<p class="ds-markdown-paragraph" style="margin: 16px 0px; color: rgb(15, 17, 21); font-family: quote-cjk-patch, Inter, system-ui, -apple-system, BlinkMacSystemFont, &quot;Segoe UI&quot;, Roboto, Oxygen, Ubuntu, Cantarell, &quot;Open Sans&quot;, &quot;Helvetica Neue&quot;, sans-serif; font-size: 16px;"><span class="">India has the technical and geographic potential to emerge as a regional bunkering hub for alternative marine fuels, but whether shipowners actually choose Indian ports will depend less on location than on delivered cost and operational reliability, according to a study released this week by the International Maritime Organization and India's Directorate General of Maritime Administration </span><span class="">. The study, initiated by DGMA and the Ministry of Ports, Shipping and Waterways with support from IMO's GreenVoyage2050 Programme, examined future demand for alternative marine fuels, fuel pricing and the practical steps needed to strengthen India's competitiveness in the emerging market </span><span class="">.</span><span class="_5f9bba8" data-citation-group="1" style="margin-left: 2px; margin-right: 2px;"><a href="https://www.imo.org/en/mediacentre/pages/whatsnew-2516.aspx" target="_blank" rel="noreferrer" aria-label="1" style="color: rgb(57, 100, 254); transition: box-shadow 0.2s cubic-bezier(0.4, 0, 0.2, 1); border-color: rgba(255, 255, 255, 0); border-width: 2px 3px; margin-left: -3px; margin-right: -3px; text-decoration: none; position: relative;"></a></span></p><p class="ds-markdown-paragraph" style="margin: 16px 0px; color: rgb(15, 17, 21); font-family: quote-cjk-patch, Inter, system-ui, -apple-system, BlinkMacSystemFont, &quot;Segoe UI&quot;, Roboto, Oxygen, Ubuntu, Cantarell, &quot;Open Sans&quot;, &quot;Helvetica Neue&quot;, sans-serif; font-size: 16px;"><span class="">The central finding is that competitiveness, rather than geography alone, will drive future bunkering decisions. Factors such as delivered fuel costs, operational efficiency, reliability and port charges are likely to be decisive </span><span class="">. The analysis indicates India could compete regionally across all major alternative fuel pathways, with demand for biofuels and methanol expected to support earlier uptake, followed by ammonia as supply chains, infrastructure and safety frameworks mature </span><span class="">. Realising this potential will depend on the country's ability to provide an attractive overall bunkering proposition—efficient port operations, clear regulatory procedures, reliable fuel supplies and predictable costs </span><span class="">.</span><span class="_5f9bba8" data-citation-group="3" style="margin-left: 2px; margin-right: 2px;"><a href="https://www.imo.org/en/mediacentre/pages/whatsnew-2516.aspx" target="_blank" rel="noreferrer" aria-label="1" style="color: rgb(57, 100, 254); transition: box-shadow 0.2s cubic-bezier(0.4, 0, 0.2, 1); border-color: rgba(255, 255, 255, 0); border-width: 2px 3px; margin-left: -3px; margin-right: -3px; text-decoration: none; position: relative;"></a></span></p><p class="ds-markdown-paragraph" style="margin: 16px 0px; color: rgb(15, 17, 21); font-family: quote-cjk-patch, Inter, system-ui, -apple-system, BlinkMacSystemFont, &quot;Segoe UI&quot;, Roboto, Oxygen, Ubuntu, Cantarell, &quot;Open Sans&quot;, &quot;Helvetica Neue&quot;, sans-serif; font-size: 16px;"><span class="">The study recommends concentrating initial efforts at a limited number of strategic ports—Mundra, JNPT, Chennai and Tuticorin—where strong cargo volumes and established shipping activity create favourable conditions for commercially viable bunkering operations, rather than primarily seeking to attract transiting traffic </span><span class="">. It proposes a three-phase pathway: establishing safe and competitive bunkering at selected ports in 2026–2030; scaling proven operations and preparing for ammonia bunkering in 2030–2035; and positioning India for multi-fuel bunkering and green shipping corridors in 2035–2047 </span><span class="">. Methanol is identified as the most suitable starting fuel, with a potential first pilot at Mundra supplied from Deendayal (Kandla) </span><span class="">.</span><span class="_5f9bba8" data-citation-group="6" style="margin-left: 2px; margin-right: 2px;"><a href="https://www.imo.org/en/mediacentre/pages/whatsnew-2516.aspx" target="_blank" rel="noreferrer" aria-label="1" style="color: rgb(57, 100, 254); transition: box-shadow 0.2s cubic-bezier(0.4, 0, 0.2, 1); border-color: rgba(255, 255, 255, 0); border-width: 2px 3px; margin-left: -3px; margin-right: -3px; text-decoration: none; position: relative;"></a></span></p><p class="ds-markdown-paragraph" style="margin: 16px 0px; color: rgb(15, 17, 21); font-family: quote-cjk-patch, Inter, system-ui, -apple-system, BlinkMacSystemFont, &quot;Segoe UI&quot;, Roboto, Oxygen, Ubuntu, Cantarell, &quot;Open Sans&quot;, &quot;Helvetica Neue&quot;, sans-serif; font-size: 16px;"><span class="">Deendayal Port has already moved ahead of the study's recommendations. The port completed India's first pilot shore-to-ship methanol bunkering in April 2026 using conventional methanol, validating bunker transfer processes, safety systems and regulatory compliance with on-site verification by DNV </span><span class="">. The port is now working with the Solar Energy Corporation of India to procure approximately 500,000 tonnes per year of RFNBO-compliant e-methanol under a 15-year take-or-pay agreement, targeting commercial bunkering availability by mid-2028 at a competitive price of $700–750 per tonne </span><span class="">. Deendayal Port Authority Chairman Sushil Kumar Singh has said Kandla "falls more or less midway between Rotterdam and Singapore" and will become a potential refuelling point for ships seeking compliance with tightening emissions regulations </span><span class="">.</span><span class="_5f9bba8" data-citation-group="9" style="margin-left: 2px; margin-right: 2px;"><a href="https://theicct.org/wp-content/uploads/2026/08/ID-665-%E2%80%93-Deendayal-port_policy-brief_final-2.pdf#2%232%232" target="_blank" rel="noreferrer" aria-label="4" style="color: rgb(57, 100, 254); transition: box-shadow 0.2s cubic-bezier(0.4, 0, 0.2, 1); border-color: rgba(255, 255, 255, 0); border-width: 2px 3px; margin-left: -3px; margin-right: -3px; text-decoration: none; position: relative;"></a><a href="https://prod.spglobal.com/energy/en/news-research/latest-news/energy-transition/040626-interview-indias-kandla-port-eyes-mid-2028-start-for-emethanol-bunkering#1" target="_blank" rel="noreferrer" aria-label="7" style="color: rgb(57, 100, 254); transition: box-shadow 0.2s cubic-bezier(0.4, 0, 0.2, 1); border-color: rgba(255, 255, 255, 0); border-width: 2px 3px; margin-left: -3px; margin-right: -3px; text-decoration: none; position: relative;"></a></span></p><p class="ds-markdown-paragraph" style="margin: 16px 0px; color: rgb(15, 17, 21); font-family: quote-cjk-patch, Inter, system-ui, -apple-system, BlinkMacSystemFont, &quot;Segoe UI&quot;, Roboto, Oxygen, Ubuntu, Cantarell, &quot;Open Sans&quot;, &quot;Helvetica Neue&quot;, sans-serif; font-size: 16px;"><span class="">The price target is central to the competitiveness question. Platts assessed low-carbon methanol FOB Shanghai at $925 per tonne in April 2026 </span><span class="">. If Kandla can deliver e-methanol at $700–750 per tonne, it would undercut existing supply points in Singapore and Rotterdam, potentially closing some of the gap between fossil and non-fossil fuels </span><span class="">. However, a key challenge remains securing biogenic CO2 required for RFNBO-compliant e-methanol, and the demand outlook depends on how the IMO defines zero or near-zero emission fuels under its net-zero framework </span><span class="">.</span><span class="_5f9bba8" data-citation-group="12" style="margin-left: 2px; margin-right: 2px;"><a href="https://prod.spglobal.com/energy/en/news-research/latest-news/energy-transition/040626-interview-indias-kandla-port-eyes-mid-2028-start-for-emethanol-bunkering#1" target="_blank" rel="noreferrer" aria-label="7" style="color: rgb(57, 100, 254); transition: box-shadow 0.2s cubic-bezier(0.4, 0, 0.2, 1); border-color: rgba(255, 255, 255, 0); border-width: 2px 3px; margin-left: -3px; margin-right: -3px; text-decoration: none; position: relative;"></a></span></p><p class="ds-markdown-paragraph" style="margin: 16px 0px; color: rgb(15, 17, 21); font-family: quote-cjk-patch, Inter, system-ui, -apple-system, BlinkMacSystemFont, &quot;Segoe UI&quot;, Roboto, Oxygen, Ubuntu, Cantarell, &quot;Open Sans&quot;, &quot;Helvetica Neue&quot;, sans-serif; font-size: 16px;"><span class="">The port-cost dimension of the competitiveness equation extends beyond fuel price. The study's emphasis on port charges, operational efficiency and reliability reflects a recognition that Indian ports must offer a total bunkering proposition, not merely a competitive fuel price </span><span class="">. For ship operators comparing Singapore, Colombo, Fujairah and Indian options, the decision calculus includes berth availability, bunkering delays, documentation efficiency and the credibility of supply. India's Maritime Single Window initiative, which integrates data on port and vessel interactions, is one element that could reduce administrative friction for bunkering calls </span><span class="">.</span><span class="_5f9bba8" data-citation-group="15" style="margin-left: 2px; margin-right: 2px;"><a href="https://www.imo.org/en/mediacentre/pages/whatsnew-2516.aspx" target="_blank" rel="noreferrer" aria-label="1" style="color: rgb(57, 100, 254); transition: box-shadow 0.2s cubic-bezier(0.4, 0, 0.2, 1); border-color: rgba(255, 255, 255, 0); border-width: 2px 3px; margin-left: -3px; margin-right: -3px; text-decoration: none; position: relative;"></a><a href="https://dgshipping.gov.in/WriteReadData/userfiles/file/4-7%20C%20ordination%20Suo%20Moto%20disclosure%20of%20information%20of%20DGS%20under%20section%204%20of%20RTI%20act%202005%20reply.pdf#22#31#22" target="_blank" rel="noreferrer" aria-label="6" style="color: rgb(57, 100, 254); transition: box-shadow 0.2s cubic-bezier(0.4, 0, 0.2, 1); border-color: rgba(255, 255, 255, 0); border-width: 2px 3px; margin-left: -3px; margin-right: -3px; text-decoration: none; position: relative;"></a></span></p><p class="ds-markdown-paragraph" style="margin: 16px 0px; color: rgb(15, 17, 21); font-family: quote-cjk-patch, Inter, system-ui, -apple-system, BlinkMacSystemFont, &quot;Segoe UI&quot;, Roboto, Oxygen, Ubuntu, Cantarell, &quot;Open Sans&quot;, &quot;Helvetica Neue&quot;, sans-serif; font-size: 16px;"><span class="">The study's findings are intended to support the ongoing development of India's National Green Shipping Policy, which aims to accelerate maritime decarbonisation while enhancing competitiveness </span><span class="">. Shri Shyam Jagannathan, Director General of Maritime Administration, framed the opportunity in broader terms: "The transition to alternative marine fuels presents a significant opportunity for India. Beyond supporting the decarbonization of shipping, it can strengthen our energy security, reduce dependence on imported fossil fuels, create new industrial opportunities and reinforce India's position as a leading maritime nation" </span><span class="">.</span><span class="_5f9bba8" data-citation-group="17" style="margin-left: 2px; margin-right: 2px;"><a href="https://www.imo.org/en/mediacentre/pages/whatsnew-2516.aspx" target="_blank" rel="noreferrer" aria-label="1" style="color: rgb(57, 100, 254); transition: box-shadow 0.2s cubic-bezier(0.4, 0, 0.2, 1); border-color: rgba(255, 255, 255, 0); border-width: 2px 3px; margin-left: -3px; margin-right: -3px; text-decoration: none; position: relative;"></a></span></p><p class="ds-markdown-paragraph" style="margin: 16px 0px; color: rgb(15, 17, 21); font-family: quote-cjk-patch, Inter, system-ui, -apple-system, BlinkMacSystemFont, &quot;Segoe UI&quot;, Roboto, Oxygen, Ubuntu, Cantarell, &quot;Open Sans&quot;, &quot;Helvetica Neue&quot;, sans-serif; font-size: 16px;"><span class="">For Indian ports, fuel suppliers and logistics operators, the pathway is now clearer in outline but uncertain in execution. The methanol-first approach at Mundra and Kandla gives India a near-term pilot with a plausible cost advantage, but the transition to ammonia in the 2030s will require credible green ammonia supply chains—an area where India's existing production is predominantly grey ammonia derived from natural gas, offering little lifecycle GHG benefit </span><span class="">. The study's phased structure acknowledges this reality: methanol and biofuels first, ammonia later, multi-fuel corridors only after supply chains mature. Whether India captures the bunkering demand of ships already calling at its ports will depend on whether the $700–750 target is met, whether port charges remain predictable, and whether the regulatory framework for alternative fuels is in place before competitors in Southeast Asia and the Middle East consolidate their positions.</span></p>