India’s Maritime Sector

• Overall: About 95% of the country’s trade volume and 70% of trade value are undertaken through maritime transport.
• Estimated Size of the Blue Economy in India: about 4% of GDP.
• India has 12 major and 200 non-major ports.
• India’s top export destinations: US, UAE, Saudi Arabia, Hong Kong, China, Germany.
• Key commodities: Petroleum products, coal, automobile, iron ore, etc.
• 2 Indian Ports in Global Top 40 Ports (Mundra & JNPA).

Challenges in the Maritime sector:

• Inadequate infrastructure: Shallow ports, subdued capacity utilisation at ports.
• Poor connectivity: The lack of expressway connectivity between major ports and hinterland, impacting ports’ turnaround times and India’s trade competitiveness.
• Regulatory hurdles: Several export-import (EXIM) processes are not digitized, impacting efficiency of logistics.

Initiatives taken:

• Sagarmala Program – Port-led development for robust economic growth.
• Revised Model Concession Agreement – Making sector attractive for PPP.
• Major Port Authorities Act, 2021.
• Marine Aids to Navigation Act, 2021.