Coastal Shipping Bill, 2024

  • 04 Apr 2025

On 3rd April 2025, Lok Sabha passes the Coastal Shipping Bill, 2024 to establish a dedicated legal framework for coastal trade and enhance India’s maritime sector.

Key Points

  • Objective: To promote coastal shipping as a more economical, reliable, and sustainable transportation mode, easing congestion on road and rail networks.
  • Strategic Vision: Aligned with the National Logistics Policy and PM Modi’s vision for a future-ready logistics ecosystem.
  • Fills gaps in old laws: Replaces outdated provisions in the Merchant Shipping Act, 1958 with modern, streamlined regulations.
  • Licensing reforms: Removes the general trading license requirement for Indian ships, reducing compliance burdens.
  • Foreign vessel regulation: Allows foreign vessels to engage in coastal trade only with licenses issued by the Director General of Shipping.
  • Boost to Indian shipbuilding: Aims to develop a coastal fleet owned and operated by Indian entities, reducing reliance on foreign vessels.
  • National Coastal and Inland Shipping Strategic Plan: Will be formulated with input from states, maritime boards, and experts.
  • Creation of a National Database for Coastal Shipping: To improve transparency, data-driven decision-making, and coordination.
  • Integration with inland waterways: Promotes regional development in coastal and riverine states like Odisha, Karnataka, and Goa.