By News Karnataka Editorial Team
Copyright newskarnataka
New Delhi: Modi government approves major maritime push
The Union Cabinet on September 24 approved a ₹69,725 crore package aimed at strengthening India’s shipbuilding and maritime development. The plan, chaired by Prime Minister Narendra Modi, seeks to expand domestic capacity, attract large investments, and generate lakhs of jobs under the government’s Atmanirbhar Bharat initiative.
Key schemes under the package
The approved plan is divided into three major components:
Shipbuilding Financial Assistance Scheme (SBFAS): Extended till March 31, 2036, with a budget of ₹24,736 crore, providing long-term aid to shipbuilders.
Maritime Development Fund (MDF): Allocated ₹25,000 crore, which includes a ₹20,000 crore Maritime Investment Fund and a ₹5,000 crore Interest Incentivisation Fund to reduce borrowing costs.
Shipbuilding Development Scheme (SbDS): Worth ₹19,989 crore, targeting capacity expansion to 4.5 million gross tonnage (GT) annually. It will support greenfield and brownfield shipyards, technology centres, and risk-insurance mechanisms.
Employment and investment impact
According to government estimates, the package will:
Generate 30 lakh jobs across the maritime value chain.
Attract ₹4.5 lakh crore investments into the sector.
Strengthen India’s domestic shipyards to compete globally and reduce dependency on foreign facilities.
Government statement on maritime strategy
Union Minister Ashwini Vaishnaw said the decision rests on a four-pillar strategy: enhancing shipbuilding capacity, extending finance, enabling yard expansion, and reforming legal and tax frameworks. He underlined that the move would transform India into a global maritime hub.
The Cabinet also noted that the package is aligned with India’s broader goals of self-reliance, green transition, and creating sustainable infrastructure for long-term growth.
The ₹69,725 crore package marks one of the largest government interventions in India’s maritime sector. Successful execution of the schemes will determine whether domestic shipbuilding can scale up to global levels and establish India as a leading player in the industry.
