Context: The Union Cabinet approved a ₹69,725 crore package to revitalize India’s shipbuilding and maritime sector, anchored on a 4-Pillar Approach to enhance financing, capacity, technology, and reforms.
About 4-Pillar Approach to Strengthen Shipbuilding, Maritime Financing, and Domestic Capacity:
What It Is?
- A comprehensive policy package for India’s maritime ecosystem, extending to 2036.
- Introduces financial support, infrastructure expansion, skill development, and legal-policy reforms.
- Seeks to make India a global hub for shipbuilding and shipping services.
Aim:
- Expand domestic shipbuilding capacity to 4.5 million Gross Tonnage.
- Create nearly 30 lakh jobs and attract ₹4.5 lakh crore investment.
- Ensure energy, food, and national security through resilient maritime supply chains.
The Four Pillars:
- Shipbuilding Financial Assistance Scheme (SBFAS):
- Extended till 31 March 2036, with ₹24,736 crore corpus.
- Incentivises Indian shipyards, includes Shipbreaking Credit Note (₹4,001 crore).
- Maritime Development Fund (MDF):
- Corpus of ₹25,000 crore for long-term financing.
- Includes Maritime Investment Fund (₹20,000 crore, 49% GoI share) and Interest Incentivization Fund (₹5,000 crore).
- Shipbuilding Development Scheme (SbDS):
- Outlay of ₹19,989 crore.
- Expands shipbuilding capacity, supports mega clusters, establishes India Ship Technology Centre, provides insurance and risk coverage.
- National Shipbuilding Mission & Reforms:
- Mission to coordinate schemes and monitor progress.
- Focus on greenfield and brownfield shipyards, skill training, taxation reforms, and legal framework.
Relevance in UPSC Syllabus:
- GS-III (Economy & Infrastructure): Industrial growth, shipping industry, Make in India, Atmanirbhar Bharat.
- GS-II (Governance & Policy): Government schemes, maritime security, centre-state coordination in infrastructure.
- Essay & Ethics: Themes of self-reliance, global competitiveness, and sustainable economic growth.
