlined by the Ministry of Ports, Shipping & Waterways, expands upon the objectives set forth in the Maritime India Vision 2030. It strives to elevate ports to global standards while advancing inland water transport, coastal shipping, and sustainable practices within the maritime sector.
India plans to establish a new shipping company to expand its fleet by at least 1,000 ships in the next decade, aiming to reduce freight costs and capture more revenue from increasing trade, with joint ownership by state-run oil, gas, and fertilizer companies, along with the state-run Shipping Corporation of India and foreign companies, targeting a reduction of at least one-third in foreign freight outgoings by 2047.
India's maritime sector is poised for a significant transformation following the unveiling of a comprehensive roadmap at the Global Maritime India Summit 2023 organised by the MoPSW with FICCI as the Industry Partner.