India plans to boost cargo share on Indian ships

India is developing a new plan to boost its shipping industry after an existing scheme is likely to fall short of its goals. This aims to increase the share of cargo carried by Indian-flagged ships. The government's new plan follows consultations identifying a need for approximately 200 new ships, valued at ₹1.3 lakh crore, to serve sectors like petroleum, steel, and fertilizers. The current scheme, launched in 2021, has only disbursed ₹330 crore and the share of Indian-flagged ships remains at around 8%. The initiative comes as India seeks to become a major maritime player, with the share of Indian vessels in EXIM trade dropping significantly. Higher operating costs for Indian ships, due to factors like taxation, are a key concern.