India’s New Shipping Laws to Boost Maritime Growth

Context

The Lok Sabha has passed the Carriage of Goods by Sea Bill, 2024 to reform India’s maritime laws to enhance the Ease of Doing Business (EODB) in the shipping sector. The new bill, brought in by Union Minister of Ports, Shipping and Waterways, Sarbananda Sonowal, supersedes the aged Carriage of Goods by Sea Act, 1925, which was formed upon the century-old Hague Rules. The new law could be regarded as a law that brings with it clearer and efficient legal arrangements which are in line with current maritime needs.

Main provisions of the Carriage of Goods by Sea Bill, 2024

• Replaces Colonial-Era Legislation: The bill modernises and clarifies the legal rules, abolishing the 1925 Act.
• Simpler Language: It takes the complexity out of the law, making it simpler for Indian exporters, importers and logistics industry professionals to grasp.
• Enhances Legal Clarity: Harmonizes India’s shipping laws with international best practices, reducing uncertainty & related litigations.
• Government Empowerment: Allows India to be immediate responders to International Maritime conventions changes.
• Parliamentary oversight: Ensures accountability by requiring notifications from the executive to be examined by the parliament (Clause 10).
• Boosts Investor Confidence: Helps strive towards India making the workplace for the maritime sector globally competitive.

Indian Ports Bill, 2025

The Indian Ports Bill 2025, was also introduced along with the Carriage of Goods by Sea Bill, 2024. This measure aims to unify port management laws, boost port development and streamline business in the sector of maritime.

Important Provisions of Indian Ports Bill, 2025

• Improves Port Governance: Unifies laws to enhance port operations management.
• Strengthens State Maritime Boards: Gives more control over port operation to state-level institutions.
• Creates the Maritime State Development Council: Provides for planned development and better coordination.
• Encourages EODB: aids in streamlining regulations and removing bureaucratic obstacles to businesses.
• Safety and Sustainability: Includes provisions for pollution control, disaster management, emergency response, and security.
• International Compliance: Sees that India adheres to the international maritime laws and conventions.
• Port Infrastructure Conservation and Dispute Resolution: Provides a way to protect infrastructure and resolve legal disputes in a fastener.

Impact on India’s Maritime Sector

• Facilitates Trade and Investment: A contemporary legal infrastructure will lead to an increase of worldwide shipping entities in India.
• Raise Indo’s Global Status: Implementation of international laws of the seas will boost India’s global trade competency.
• Enhances Efficient Port Operations: Better management will result in faster and far more efficient port operations.
• Obviates Complexity in Law: Simplification in law will bring down legal disputes related to maritime.

Conclusion

• The passage of these bills marks a significant change for India’s maritime industry. The Carriage of Goods by Sea Bill, 2024, and The Indian Ports Bill, 2025 will do the ports governance improvement and the trade efficiency improvement and the global competitive India shipping to make. 
• Against the background of safety, security and environmental sustainability, these reforms will enable Indian position as a major player in international sea trade and investment.

Source: Press Information Bureau

UPSC Mains Practice Questions

Q. “The Carriage of Goods by Sea Bill, 2024, aims to modernize India’s maritime legal framework by replacing the colonial-era Carriage of Goods by Sea Act, 1925. Discuss the key features of the bill and its significance in promoting Ease of Doing Business (EODB) and global competitiveness in India’s shipping sector.”

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