India is rapidly advancing its shipbuilding sector to become a top global player by 2047. Currently holding less than 1% of the world market, the country aims to be among the top five shipbuilding nations. This transformation is part of a broader vision to elevate India’s maritime industry and blue economy.
Current Maritime Sector Status
India’s maritime sector contributes about 4% to the national GDP and accounts for only 1% of global shipping tonnage. Indian seafarers make up 12% of the global workforce. The government’s goal is to increase the sector’s GDP contribution to 12% and raise India’s global tonnage ranking from 16th to 5th by 2047.
Government Initiatives and Support
The Ministry of Ports, Shipping and Waterways leads efforts to boost shipbuilding. Key schemes include the Shipbuilding Finance Assistance Scheme, Maritime Development Fund, and National Shipbuilding Mission. Subsidies of up to 30% are offered for non-conventional shipbuilding projects. The Shipbreaking Credit Note scheme and development of shipbuilding clusters also support industry growth.
Maritime India Vision and Economic Impact
Maritime India Vision aims to position the country as a global maritime superpower. Shipbuilding and repair are expected to be major growth drivers within the blue economy. These sectors will create jobs, increase competitiveness, and promote sustainability through green shipping technologies and modern infrastructure.
Investment and Infrastructure Development
A $3 billion Maritime Development Fund has been established, with nearly 45% allocated for shipbuilding and repair activities. Around 20% of the fund supports the expansion of Indian shipping tonnage. Investments are also focused on port modernisation and coastal shipping to enhance logistics and connectivity.
Employment and Workforce Expansion
India plans to increase its share of the global seafarer workforce from 12% to 25%. This expansion will require skilled labour and training, making shipbuilding and repair central to workforce development. The growth in maritime jobs will contribute to the national economy.
Green Shipping and Sustainability
Sustainability is a priority with an emphasis on green shipping initiatives. The government promotes cleaner technologies and eco-friendly ship designs. Modern infrastructure upgrades will support reduced emissions and improved environmental standards in the maritime sector.
Global Competitiveness and Future Outlook
India’s strategic focus on shipbuilding aims to improve its global competitiveness. Increased tonnage, enhanced infrastructure, and skilled manpower will help India compete with established maritime nations. The sector’s growth aligns with the broader goal of transforming India into a maritime superpower by mid-century.
Questions for UPSC:
- Discuss the role of government policies in boosting India’s maritime and shipbuilding sectors in the light of global competition.
- Critically examine the impact of the blue economy on sustainable development and employment generation in coastal regions.
- Explain the significance of green shipping initiatives and how they contribute to environmental sustainability in maritime transport.
- With suitable examples, discuss the challenges and opportunities in expanding India’s share of global shipping tonnage and seafarer workforce.
