Draft Indian Ports Bill, 2022

Context

The Government of India has prepared the draft Indian Ports Bill, 2022 to consolidate and amend the laws relating to ports.

India has a 7,500 km long coastline, 14,500 km of potentially navigable waterways and strategic location on key international maritime trade routes.
About 95% of India’s trade by volume and 65% by value is done through maritime transport facilitated by ports.
Under the aegis of the Sagarmala project of the Ministry of Ports, Shipping and Waterways, several initiatives on port-led development have been identified and launched.
The ongoing developments and committed investments (public and private) in ports needs to be aided by scientific and consultative planning, with a keen focus on ever increasing safety, security and environmental issues.
The draft bill seeks to repeal and replace the existing Indian Ports Act, 1908.
The Ministry of Ports, Shipping and Waterways has issued Draft Indian Ports Bill, 2022 for Stakeholder Consultation.
The proposed bill will homogenize and streamline the development of the maritime sector, along with, promoting ease of doing business by eliminating unnecessary delays, disagreements and defining responsibilities.
It will incorporate State Maritime Boards in the national framework.

Promote integrated planning between States inter-se and Centre-States through a purely consultative and recommendatory framework
Ensure prevention of pollution measures for all ports in India while incorporating India’s obligations under international treaties
Address lacunae in the dispute resolution framework required for burgeoning ports sector
Usher-in transparency and cooperation in development and other aspects through use of data.

Ports play a very central role in the development of a nation.
Cost, capacity, and ease of transportation via ports are most effective compared to other modes available.
India has 13 major seaports (12 Government-owned and one private) and 205 notified minor and intermediate ports that handle a huge volume of traffic.

The Union Government has allowed Foreign Direct Investment (FDI) of up to 100% under the automatic route for port and harbour construction and maintenance projects.
Government has also facilitated a 10-year tax holiday to enterprises that develop, maintain and operate ports, inland waterways and inland ports.