Massive boost for the shipping industry; New initiatives are set to be approved by the cabinet
Cabinet will reportedly approve a 70,000-crore Shipping sector Boost
The Indian government is expected to approve a 70,000-crore package aimed at accelerating the growth of the shipping and maritime sector. This move aligns with the broader Sagarmala initiative, which seeks to drive port-led development and modernize India’s maritime infrastructure.
In the Union Budget 2024, Finance Minister Nirmala Sitharaman announced several measures to strengthen India’s maritime ecosystem, including the creation of a Maritime Development Fund (MDF) with a 25,000-crore corpus to support port and shipping infrastructure projects.
Vizhinjam Port under Sagarmala
The Vizhinjam International Deepwater Multipurpose Seaport, located near Thiruvananthapuram, Kerala, is one of the key projects under the Sagarmala initiative.
Key Features and Developments:
- Phases 2 and 3 of development aim to expand capacity to 4.5 million TEUs by 2028.
- Extension of the breakwater to improve protection and docking facilities.
- The expansion will increase cargo handling diversity and boost tourism through cruise operations.
Addition of:
- A break-bulk berth
- A tanker berth
- A bunkering facility
- A multipurpose berth for cruise ships
Strategic Importance:
- Located just 10 nautical miles from the international east-west shipping route.
- Offers natural deepwater depth (over 20 meters), minimizing dredging costs.
- Expected to reduce logistics costs and increase India’s share in global maritime trade.
