India Modernizes Ship Registration with Digital Online Process

GIFT City Moves Closer to Global Ship Leasing Hub Status

India has launched a comprehensive digital overhaul of its ship registration process, replacing outdated, paperwork-intensive methods with a fully online system. The Ministry of Ports, Shipping, and Waterways introduced the Merchant Shipping (Registration of Vessels) Rules, 2026, on August 21, superseding regulations established in 1960. This modernization allows shipowners to complete registrations online without needing to visit Indian ports, significantly reducing time and costs associated with vessel registration.

Under the new rules, the identification of vessels has also been updated, requiring names and ports of registry to be displayed in both Hindi and English, with Hindi appearing above English. Additionally, the regulations prioritize foreign vessels chartered by Indian companies for cargo, provided they exclusively fly the Indian flag for the duration of the charter, which is limited to five years.

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Tighter regulations on Indian Controlled Tonnage—ships owned by Indian entities but registered under foreign flags—have been introduced, mandating that at least half of the crew be Indian nationals. Specific exemptions for financial institutions in GIFT City simplify compliance for ship-leasing businesses. The rules also create a faster registration process for vessels intended solely for scrapping, align with ship recycling regulations, and clarify the order of payment in cases of ownership changes due to bankruptcy or other circumstances.

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