Navigating New Waters: India's Coastal Shipping Bill 2024

The Coastal Shipping Bill 2024, introduced in India's Lok Sabha, aims to boost coastal trade using Indian-flagged vessels for national security and commercial needs. It mandates licensing, promotes transparency, job creation, and shipbuilding, while addressing regulatory discrepancies and fostering maritime development.

The Coastal Shipping Bill 2024 was introduced in the Lok Sabha by Union Ports, Shipping and Waterways Minister Sarbananda Sonowal. The bill aims to strengthen coastal trade by encouraging the use of Indian-flagged vessels while ensuring national security and commercial objectives are met.

Key provisions of the bill include the required licensing for vessels engaged in coastal water trade, unless they are Indian vessels or meet specific conditions. It seeks to empower the Director-General to issue licenses based on factors such as crew citizenship and the vessel's construction, promoting job creation for Indian seafarers and boosting domestic shipbuilding.

The bill also aims to establish a National Database of coastal shipping to enhance procedural transparency and facilitate information sharing. With India's extensive 7,500 km coastline, the legislation recognizes the potential of coastal shipping as a cost-effective transportation mode compared to others, addressing existing regulatory inconsistencies.

(With inputs from agencies.)