India's maritime sector is undergoing significant transformation under the Maritime Vision 2047, an ambitious plan to position India as a global maritime leader by 2047. The vision includes comprehensive reforms, infrastructure modernization, and sustainability initiatives aimed at making India a top maritime nation. This article discusses the key elements of the Maritime Vision 2047, the legislative reforms, and the focus on various aspects like shipbuilding, coastal shipping, port modernization, and seafarer welfare.

Key Objectives of Maritime Vision 2047

India’s Maritime Vision 2047 aims to achieve the following goals:

• Global Maritime Leadership: India aims to be among the top 10 maritime nations by 2030 and the top 5 by 2047. This will require improvements in key sectors such as shipbuilding, ports, shipping services, and maritime safety.
• Massive Investment: Over ₹80 lakh crore will be invested in modernizing infrastructure, improving green shipping, enhancing cargo handling capacity, and boosting shipbuilding and ship repair industries.
• Cargo Handling Capacity: The goal is to increase cargo handling capacity from 1,600 million metric tonnes to 10,000 million metric tonnes by 2047.
• Sustainability: Aligning with global environmental standards, India will focus on reducing the carbon footprint of its maritime operations.

Recent Achievements in the Maritime Sector

In the past decade, India’s maritime sector has seen remarkable improvements:

• Improved Global Rankings: India’s rank in the World Bank Logistics Performance Index improved from 54th in 2013 to 38th in 2023, reflecting the effectiveness of various reforms and initiatives.
• Port Efficiency:
• Container Dwell Time: India’s average container dwell time has decreased to just 3 days, lower than that of many developed nations.
• Ship Turnaround Time: Reduced to 0.9 days, which is better than countries like Canada, Australia, Germany, and the United States.

Outdated Maritime Laws and Legislative Reforms

India’s Merchant Shipping Act, 1958 and the Coasting Vessels Act, 1838 have become outdated and are unable to meet the modern needs of the maritime industry. Key issues include:

• Regulatory Gaps: The existing laws fail to regulate nearly 50% of the offshore sector and do not address the diverse range of vessels involved.
• Seafarer Welfare: Welfare provisions are only applicable to Indian-flagged ships, although 85% of Indian seafarers work on foreign-flagged vessels.
• Lack of Legal Framework for Maritime Training: The liberalization of maritime training institutions has led to a lack of regulatory oversight.

The introduction of the Merchant Shipping Bill and Coastal Shipping Bill aims to address these gaps and update the laws.

Key Features of the Merchant Shipping Bill

The Merchant Shipping Bill introduces several important provisions to modernize India's shipping industry:

• Expanded Vessel Scope:
• The Bill includes a broader definition of “vessels,” covering a wide range of crafts such as submersibles, hydrofoils, and Mobile Offshore Units (MOUs). This addresses the need for better regulation of the offshore sector, which includes mechanized and non-mechanized vessels.
• Foreign Investment:
• The Bill reduces the ownership threshold for Indian entities from 100% to 51%, allowing foreign investors and Non-Resident Indians (NRIs) to invest while retaining majority Indian ownership.
• Bareboat Charter-cum-Demise:
• The Bill enables the registration of vessels chartered by Indian entities under a bareboat charter-cum-demise, a lease-to-own arrangement that allows entrepreneurs to acquire vessels without upfront investment. This provision will help capital-deficient entrepreneurs enter the shipping industry.
• Temporary Registration for Ship Recycling:
• The new Bill facilitates the temporary registration of vessels destined for demolition, helping boost ship recycling activities at hubs like Alang, which is one of the largest ship recycling centers globally.
• Enhanced Coastal Security:
• In response to maritime security concerns following the 26/11 Mumbai attacks, the Bill introduces measures to improve security by empowering authorities to issue instructions for all types of vessels operating along India’s coastline.
• Marine Pollution Control:
• The Bill introduces measures to align with global environmental standards such as the MARPOL Convention. This includes reducing sulphur content in marine fuel to below 0.5% and banning single-use plastics on Indian ships.
• The Swachh Sagar portal will be launched to manage ship waste disposal at ports.
• Seafarer Welfare:
• The Bill extends welfare provisions to Indian seafarers working on foreign-flagged ships, ensuring better working conditions and safety standards under the Maritime Labour Convention (MLC).

Provisions for Maritime Training

The liberalization of maritime education has led to a proliferation of private training institutions. However, there has been a lack of regulatory oversight, which the Merchant Shipping Bill addresses:

• Regulation of Maritime Training: The Bill introduces clear legal provisions to regulate maritime training institutions, ensuring quality, standardized education and protecting rural youth from exploitation by unregistered institutions.

Focus on Coastal Shipping and Integration with Inland Waterways

The Coastal Shipping Bill focuses on enhancing India’s coastal shipping capabilities by:

• Separation of Technical and Commercial Functions: The new Bill distinguishes between the technical regulation of ships and the commercial utilization of Indian coastal waters. This will streamline the regulatory process and enhance operational efficiency.
• Integration with Inland Waterways: The Bill promotes seamless integration between inland shipping and coastal shipping, providing cost-effective and eco-friendly alternatives to road and rail transportation.
• Support for the ‘Sagarmala’ Program: The Coastal Shipping Bill aligns with the Sagarmala Program, which aims to develop ports and enhance hinterland connectivity, boosting the maritime sector’s growth.

Shipbuilding and Ship Recycling Initiatives

India aims to become a global leader in shipbuilding and ship recycling:

• Shipbuilding Clusters: States like Gujarat, Odisha, and Andhra Pradesh are developing shipbuilding clusters in partnership with the government and private players to create a strong manufacturing base.
• Foreign Partnerships: India is collaborating with countries like South Korea and Japan to bring advanced shipbuilding technology to India, helping the country achieve its goal of becoming one of the top 10 shipbuilding nations by 2030.

Sustainability and Green Shipping

India is committed to sustainable maritime practices, with a focus on reducing the carbon footprint of its maritime activities:

• Marine Pollution Control: India is fully adopting global standards such as the MARPOL convention to control pollution from ships. Measures include reducing sulphur content in marine fuel and promoting green shipping technologies.
• Eco-friendly Practices: The government is investing in green ports and eco-friendly shipping practices to minimize the sector’s environmental impact.

Conclusion: Unlocking India’s Maritime Potential

India’s Maritime Vision 2047 represents a transformative strategy for the country to become a global maritime leader. Through significant legislative reforms, infrastructure investment, and sustainability initiatives, India aims to become a hub for shipbuilding, coastal shipping, port modernization, and seafarer welfare. The Merchant Shipping Bill and Coastal Shipping Bill are integral to this vision, addressing critical issues such as marine pollution, security, seafarer welfare, and regulation of maritime training. These reforms will unlock the full potential of India's maritime sector, positioning it for a sustainable, competitive future in the global market by 2047. By enhancing India’s infrastructure, improving regulatory frameworks, and prioritizing sustainability, the country is on track to lead the global maritime industry in the coming decades.