Coastal Shipping Bill, 2025

Context: Parliament Clears Coastal Shipping Bill, 2025 to Boost India’s Coastal Economy

• Passed by: Rajya Sabha (7 Aug 2025), Lok Sabha (3 Apr 2025)

• Replaces: Part XIV of the Merchant Shipping Act, 1958 with a modern, globally aligned framework.

• Scope: Covers India’s 11,098 km coastline across 9 coastal states and 4 UTs.

Objectives & Targets:

• Boost coastal cargo movement to 230 million metric tonnes by 2030.

• Reduce dependence on foreign vessels → save foreign exchange.

• Strengthen Aatmanirbhar Bharat and Viksit Bharat vision.

Key Provisions:

 Comprises six chapters and 42 clauses

1. Simplified Licensing System for coastal shipping operations.

2. Regulation of Foreign Vessels in coasting trade.

3. National Coastal & Inland Shipping Strategic Plan – guides infrastructure & policy.

4. National Database for Coastal Shipping – real-time, transparent, regularly updated data for investors.

Expected Impact:

• Enhances competitiveness of Indian vessels.

• Improves supply chain security and domestic cargo participation.

• Generates employment in coastal regions.

• Strengthens ease of doing business in maritime operations.

Strategic Significance:

• Completes the trio of maritime reforms along with:

  • Merchant Shipping Bill, 2025

  • Carriage of Goods by Sea Bill, 2025

• Positions India as a global maritime hub with a future-ready ecosystem.