The government has identified 50 public-private partnerships (PPP) projects worth over ₹60,000 crore, significantly surpassing the original targets of the National Monetisation Pipeline, said Ports, Shipping, and Waterways Minister Sarbananda Sonowal at the Business Standard Infrastructure Summit on Thursday.
The government also aims to raise the share of private participation in major ports to 85 per cent by 2030, he said in his keynote address at the event.
Among upcoming projects, the greenfield port at Vadhavan in Maharashtra will be India’s largest by capacity, with an investment of ₹76,000 crore. It will be developed in phases, to be completed in 2029 and 2037. The Nicobar port project, with a cost of ₹48,000 crore, is expected to be completed over the next decade.
Greenfield port at Vadhavan in Maharashtra with an investment of ₹76,000 crore will be India’s biggest port by capacity when operational, with phases that will be completed in 2029 and 2037. The Nicobar port, costing ₹48,000 crore, will be completed in 10 years.
Sonowal said alternative trade corridors such as the India-Middle East-Europe Corridor (IMEC) and the International North-South Transport Corridor (INSTC) are also being developed to mitigate geopolitical uncertainties.
Vision 2030 and 2047 goal
Over the past 11 years, India has significantly expanded its port capacity, with cargo handling at 12 major ports rising from 855 million tonnes (mt) to 1,690 mt. The country’s overall capacity now stands at 2,600 mt. The government plans to raise this to 10,000 mt by 2047.
Sonowal said India aims to become a global shipbuilding hub by 2030 and one of the world’s top five shipbuilding nations by 2047. The broader Amrit Kaal Vision 2047 entails an investment of ₹80 trillion to modernise port infrastructure.
“It focuses on expanding port capacity, operational efficiency through digitisation and automation and promotion of green initiatives like hydrogen hubs. The vision also aims to boost coastal tourism, strengthen maritime skill development, and position India as a global hub for shipbuilding recycling and repair. Millions of employment would be generated in the nation as a result of the far-reaching developmental outcome of this Vision,” Sonowal said.
Linking the sector’s progress to Prime Minister Narendra Modi’s vision, he added: “Because of his direction, untiring effort, and good governance, we have built confidence that India can become the world’s third-largest economy by 2029 — and the number one economy by 2047.”
Legislative reforms
The minister said that for decades, India’s maritime infrastructure remained stagnant under outdated laws. Between 2004 and 2014, only one maritime legislation was enacted.
“Some of our legislations dated back to 1856. Our earlier Indian Ports Act was in 1908. Our PM has always alluded to “speed and scale” as a guiding principle in our governance, development, and reform,” the minister said.
As a result, during the monsoon session of Parliament, the government enacted five landmark legislations -– Indian Ports Bill 2025, Merchant Shipping Bill 2025, Coastal Shipping Bill 2025, Carriage of Goods by Sea Bill 2025, and Bills of Lading Bill 2025.
These Bills aim to establish a strong, business and environment-friendly, globally aligned and competitive legislation framework.
Tax reforms in maritime sector
Considering the capital-intensive nature of the sector, the Union Budget earlier this year announced several financial and taxation reforms. These include a Maritime Development Fund with a corpus of ₹25,000, the new Ship Building Financial Assistance Policy, capability and capacity development, Extension of Tonnage Tax scheme to Inland Vessels, extension of basic customs duty exemption on input material for ship building and ship breaking, conferring infrastructure status to large ships, facilitation of ship-building clusters have been transformative announcements.
These are very soon going to get formal approval laying out a comprehensive ecosystem for setting up a robust and vibrant shipping sector in our nation,” Sonowal said.
Green initiatives
Green shipping is another priority area. The government has issued ‘Harit Sagar’ guidelines to promote green shipping, developing methanol and green hydrogen plants at major ports, bunkering of green fuels at major ports and green corridors between ports. This is a huge opportunity for the private sector as it requires investments of thousands of crores, Sonowal said, without sharing details.
“We are also in the process of introducing electric tugs for port operations with at least six-seven major ports floating tenders to charter green tugs. The Hong Kong Convention came into force on June 26 this year and India is a party to the convention,” the minister said.
Source: Business Standard