Net earnings of shipping industry

Lok Sabha

The details of the earnings of the Shipping Industry during the last three years are given as under.



The earnings of the industry has been increasing over the years.

Around 44% i.e 3.97 million GT (6.29 million DWT) out of the existing Indian fleet will have to be scrapped by the year 2012 due to old age/IMO phase out regulations.

The Government has been taking various steps from time to time for the growth of Indian tonnage. These include:

The Government of India has formulated the National Maritime Development Programme (NMDP) under which 111 projects for Shipping & Inland Water Transport Sector have been identified for implementation by the year 2015 at cost of Rs.44,535 crores. The activities covered under the Programme include tonnage acquisition, maritime training, coastal shipping, aids to navigation, shipbuilding and building up of IWT infrastructure. Under the NMDP, The Shipping Corporation of India plans to acquire 76 vessels at a total approximate cost of Rs.15,000 crores.

Tonnage Tax has been introduced from 2004-05 whereby in the matter of taxation a level playing field has been given to Indian Shipping Industry vis-a-vis international shipping industry.

The acquisition of vessels has been brought under Open General Licence. The Shipowners are free to decide on type of ships to be acquired and their area of operation etc.

100% Foreign Direct Investment (FDI) is permitted in Shipping Sector.

The formalities of registration of newly acquired vessels have been simplified.

The maritime training, examination and certification system has been streamlined to meet the market demands.

This information was given by the Minister of Shipping, Road Transport and Highways, Thiru T.R Baalu in a written reply in the Lok Sabha today.

The details of the earnings of the Shipping Industry during the last three years are given as under.