India is the fastest growing large economy of the World
IMF
 

Growth Enablers

  • Over the last decade, seaborne trade has grown at twice the global growth rate of 3.3%
  • Cargo traffic at Indian ports has doubled to 1 billion tonnes per annum over the decade 2005 - 2015 and is expected to reach 3.050 billion tonnes per annum by 2025
  • Additional cargo handling capacity of 901 million metric tons is required to be created in Indian ports in the next 6 to 7 years
  • Maritime container trade has grown at 6.5%, which is higher than the world average of 5.4% over the decade 2005 - 2015
  • Port projects involving investment of over USD 10 billion identified for award during the next five years
  • 111 Inland Waterways identified for movement of domestic cargo
  • Fresh thrust on Coastal shipping
  • 78 Lighthouses to be developed as tourist destinations
  • Special Economic Zones (SEZs) are being developed in close proximity to several ports
  • Smart Port Industrial Cities and Industrial Clusters to be developed at select ports
  • 400 projects identified under Sagarmala programme involving investment around USD 69.23 billion (INR 4.5 Lakh Crore approx)
 

Ease of Doing Business

 
  • One time trading license for vessels in lieu of annual renewal process
  • Introduction of e-Governance initiative for online processing of chartering permission
  • Web based Port Community System to promote online port business
  • Standardized bidding documents for PPP projects & transparent bidding process
  • Slew of measures taken to reduce transaction cost and time across the logistic chain
 

Investment Incentives

  • FDI upto 100% under Automatic Route for port development projects
  • Tax holiday for 10 consecutive assessment years for infrastructure development including Ports and Inland Waterways
  • Reduction in service tax incidence on Coastal Shipping from 100% to 30% of the service value
  • Financial assistance like exemption of customs duty and central excise duty on inputs used in Ship Building and Ship Repair
  • Viability Gap Funding for PPP projects