Government Launches Sagarmala 2.0 with ₹40,000 Crore Budget to Boost Shipbuilding and Maritime Economy

Government Launches Sagarmala 2.0 with ₹40,000 Crore Budget to Boost Shipbuilding and Maritime Economy

New Delhi: The Indian government is set to roll out the second edition of its flagship maritime policy, Sagarmala 2.0, with a budgetary allocation of ₹40,000 crore, focusing on shipbuilding, repair, and recycling. This initiative aims to strengthen India’s maritime economy and position the country as a global maritime powerhouse, Union Minister for Ports, Shipping, and Waterways Sarbananda Sonowal announced on Wednesday.

The launch of Sagarmala 2.0 comes as the current edition nears completion, and the Centre has set an ambitious target of making India a top shipbuilding nation by 2047. The initiative seeks to attract ₹12 trillion in investments over the next decade, challenging China, South Korea, and Japan in the global shipbuilding industry.

Global Collaborations and Policy Reforms

To achieve this, the Indian government is in talks with major global players like Samsung Heavy Industries, HD Hyundai Heavy Industries, and Hanwha Ocean (formerly Daewoo), as well as leading Japanese shipbuilders. The plan is backed by major reforms introduced in the FY26 Union Budget, including:

• ₹25,000 crore Maritime Development Fund (MDF)
• Revamped shipbuilding subsidy policy
• Shipbreaking credit note scheme
• Tax incentives for shipbuilding components

These steps will bridge critical infrastructure gaps and foster a robust shipbuilding and repair ecosystem, officials said during the National Sagarmala Apex Committee meeting held in New Delhi.

Sagarmala’s Success Story

The Sagarmala Programme has significantly improved India’s maritime infrastructure over the past decade. According to the Ministry of Ports, Shipping, and Waterways (MoPSW):

✅ 100+ port modernization projects worth ₹32,600 crore have increased port capacity by 230 million tonnes per annum (MTPA).
✅ 80+ port connectivity projects worth ₹52,000 crore have enhanced 1,500 km of connectivity to ports.
✅ Fishing harbor projects have benefited 30,000+ fishermen under the Coastal Community Development initiative.
✅ ₹10,000 crore has been allocated to 119 projects across coastal states and Union Territories (UTs).

Goa’s Role in Maritime Development

Goa Chief Minister Dr. Pramod Sawant attended the meeting and highlighted the state’s contribution to the Sagarmala vision. He emphasized ongoing projects in port modernization, hinterland tourism, and daily commuter services, which will enhance Goa’s maritime connectivity.

The Sagarmala 2.0 initiative will also focus on:

✔️ Port-linked industrialization to boost exports and economic growth.
✔️ Coastal community development through skill training, financial inclusion, and economic upliftment.
✔️ New maritime services such as Ro-Ro (Roll-on/Roll-off) transport and Water Metro projects.

With these ambitious reforms, India is set to transform into a global maritime leader, driving growth in ports, shipping, and coastal industries.