<p data-path-to-node="4"><b data-path-to-node="4" data-index-in-node="0">NEW DELHI</b> — In a major regulatory overhaul designed to eliminate structural operating disadvantages and accelerate the expansion of the national commercial merchant fleet, the Ministry of Ports, Shipping and Waterways (MoPSW), in close consultation with the Directorate General of Shipping (DGS), has officially notified a relaxed and streamlined regulatory framework governing cabotage, vessel flagging, and registration protocols for cellular container ships and specialized feeder vessels.</p><p data-path-to-node="5" id="p-rc_2c0ae1c7529df6ca-174"><span data-path-to-node="5,0">The sweeping policy update addresses a long-standing structural imbalance in India’s maritime trade logistics. Currently, foreign-flagged ocean carrier cartels carry more than 90% of India’s containerized export-import (EXIM) cargo</span><span data-path-to-node="5,1"><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><source-footnote _nghost-ng-c3417761502="" class="ng-star-inserted"><sup _ngcontent-ng-c3417761502="" class="superscript"><!----></sup></source-footnote><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----></span><span data-path-to-node="5,2">, draining an estimated $75 billion (approximately ₹6 lakh crore) annually in freight bills paid to overseas liner consortia</span><span data-path-to-node="5,3"><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><source-footnote _nghost-ng-c3417761502="" class="ng-star-inserted"><sup _ngcontent-ng-c3417761502="" class="superscript"><!----></sup></source-footnote><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----></span><span data-path-to-node="5,4">. Deliberations with domestic shipping bodies, including the Indian National Shipowners’ Association (INSA) and the National Shipping Board (NSB), established that operating under the Indian national flag has historically been 16% to 20% more expensive than operating under foreign flags of convenience due to asymmetric statutory compliance burdens, heavy taxation, and lengthy administrative clearances</span><span data-path-to-node="5,5"><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><source-footnote _nghost-ng-c3417761502="" class="ng-star-inserted"><sup _ngcontent-ng-c3417761502="" class="superscript"><!----></sup></source-footnote><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----></span><span data-path-to-node="5,6">.</span><sources-carousel-inline ng-version="0.0.0-PLACEHOLDER" _nghost-ng-c1926620103=""><!----></sources-carousel-inline></p><p data-path-to-node="6">Under the newly issued statutory notification, the Directorate General of Shipping has dismantled several procedural bottlenecks to fast-track flagging approvals for modern secondhand container tonnage and newbuilds entering the Indian ship registry:</p><ul data-path-to-node="7"><li><p data-path-to-node="7,0,0" id="p-rc_2c0ae1c7529df6ca-175"><span data-path-to-node="7,0,0,0"><b data-path-to-node="7,0,0,0" data-index-in-node="0">Accelerated Dual-Registry and Flagging Approvals:</b> Statutory inspection cycles and initial registry approvals for cellular container vessels under 15 years of age have been consolidated into a 72-hour paperless digital window via the <i data-path-to-node="7,0,0,0" data-index-in-node="233">e-Samudra</i> single-window portal</span><span data-path-to-node="7,0,0,1"><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><source-footnote _nghost-ng-c3417761502="" class="ng-star-inserted"><sup _ngcontent-ng-c3417761502="" class="superscript"><!----></sup></source-footnote><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----></span><span data-path-to-node="7,0,0,2">, replacing months of legacy bureaucratic verifications.</span><sources-carousel-inline ng-version="0.0.0-PLACEHOLDER" _nghost-ng-c1926620103=""><!----></sources-carousel-inline></p></li><li><p data-path-to-node="7,1,0" id="p-rc_2c0ae1c7529df6ca-176"><span data-path-to-node="7,1,0,0"><b data-path-to-node="7,1,0,0" data-index-in-node="0">Rationalized Survey and Drydocking Intervals:</b> The ministry has harmonized intermediate survey intervals with International Association of Classification Societies (IACS) standards, eliminating redundant local drydocking mandates for vessels that hold valid condition assessment certifications</span><span data-path-to-node="7,1,0,1"><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><source-footnote _nghost-ng-c3417761502="" class="ng-star-inserted"><sup _ngcontent-ng-c3417761502="" class="superscript"><!----></sup></source-footnote><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----></span><span data-path-to-node="7,1,0,2">.</span><sources-carousel-inline ng-version="0.0.0-PLACEHOLDER" _nghost-ng-c1926620103=""><!----></sources-carousel-inline></p></li><li><p data-path-to-node="7,2,0"><b data-path-to-node="7,2,0" data-index-in-node="0">Modernized Cabotage and Feeder Licensing:</b> The framework relaxes cabotage operational clearances for Indian-flagged feeder vessels handling domestic coastal relay cargo, granting long-term automatic charter permits and guaranteeing priority berthing at all major container hubs to stimulate domestic short-sea loops.</p></li><li><p data-path-to-node="7,3,0" id="p-rc_2c0ae1c7529df6ca-177"><span data-path-to-node="7,3,0,0"><b data-path-to-node="7,3,0,0" data-index-in-node="0">Right of First Refusal (RoFR) Modernization:</b> The notification recalibrates the commercial application of RoFR rules, ensuring Indian shipowners receive clear cargo preference windows when bidding for public sector undertaking (PSU) and government-backed coastal and regional shipping contracts without absorbing unviable rate cuts</span><span data-path-to-node="7,3,0,1"><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><source-footnote _nghost-ng-c3417761502="" class="ng-star-inserted"><sup _ngcontent-ng-c3417761502="" class="superscript"><!----></sup></source-footnote><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----></span><span data-path-to-node="7,3,0,2">.</span><sources-carousel-inline ng-version="0.0.0-PLACEHOLDER" _nghost-ng-c1926620103=""><!----></sources-carousel-inline></p></li></ul><p data-path-to-node="8" id="p-rc_2c0ae1c7529df6ca-178"><span data-path-to-node="8,0">The revised flagging guidelines interface directly with the central government’s overarching ₹69,725-crore maritime revitalization package, specifically supporting the ₹25,000-crore Maritime Development Fund (MDF) and the revised Shipbuilding Financial Assistance Scheme (SBFAS)</span><span data-path-to-node="8,1"><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><source-footnote _nghost-ng-c3417761502="" class="ng-star-inserted"><sup _ngcontent-ng-c3417761502="" class="superscript"><!----></sup></source-footnote><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----></span><span data-path-to-node="8,2">. By de-risking secondhand acquisitions and offering low-cost sovereign credit lines</span><span data-path-to-node="8,3"><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><source-footnote _nghost-ng-c3417761502="" class="ng-star-inserted"><sup _ngcontent-ng-c3417761502="" class="superscript"><!----></sup></source-footnote><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----></span><span data-path-to-node="8,4">, the policy provides domestic logistics operators and private fleet owners with the financial flexibility needed to purchase 1,500-to-4,500 TEU feeder ships and regional line-haul boxships</span><span data-path-to-node="8,5"><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><source-footnote _nghost-ng-c3417761502="" class="ng-star-inserted"><sup _ngcontent-ng-c3417761502="" class="superscript"><!----></sup></source-footnote><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----></span><span data-path-to-node="8,6">.</span><sources-carousel-inline ng-version="0.0.0-PLACEHOLDER" _nghost-ng-c1926620103=""><!----></sources-carousel-inline></p><p data-path-to-node="9" id="p-rc_2c0ae1c7529df6ca-179"><span data-path-to-node="9,0">Senior maritime policy directors in New Delhi emphasized that establishing a robust, sovereign container fleet is critical to insulating subcontinental exporters from sudden global freight volatility, unexpected carrier surcharges, and vessel diversion risks</span><span data-path-to-node="9,1"><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><source-footnote _nghost-ng-c3417761502="" class="ng-star-inserted"><sup _ngcontent-ng-c3417761502="" class="superscript"><!----></sup></source-footnote><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----></span><span data-path-to-node="9,2">. Expanding the domestic flag fleet ensures that Indian shipowners capture the value of the nation’s rapidly rising containerized cargo volumes, keeping freight capital within the domestic economy and advancing the sovereign tonnage goals set under <i data-path-to-node="9,2" data-index-in-node="249">Maritime Amrit Kaal Vision 2047</i></span><span data-path-to-node="9,3"><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><source-footnote _nghost-ng-c3417761502="" class="ng-star-inserted"><sup _ngcontent-ng-c3417761502="" class="superscript"><!----></sup></source-footnote><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----><!----></span><span data-path-to-node="9,4">.</span></p>
MoPSW Eases Regulatory Cabotage and Flagging Norms to Expand Domestic Container Vessel Fleets
The sweeping policy update addresses a long-standing structural imbalance in India’s maritime trade logistics. Currently, foreign-flagged ocean carrier cartels carry more than 90% of India’s containerized export-import (EXIM) cargo, draining an estimated $75 billion (approximately ₹6 lakh crore) annually in freight bills paid to overseas liner consortia.
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