Far from removing a so-called cabotage rule to permit foreign flag ships to carry all types of cargo on local routes to boost coastal shipping as proposed earlier, foreign shipping companies will find it extremely tough to run India-centric cargo business under Prime Minister Narendra Modi’s Maritime Amrit Kaal Vision 2047. The Vision document calls for reversing the three orders issued in 2018 permitting foreign flag ships to transport export-import (EXIM) laden containers meant for transhipment, empty containers meant for re-positioning, Agri-products, horticulture, fisheries, fertilizer and animal husbandry commodities on domestic routes without a license from the Director General of Shipping (DG Shipping). “The reversal of the order numbers 1,2 and 3 of 2018 is now a requisite to increase India’s ranking in world tonnage due to the detrimental impact on Indian shipping,” the Vision document said. The orders were issued with the objective of reducing transhipment of Indian EXIM container cargo through Colombo, reduce freight for Indian exporters and importers, increase movement of Agri-products, horticulture, fisheries, fertilizer and animal husbandry commodities along the coast.
