The Ministry of Ports, Shipping and Waterways has exempted units established in the International Financial Services Centre (IFSC) at GIFT City, Gandhinagar, from the licensing requirement under Section 11 of the Coastal Shipping Act, 2025, for chartering foreign vessels for EXIM and international trade operations. The notification comes into force with immediate effect.
The exemption removes the requirement for eligible IFSC units to obtain a licence from the Director General of Shipping for chartering foreign vessels for operations covered under Section 11. The move is aimed at encouraging maritime leasing, ship financing and ship-owning activities through GIFT City and facilitating greater participation of global capital in maritime assets.
Union Minister for Ports, Shipping and Waterways Sarbananda Sonowal said the last 12 years have transformed India's maritime sector through policy reforms and infrastructure development, and that the next phase involves minimal governance to enhance competitiveness and efficiency as part of India's journey towards Viksit Bharat.
Coastal Trade Framework Remains Unchanged
The exemption is limited to the licensing requirement under Section 11 and does not alter the existing framework governing coastal trade. The prevailing cabotage regime and safeguards applicable to coastal shipping remain unchanged, while regulatory flexibility has been provided for EXIM and international trade operations. |
