We have laid emphasis on building futuristic infrastructure. Port, Shipping and Maritime infrastructure are prominent among them.
Shri. Narendra Modi Prime Minister of India

What are the different modes of investment in Maritime sector?

Investors may take any of the following routes to invest in maritime sector:

  • EPC mode
  • PPP mode
  • Captive mode
  • Fully privately owned ventures

Are there any subsidies/financial assistance available for Maritime projects?

Yes, financial assistance is available for certain identified sectors such as shipbuilding. Government has also announced exemptions from Customs and Central Excise duties on inputs used in shipbuilding.Tax holiday for 10 consecutive assessment years for infrastructure development including Ports and Inland Waterways also available.

This may undergo procedural change with introduction of GST.

Is Viability Gap Funding (VGF) available for projects in Maritime sector?

Viability Gap Funding is available for infrastructure projects under PPP mode.

Which is the nodal agency for investments in ports?

Major ports under the administrative control of Ministry of Shipping, Government of India invite investment proposals on their own. For non-major ports, investment proposals are routed through concerned State governments.

Which new ports are being developed by the Central government?

Central government has plans to build six greenfield major ports.

These are:

  • Vadhawan, Maharashtra
  • Sagar, West Bengal
  • Enayam, Tamil Nadu
  • Bellekeri, Karnataka
  • Sirkazhi, Tamil Nadu
  • Paradip Satellite Port, Odisha

What is the length of concession period for port projects?

Generally, length of concession period is 30 years.

Is there a plan to develop port based smart cities?

Yes. There are plans to develop Smart Industrial Port Cities. Initially such cities will come up near Kandla and Paradip ports.

What are Coastal Economic Zones?

Coastal Economic Zones (CEZ) are geographically contiguous districts within a State that are either coastal districts or districts having a strong port linkage. CEZs would link Major and Non-major ports, Industrial units and evacuation infrastructure into a single system at regional level. CEZs would fuel port-led industrialization program.

What is a National Waterway?

A National Waterway is a designated segment of Inland waterways suitable for navigation and shipping. So far, 5 National Waterways have been notified of which, 3 are operational. Another 106 National Waterways have been identified for development.

What is the role of the Directorate General of Shipping?

The Directorate General of Shipping deals with implementation of shipping policy and legislation.

Its objectives are as follows:

  • Matters affecting Merchant Shipping & navigation
  • Measures to ensure safety of life and ships at sea
  • Development of Indian Shipping
  • International Convections relating to Maritime matters
  • Provision of facilities for training of Officers & rating of Merchant Navy
  • Development of Sailing Vessels Industry
  • Regulation of Ocean freight rates in overseas trade

Is there any agency for classification and certification of ships in India?

Yes. Indian Register of Shipping is the recognized agency for classification and certification of ships.

What is the procedure for allotment of land for shipbuilding projects?

Shipbuilding projects are generally established close to sea front. Land is allotted by the concerned State government as per the prevailing land allotment policy. Shipbuilding projects may also be set-up within Major ports’ estates or existing shipyards.

Which is the nodal agency for regulation of lighthouse tourism?

Directorate General of Lighthouses and Lightships (DGLL) is the nodal agency for regulation of lighthouse tourism.

What are Coastal Zone Regulations?

Coastal stretches of seas, bays, estuaries, creeks, rivers and backwaters which are influenced by tidal action (in the landward side) upto 500 metres from the High Tide Line (HTL) and the land between the Low Tide Line (LTL) and the High Tide Line (HTL) is defined as Coastal Regulation Zone. Activities in such zones are subject to restrictions notified by the Union Ministry of Environment, Forests and Climate Change.

Which are the major educational and training institutes for Maritime sector in India?

Indian Maritime University is the premier institution for maritime education in India. In addition, there are 133 maritime training institutes approved by administration which provide pre-sea and post-sea trainings to individuals taking up career in maritime sector.

What is the policy towards foreign investment in maritime sector?

100% FDI through automatic route is permitted for projects in maritime sector.

Is security clearance required by foreign investors?


How can security clearance be obtained by foreign investors?

Usually security clearance for foreign investors is obtained by project proponents. Foreign investors need to submit required documents with the project proponent who arrange to obtain security clearance.

Is there a Model Concession Agreement (MCA) for PPP projects?

Yes. MCA for PPP projects is available. Standard RFQ/RFP documents are also available.

Whether incentives are available for development of Coastal Shipping/Inland Waterways?

Yes, Government of India has come out with specific incentives for movement of cargo/passengers through Coastal Shipping/Inland Waterways.