The Union Cabinet has approved a revised policy for awarding waterfront and associated land to port-dependent industries (Captive Policy) at major ports, aimed at attracting private investment and accelerating port-led industrial development. The updated framework allows existing captive operators to extend concession agreements for up to 30 years without fresh bidding, subject to specified conditions, while also enabling capacity expansion and introducing a transparent mechanism for new investments.
It also creates a structured mechanism for capacity expansion by existing captive users. Besides, the policy introduces provisions for change in law and unforeseen events, allowing business plans and cargo profiles to be revised where regulatory changes or unforeseen circumstances affect project viability.