{"id":161178,"date":"2025-04-05T19:39:10","date_gmt":"2025-04-05T14:09:10","guid":{"rendered":"https:\/\/pwonlyias.com\/stage\/?post_type=current-affairs&#038;p=161178"},"modified":"2025-04-05T21:47:08","modified_gmt":"2025-04-05T16:17:08","slug":"coastal-shipping-bill-2024","status":"publish","type":"current-affairs","link":"https:\/\/pwonlyias.com\/stage\/current-affairs\/coastal-shipping-bill-2024","title":{"rendered":"Coastal Shipping Bill 2024"},"content":{"rendered":"<p><span style=\"font-weight: 400;\">The<\/span><b> Coastal Shipping Bill, 2024 <\/b><span style=\"font-weight: 400;\">has been<\/span><b> passed by the Lok Sabha recently.<\/b><\/p>\n<h2><span style=\"font-size: 18pt;\"><b>Key Highlights of the Bill<\/b><\/span><\/h2>\n<ul>\n<li><b>Aim<\/b><span style=\"font-weight: 400;\">: To <\/span><b>create a legal framework for coastal trade to provide an economical, reliable and sustainable <\/b><span style=\"font-weight: 400;\">mode of transportation in line with the government\u2019s <\/span><b>overall transport vision ie. the National Logistics Policy.\u00a0<\/b><\/li>\n<li><b>Indian Coastal Waters: <\/b><span style=\"font-weight: 400;\">It is defined as the<\/span><b> territorial waters of India extending up to 12 nautical miles<\/b><span style=\"font-weight: 400;\"> from the coast (about 22 km) along with adjoining<\/span><b> maritime zones extending up to 200 nautical miles (about 370 km).<\/b><\/li>\n<li><b>Need:<\/b><span style=\"font-weight: 400;\">\u00a0<\/span>\n<ul>\n<li><b>Legal Framework: <\/b><span style=\"font-weight: 400;\">The Bill was<\/span><b> brought to consolidate the legal framework for coastal shipping regulation i<\/b><span style=\"font-weight: 400;\">n India and<\/span><b> promote coasting trade and encourage domestic participation therein.<\/b><\/li>\n<li><b>Atmanirbhar Bharat:<\/b><span style=\"font-weight: 400;\"> To also ensure that I<\/span><b>ndia is equipped with a coastal fleet, owned and operated by the citizens of India <\/b><span style=\"font-weight: 400;\">for its national security and commercial needs<\/span><\/li>\n<li><b>Increasing Coastal Traffic:<\/b><span style=\"font-weight: 400;\"> Coastal cargo traffic has<\/span><b> surged 119% in the last 10 years\u00a0 from 74 million tonnes in 2014-15 to 162 million tonnes in 2023-24, <\/b><span style=\"font-weight: 400;\">with a target of 230 million tonnes by 2030 necessitating a comprehensive legal structure.<\/span><\/li>\n<\/ul>\n<\/li>\n<li aria-level=\"1\"><b>Key Provisions of the Bill:<\/b>\n<ul>\n<li><b>Regulation: <\/b><span style=\"font-weight: 400;\">The Bill seeks to regulate<\/span><b> all types of\u00a0 vessels including ships, boats, sailing vessels, and mobile offshore drilling units ( <\/b><span style=\"font-weight: 400;\">self-propelled or not)\u00a0 engaged in trade within Indian coastal waters.\u00a0\u00a0<\/span><\/li>\n<li><b>Services Included Under Coasting Trade:\u00a0 <\/b><span style=\"font-weight: 400;\">The Bill includes provision of services <\/span><b>like exploration, research, and any other commercial activity, except fishing<\/b><span style=\"font-weight: 400;\"> under coasting trade.<\/span>\n<ul>\n<li><b>Coasting trade <\/b><span style=\"font-weight: 400;\">under the act refers<\/span><b> to the carriage of goods and passengers from one place or port in India to another.\u00a0<\/b><\/li>\n<\/ul>\n<\/li>\n<li><b>General Trading License:\u00a0<\/b>\n<ul>\n<li><b>Clause 3 <\/b><span style=\"font-weight: 400;\">of the bill<\/span><b> removes the general trading license requirement for Indian ships<\/b><span style=\"font-weight: 400;\"> in an attempt to reduce compliance burdens, and enhance the ease of doing business.<\/span><\/li>\n<li><b>Clause 4 o<\/b><span style=\"font-weight: 400;\">f the bill allows foreign vessels to engage in coastal trade only <\/span><b>under a license issued by the Director General of Shipping<\/b>\n<ul style=\"list-style-type: disc;\">\n<li><b>The category of charterers allowed to hire foreign <\/b><span style=\"font-weight: 400;\">vessels has been expanded and now<\/span><b> includes\u00a0 Indian citizens, NRIs, OCIs, and LLPs<\/b><\/li>\n<\/ul>\n<\/li>\n<li><b>Revocation of Licences: <\/b><span style=\"font-weight: 400;\">The Director General is<\/span><b> empowered to modify, suspend or revoke licences<\/b><span style=\"font-weight: 400;\"> on grounds that includes,<\/span>\n<ul style=\"list-style-type: disc;\">\n<li><b>Violation of terms of licence or an existing law <\/b><span style=\"font-weight: 400;\">or <\/span><b>failure to comply with <\/b><span style=\"font-weight: 400;\">directions of the Director General.<\/span><\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<\/li>\n<li><b>National Coastal and Inland Shipping Strategic Plan: <\/b><span style=\"font-weight: 400;\">The Bill<\/span><b> in Clause 8 mandates formulation of the National Coastal and Inland Shipping Strategic Plan<\/b><span style=\"font-weight: 400;\"> biennially\u00a0 aimed to improve<\/span><b> route planning, forecast traffic, and integrate coastal shi<\/b><span style=\"font-weight: 400;\">pping with inland waterways.<\/span><\/li>\n<li><b>National Database of Coastal Shipping:<\/b><span style=\"font-weight: 400;\"> It is established to <\/span><b>enhance transparency, coordination, and data-driven decision-making.\u00a0<\/b><\/li>\n<li><b>Authority<\/b><span style=\"font-weight: 400;\">: The <\/span><b>Director General of Shipping is authorized to seek information, issue directions, and enforce compliance<\/b><\/li>\n<li><b>The Central Government i<\/b><span style=\"font-weight: 400;\">s empowered to provide exemptions and regulatory oversight, ensuring streamlined and efficient coastal shipping operations in India.<\/span><\/li>\n<\/ul>\n<\/li>\n<li><b>Cooperative Federalism:<\/b><span style=\"font-weight: 400;\"> The Bill provide<\/span><b>s active representation for States and Union Territories with a Committee<\/b><span style=\"font-weight: 400;\"> constituted for the National Coastal and Inland Shipping Strategic Plan under Clause 8(3) of the bill.<\/span>\n<ul>\n<li><b>Chairperson: Director-General of Shipping<\/b><\/li>\n<li><img loading=\"lazy\" decoding=\"async\" class=\"wp-image-161171 alignright\" src=\"https:\/\/pwonlyias.com\/stage\/wp-content\/uploads\/2025\/04\/53-67f13acb42077.webp\" alt=\"Coastal Shipping Bill\" width=\"353\" height=\"352\" srcset=\"https:\/\/pwonlyias.com\/stage\/wp-content\/uploads\/2025\/04\/53-67f13acb42077.webp 547w, https:\/\/pwonlyias.com\/stage\/wp-content\/uploads\/2025\/04\/53-67f13acb42077-300x300.webp 300w, https:\/\/pwonlyias.com\/stage\/wp-content\/uploads\/2025\/04\/53-67f13acb42077-150x150.webp 150w\" sizes=\"(max-width: 353px) 100vw, 353px\" \/><b>Ex Officio Member: Chairman of the Inland Waterways Authority of India\u00a0<\/b><\/li>\n<li><b>Members: <\/b><span style=\"font-weight: 400;\">1 representative each of the<\/span><b> Board of Major Port Authority;<\/b><span style=\"font-weight: 400;\"> Representative of the<\/span><b> National Security Council Secretariat; <\/b><span style=\"font-weight: 400;\">Representative of each <\/span><b>State Maritime Board; <\/b><span style=\"font-weight: 400;\">2 representatives to <\/span><b>represent ship owners, seafarers <\/b><span style=\"font-weight: 400;\">and such other persons <\/span><b>having expertise in the field of coastal trade.<\/b><\/li>\n<\/ul>\n<\/li>\n<li><b>Advantages:<\/b>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"2\"><b>Inclusive Growth:<\/b><span style=\"font-weight: 400;\"> The Bill foster inclusive growth by\u00a0 <\/span><b>integrating coastal shipping with inland waterways <\/b><span style=\"font-weight: 400;\">and upholding the principle o<\/span><b>f cooperative federalism guaranteeing States a direct role in shaping strateg<\/b><span style=\"font-weight: 400;\">y, routes, and regulations.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"2\"><b>Promote Regional Development:<\/b><span style=\"font-weight: 400;\"> The integration of coastal and inland waterways will <\/span><b>promote regional development of riverine and coastal and inland waterways transpor<\/b><span style=\"font-weight: 400;\">t in States such as Odisha, Karnataka and Goa among others<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"2\"><b>Towards Atmanirbhar Bharat: T<\/b><span style=\"font-weight: 400;\">he Bill ensures<\/span><b> legal clarity, regulatory stability, and investment-friendly policies, strengthening India\u2019s maritime secur<\/b><span style=\"font-weight: 400;\">ity and advancing the vision of Atmanirbhar Bharat<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"2\"><b>Self Reliance in Fleet Operation: I<\/b><span style=\"font-weight: 400;\">t is to develop a<\/span><b> coastal fleet owned and operated by Indian entities leading to reduced dependence o<\/b><span style=\"font-weight: 400;\">n foreign vessels for critical areas<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"2\"><b>Addresses Regulatory Gaps: <\/b><span style=\"font-weight: 400;\">The Bill modernises and <\/span><b>streamlines coastal trade regulations, addressing gaps in the Merchant Shipping Act, 1958 <\/b><span style=\"font-weight: 400;\">and provides a forward-looking, holistic framework <\/span><b>aligned with global cabotage practices.<\/b><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"2\"><b>Decongest Overburdened Networks: <\/b><span style=\"font-weight: 400;\">This Bill aims to<\/span><b> boost coastal trade along with propelling inland waterways and riverine economie<\/b><span style=\"font-weight: 400;\">s while offering a low-cost, reliable, and sustainable alternative to overloaded road and rail networks.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"2\"><b>Reforms: <\/b><span style=\"font-weight: 400;\">The bill builds on key reforms,<\/span><b> including prior<\/b><span style=\"font-weight: 400;\">itised berthing, green clearance channels, and GST reduction on bunker fuel.<\/span><\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<div class=\"vc_table_green\"><\/p>\n<table style=\"width: 99.6375%;\">\n<tbody>\n<tr>\n<td style=\"width: 111.19%; text-align: center;\" colspan=\"2\"><span style=\"font-size: 18pt;\"><b>Also Read<\/b><\/span><\/td>\n<\/tr>\n<tr>\n<td style=\"width: 49.797%; text-align: center;\"><a href=\"https:\/\/pwonlyias.com\/stage\/editorial-analysis\/\" target=\"_blank\" rel=\"noopener\"><b>UPSC Daily Editorials<\/b><\/a><\/td>\n<td style=\"width: 61.393%; text-align: center;\"><a href=\"https:\/\/pwonlyias.com\/stage\/daily-current-affairs\/\" target=\"_blank\" rel=\"noopener\"><b>UPSC Daily Current Affairs<\/b><\/a><\/td>\n<\/tr>\n<tr>\n<td style=\"width: 49.797%; text-align: center;\"><a href=\"https:\/\/pwonlyias.com\/stage\/quiz\/\" target=\"_blank\" rel=\"noopener\"><b>Daily Current Affairs Quiz<\/b><\/a><\/td>\n<td style=\"width: 61.393%; text-align: center;\"><a 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recently.<\/p>\n","protected":false},"author":11,"featured_media":161163,"menu_order":0,"comment_status":"open","ping_status":"open","template":"","format":"standard","meta":{"rank_math_lock_modified_date":false,"footnotes":""},"tags":[],"paper-wise":[2084],"subject":[2124],"acf":[],"_links":{"self":[{"href":"https:\/\/pwonlyias.com\/stage\/wp-json\/wp\/v2\/current-affairs\/161178"}],"collection":[{"href":"https:\/\/pwonlyias.com\/stage\/wp-json\/wp\/v2\/current-affairs"}],"about":[{"href":"https:\/\/pwonlyias.com\/stage\/wp-json\/wp\/v2\/types\/current-affairs"}],"author":[{"embeddable":true,"href":"https:\/\/pwonlyias.com\/stage\/wp-json\/wp\/v2\/users\/11"}],"replies":[{"embeddable":true,"href":"https:\/\/pwonlyias.com\/stage\/wp-json\/wp\/v2\/comments?post=161178"}],"version-history":[{"count":2,"href":"https:\/\/pwonlyias.com\/stage\/wp-json\/wp\/v2\/current-affairs\/161178\/revisions"}],"predecessor-version":[{"id":161182,"href":"https:\/\/pwonlyias.com\/stage\/wp-json\/wp\/v2\/current-affairs\/161178\/revisions\/161182"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/pwonlyias.com\/stage\/wp-json\/wp\/v2\/media\/161163"}],"wp:attachment":[{"href":"https:\/\/pwonlyias.com\/stage\/wp-json\/wp\/v2\/media?parent=161178"}],"wp:term":[{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/pwonlyias.com\/stage\/wp-json\/wp\/v2\/tags?post=161178"},{"taxonomy":"paper-wise","embeddable":true,"href":"https:\/\/pwonlyias.com\/stage\/wp-json\/wp\/v2\/paper-wise?post=161178"},{"taxonomy":"subject","embeddable":true,"href":"https:\/\/pwonlyias.com\/stage\/wp-json\/wp\/v2\/subject?post=161178"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}