Explainer: Indian Ports Bill 2025 – Modernising India’s Maritime Future

On 12 August 2025, the Lok Sabha passed the Indian Ports Bill, 2025, marking a major reform in India’s maritime sector. The legislation, introduced by Union Minister of Ports, Shipping & Waterways Sarbananda Sonowal, replaces the more than century-old Indian Ports Act, 1908 with a modern framework designed to support trade efficiency, sustainability, and cooperative federalism in port governance.

Why the Change Was Needed?

The Indian Ports Act, 1908 was enacted during colonial times and governed India’s ports for over a century. However, with the rapid growth of global trade, containerised cargo, and environmental challenges, the old law became outdated. The government linked the reform to its Sagarmala Programme and Maritime India Vision 2030, with the broader goal of making India a leading maritime nation by 2047.

Key Objectives of the Bill

• Replace archaic rules with modern, transparent, efficiency-driven governance.

• Strengthen cooperative federalism through a new central-state coordination body.

• Improve ease of doing business via digitised procedures.

• Promote environmental sustainability and green ports.

• Encourage investment by clarifying PPP and FDI rules.

• Standardise safety and operational protocols across all Indian ports.

Major Provisions of the Bill

1. Institutional Reforms

• Maritime State Development Council (MSDC): A new body with representation from both the Centre and States, tasked with coordinating port development strategies and resolving disputes.

• State Maritime Boards: Strengthened to oversee non-major ports, expansion projects, and modernisation.

• Dispute Resolution Committees: Fast-track mechanisms to settle conflicts among ports, service providers, and users.

2. Operational Reforms

• Tariff Autonomy: Ports gain flexibility to set competitive tariffs under transparent guidelines.

• Integrated Planning: Long-term strategies for cargo growth, connectivity, and coastal shipping.

• Digitalisation: End-to-end online port operations to cut red tape and reduce turnaround times.

• Boost to Coastal Shipping: Better integration with inland waterways and multimodal transport systems.

3. Environmental & Safety Measures

• Waste Reception Facilities at all ports.

• Compliance with MARPOL and Ballast Water Management conventions.

• Emergency Preparedness Plans for disasters and security threats.

• Promotion of renewable energy and use of shore power systems to cut emissions.

The Bigger Picture

By modernising governance and introducing green, digital, and competitive reforms, the Indian Ports Bill, 2025 seeks to turn India’s ports into engines of economic growth. The law not only aligns India’s maritime sector with global best practices but also strengthens the Prime Minister’s vision of “Ports for Prosperity.”

If implemented effectively, the Bill could transform India’s ports into world-class hubs, supporting trade, sustainability, and the country’s rise as a global maritime power.