Effective policy support has led to rapid capacity expansion across India’s maritime sector. Meanwhile, the adoption of technology has been transformative for efficiency. The development of port-linked industrial clusters is also in focus. Improved connectivity, through inland waterways and coastal shipping, has enabled cheaper, greener transport modes.
Better cargo handling infrastructure has led to sharp reductions in vessel turnaround times. Private sector capital is coming in through public-private partnerships (PPPs). The India Maritime Week 2025 received over Rs 12 trillion in investment commitments.
Green, sustainable development is in focus. Ports are using renewables to meet part of their energy consumption while three ports are being developed as green hydrogen hubs. Shipyards are being incentivised to build electric and hybrid vessels.
As of December 2025, major ports had a traffic handling capacity of 1,717.9 million tonnes (mt), while non-major ports could handle 1,090.29 mt. During 2025-26, traffic at major ports grew by 7 per cent year on year, while traffic at non-major ports recorded a moderate growth of 1.44 per cent. National waterways (NWs) handled a record 198.09 mt of cargo during this period, a whopping growth of 35.8 per cent.
The Union Budget 2026-27 allocates Rs 51.65 billion to the Ministry of Ports, Shipping and Waterways (MoPSW). While capacity augmentation continues, policy support has also been extended to container manufacturing and ship repair.
Recent laws pertaining to the sector include the Indian Ports Bill, 2025, the Coastal Shipping Bill, 2025, the Carriage of Goods by Sea Bill, 2025, the Merchant Shipping Bill, 2025, and the Bills of Lading Bill, 2025. The draft National Water Metro Policy 2026 outlines a Rs 92.8 billion plan to develop urban water metro systems.
Under the Sagarmala programme, over 400 mt of new capacity has been added. Sagarmala 2.0 focuses on shipbuilding, shiprepair, shipbreaking and shiprecycling. Apart from ongoing PPP projects, the government plans to offer around 30 port projects, valued at Rs 1 trillion, to private investors by 2030. The National Monetisation Pipeline 2.0 has set an asset monetisation target of Rs 2.6 trillion by 2030 for ports.
On the technology front, automation, AI, drones, Internet of Things (IoT), blockchain and digital platforms have become almost commonplace. V.O. Chidambaranar (VoC) was the first Indian port to implement a digital twin. The Jawaharlal Nehru Port Authority is also looking at digital twin technology. The deployment of non-intrusive scanning systems is being expanded. The National Green Hydrogen Mission has designated Deendayal, Paradip and VoC ports as formal green hydrogen hubs with Deendayal and VoC already producing green hydrogen.
Coastal shipping and inland shipping offer both cost and sustainability benefits when integrated with road and rail. The Jalvahak scheme is accelerating the development of inland waterways. Currently, 32 operational NWs span 5,155 km, with 20 more NWs proposed by 2031. Marina development could be another high-potential segment.
The conflicts in West Asia and the blockade of the Strait of Hormuz highlight the need to build energy resilience. To ensure the supply of crude and gas, India will need a large fleet of carriers and enhanced storage facilities. This could turn out to be an investment opportunity. Also, given the marine redeployment the conflict has triggered, Indian ports may be able to attract more traffic.
Despite geopolitical uncertainties, India’s ports are handling record volumes. The government has supported the sector by offering an extended cabotage waiver. Looking beyond short-term pains caused by tariff tensions and conflict, the Indian maritime sector should continue to see steady, sustainable growth, facilitating trade in a rapidly growing economy.