Three Indian seafarers have tragically died, one is missing, and four others are injured in recent maritime incidents involving foreign-flagged vessels amid the Iran conflict. Rajesh Kumar Sinha from the Shipping Ministry confirmed that 70 out of 78 seafarers aboard escaped unharmed, while the government monitors the situation closely.
The Ministry of Home Affairs has streamlined procedures for crew members on Indian flag vessels engaged in coastal trade by eliminating the sign-on/sign-off and shore leave pass requirements. This change aims to ease the burdens previously faced by seafarers, allowing port authorities to manage crew operations more efficiently.
The Indian government plans to establish an Interest Incentivisation Fund under the ₹25,000 crore Maritime Development Fund. This initiative will enable lower interest borrowing for entities in targeted sectors, enhancing access to credit. Managed by NaBFID and IIFCL, it aims to strengthen India’s maritime industry, fostering growth and innovation.
The Indian government is establishing a ₹2,000-crore insurance fund to shield shipbuilders from buyer defaults, enhancing sustainability in the capital-intensive sector. The Ministry of Ports, Shipping, and Waterways collaborates with finance ministries to implement a buyer’s default insurance, aiming to secure shipyards from order cancellations and bolster the domestic industry.
The Indian shipbuilding industry is undergoing a transformation, driven by the government’s initiatives under Prime Minister Modi. The Union Budget 2025 introduces reforms to enhance shipyard competitiveness, including a revamped financial assistance policy and a Rs 25,000 crore Maritime Development Fund to modernize capabilities and attract investments.
The Indian Government has renewed financial support for the Nagapattinam-Kankesanthurai ferry service, emphasizing regional connectivity with Sri Lanka. Through the Viability Gap Funding mechanism, over 300 million Sri Lankan Rupees will be allocated annually, ensuring affordable fares and uninterrupted service, while fostering cultural and economic exchanges between the nations.
The Indian government has formed a three-member group of ministers (GOM) led by Piyush Goyal to evaluate the environmental impact of the ₹76,220 crore Vadhvan Port Project. This group will assess a report from the National Environmental Engineering Research Institute (NEERI) to address concerns raised by environmental groups.
The Indian government has eliminated the Rs 40 crore cap on financial assistance for non-specialized shipbuilding, maintaining a 14% aid rate until March 2026. This change supports local shipbuilders amid rising global costs, fostering high-value projects and job creation, while extending delivery deadlines for multi-vessel contracts.
The Union Minister of Ports, Shipping, and Waterways, Sarbananda Sonowal, highlighted the government’s commitment to modernizing maritime education at an event in the Indian Maritime University (IMU) campus in Kochi. He laid the foundation stone for a girls’ hostel and virtually inaugurated infrastructure projects across six IMU campuses, enhancing educational facilities in the maritime sector.
The Indian government plans to sell a 4.83% stake in Mazagon Dock Shipbuilders, aiming to divest its ownership in state-owned companies. The sale of 11.4 million shares at a floor price of 2,525 rupees per share is expected to attract investor interest and increase liquidity. This move reflects the government’s strategy to unlock value.
Union Commerce Minister Piyush Goyal discussed India’s ship-building potential at the 12th Biennial International Conference on Ports, Shipping & Logistics 2025. He emphasized the government’s efforts to promote the sector and the need for more flagged vessels. Goyal highlighted India’s port capacity expansion, reduced ship turnaround times, and the importance of enhancing the logistics ecosystem.
The Indian government is set to sell a 5% stake in Cochin Shipyard, a shipbuilding company, at a floor price of 1,540 rupees, valued at 20.26 billion rupees. This move is part of the government’s divestment efforts, with a total of 31.61 billion rupees raised so far in the fiscal year.
