Thiru Baalu proposes comprehensive package of Incentives for Promotion of Coastal Shipping

for Ministry of Shipping | Date - 03-04-2007


The Union Minister of Shipping, Road Transport & Highways, Thiru T. R. Baalu said that steps would be taken to promote the coastal shipping and to fully realize the potential of this cost-effective, fuel-efficient and environment friendly mode of transport.

Presiding over a review meeting held here recently to discuss various issues pertaining to the growth of Indian coastal shipping, the Minister directed to examine various short-term and long-term measures aimed at promoting coastal shipping. He said that the officials should explore various possibilities for accelerated growth of the coastal shipping and emphasized that this sector should grow through a mix of policy measures and financial incentives by the Government.

The Minister asked the officials to examine the feasibility of the following steps to promote coastal shipping :

(i)                  Feasibility of providing further rebate in the existing 40 per cent vessel-related and cargo-related charges at major ports;

(ii)                 Possibility of entitling Indian-flag vessels carrying even part coastal cargo for concessional tariffs for the coastal sector;

(iii)               Scope of providing special dedicated berths at identified major ports for coastal vessels,

(iv)                Feasibility of authorizing the Classification Societies with special reference to the Indian Register of Shipping (IRS) for undertaking statutory survey on behalf of the Director General of Shipping.

(v)                 Earmarking of dedicated storage areas for coastal cargos at identified major ports so as to provide them a longer free period considering their long evacuation process.

The Minister said that the above measures should be discussed threadbare with all the stakeholders especially with the coastal vessel operators besides formal consultations with all the Maritime States. 

The Review Meeting was attended by the Chairman and Members of the National Shipping Board, Chairman Inland Waterways Authority of India and Chairpersons of various ports besides the senior officials of the Ministry of Shipping Road Transport and Highways.

VBA/BS


(Release ID :26609)

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