November 30, 2025 4:59 am

Strengthening Indian Coastal Shipping Operations

CURRENT AFFAIRS: Abolition of SLP, Indian shipping reforms, Sign On Sign Off rules, Right of First Refusal (ROFR), ship building financial assistance, subsidy for Indian vessels, ease of doing business, coastal cargo movement, maritime workforce welfare

Strengthening Indian Coastal Shipping Operations

Major regulatory reform

Strengthening Indian Coastal Shipping Operations: The Government of India has abolished the long-standing requirements of Sign-On, Sign-Off, and Shore Leave Pass (SLP) for Indian-flagged vessels operating exclusively in Indian waters.
Earlier, seafarers were required to physically appear before immigration officials for SLP issuance and extension every 10 days, leading to delays and disruption of duties on board.
This reform removes repetitive approvals and creates faster turnaround for vessels engaged in coastal operations.

Static GK fact: India has 12 major ports and more than 200 minor ports supporting coastal trade.

Impact on seafarers and vessel operations

The change improves daily functioning of crews, dredgers, barges, and research vessels.
Reduced paperwork ensures uninterrupted crew rotation, better work comfort, and enhanced efficiency.
Port authorities will now maintain updated digital records of crew members, ensuring compliance without slowing operations.

Static GK fact: India is among the top 3 seafarer-supplying nations in the world.

Supporting policies to promote Indian shipping fleet

The abolition of SLP rules connects with a broader government strategy to expand Indian-flag tonnage and reduce dependency on foreign vessels.
Multiple initiatives are strengthening the sector:

  • Right of First Refusal (ROFR): Priority for Indian built, Indian owned, and Indian flagged vessels to participate in government cargo movement.
  • Subsidy support scheme: Financial support for promoting flagging of Indian merchant vessels, especially in strategic trade routes.
  • Ship Building Financial Assistance Policy: Incentives to boost orders for Indian shipyards and promote domestic construction of vessels.
  • Focus on Green shipping, digital maritime systems, and fleet modernization projects under national maritime plans.

Static GK Tip: Sagarmala Programme aims to improve port-led development and coastal shipping expansion in India.

Boost to coastal cargo and economy

India currently moves a small portion of its total freight via coastal shipping.
With operational barriers removed, coastal cargo movement can expand at lower logistics cost, reducing road congestion and fuel emissions.
The reforms are expected to encourage local jobs, better port utilization, and more Indian-owned vessels entering commercial service.

Static GK fact: Coastal shipping in India presently handles around 6% of domestic freight movement, offering huge scope for growth.

Long-term outlook

The coordinated reforms reinforce India’s maritime vision for:

  • Smooth crew operations without delays
  • Skill enhancement and retention of Indian seafarers
  • Enhanced competitiveness of domestic shipyards
  • Growth of Indian-flagged merchant fleet
  • Stronger participation in global shipping value chains

India’s coastal waters remain a significant economic asset, and these initiatives collectively aim to make Indian vessels more productive, profitable, and strategically stronger in the maritime sector.

Static Usthadian Current Affairs Table

Strengthening Indian Coastal Shipping Operations:

Topic Detail
Key reform Abolition of SLP and Sign-On/Off rules for Indian vessels in domestic waters
Crew documentation Port authorities to maintain updated records instead of immigration offices
SLP extension burden Earlier required every 10 days causing operational disruption
Seafarers benefit Faster crew rotation and reduced physical compliance
ROFR support Priority to Indian-flagged vessels for government cargo movement
Shipbuilding assistance Financial incentives to Indian shipyards for new vessel orders
Subsidy scheme Support to expand Indian-flagged merchant fleet
Coastal shipping scope Presently around 6% of total cargo movement in India
National maritime focus More shipping jobs, reduced logistics cost, stronger fleet
Strategic outcome Growth of domestic vessels operating in Indian waters

Strengthening Indian Coastal Shipping Operations
  1. India abolishes SLP, Sign-On & Sign-Off rules for domestic vessels.
  2. Improves crew movement and eliminates frequent approvals.
  3. Supports 24×7 uninterrupted vessel operations.
  4. Digital records maintained by port authorities.
  5. India is among top 3 seafarer-supplying nations.
  6. Links with push to expand Indian-flagged fleet.
  7. ROFR gives priority to Indian-flag vessels for govt cargo.
  8. Subsidy schemes support Indian merchant vessels.
  9. Shipbuilding financial assistance promotes local shipyards.
  10. Logistics cost reduced via coastal cargo expansion.
  11. Less road congestion & fuel emissions.
  12. Coastal shipping handles only ~6% of domestic freight
  13. Strengthens ease of doing business in maritime sector.
  14. Supports Green & digital shipping
  15. Boosts port infrastructure utilization.
  16. Creates maritime employment opportunities.
  17. Enhances fleet modernization & competitiveness.
  18. Aligns with Sagarmala Programme for port-led development.
  19. Enhances India’s strategic maritime presence.
  20. Reinforces Aatmanirbhar Bharat in shipping.

Q1. Which requirement was abolished for Indian-flagged vessels?


Q2. Who gets priority under ROFR?


Q3. Which scheme supports shipbuilding financially?


Q4. What share of India’s freight moves via coastal shipping?


Q5. Which programme promotes port-led development?


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