India is embarking on a significant maritime expansion plan, aiming to establish a new shipping company to bolster its fleet by at least 1,000 ships within the next decade.
With aspirations of securing a larger share of revenue from burgeoning trade, particularly under Prime Minister Narendra Modi’s vision for India to achieve developed nation status by 2047, the government is investing heavily in infrastructure upgrades, Reuters reports.
According to Reuters, the proposed company, still unnamed, will be a collaborative effort among state-owned enterprises in the oil, gas, and fertilizer sectors, alongside the state-run Shipping Corp of India and potentially foreign entities.
To facilitate this ambitious initiative, India is orchestrating partnerships between state-run oil companies and the newly envisioned shipping enterprise. Drawing on the expertise of established entities like the Shipping Corp of India, the focus is on tanker acquisition, ownership, and operational efficiencies.
Financing for ship-building endeavors will be facilitated through long-term, low-cost loans, with state-owned enterprises committing to 15-year charter agreements with the new company, Reuters notes.
Exciting news for India’s maritime industry! With plans to establish a new shipping company and expand its fleet by 1,000 ships, India is positioning itself for significant growth in trade revenue. #MaritimeExpansion #TradeGrowth