Parliament Clears Maritime Bills to Modernize India’s Shipping Sector

In a transformative step for India's maritime governance, Parliament on Wednesday passed two landmark legislations — the Merchant Shipping Bill, 2025 and the Carriage of Goods by Sea Bill, 2025 — laying the foundation for a globally aligned, modern, and efficient maritime legal framework. These are the first-ever comprehensive maritime legislations under the Ministry of Ports, Shipping and Waterways (MoPSW), signaling a paradigm shift from colonial-era laws to a future-ready maritime policy ecosystem.

A Dual Legislative Milestone

• Merchant Shipping Bill, 2025: Passed in the Lok Sabha, this bill repeals the Merchant Shipping Act of 1958, which had grown outdated, fragmented, and overly complex with 561 sections. The new Bill consolidates maritime governance into a streamlined, 325-clause framework across 16 parts, in line with modern practices and international obligations.

• Carriage of Goods by Sea Bill, 2025: Passed in the Rajya Sabha, this legislation replaces the Indian Carriage of Goods by Sea Act, 1925, a colonial relic. It aligns India's cargo movement laws with internationally recognised Hague-Visby Rules and aims to simplify legal frameworks, reduce litigation, and improve business confidence in India’s shipping sector.

Visionary Leadership Behind the Reform

Union Minister of Ports, Shipping & Waterways, Shri Sarbananda Sonowal, described the dual passage as “historic,” emphasizing that the move reflects Prime Minister Narendra Modi’s vision to modernize India’s maritime landscape in both policy and execution. “Today, with the passage of the bills, the Modi government’s push for India’s modern shipping gets double endorsement from the Parliament,” he said.

Introducing the Merchant Shipping Bill in the Lok Sabha, Shri Sonowal underlined that the legislation is not just a legal reform, but a strategic repositioning of India as a global maritime leader. He noted the Bill’s focus on:

• Compliance with International Maritime Organization (IMO) conventions

• Enhanced safety protocols at sea and emergency preparedness

• Stronger environmental safeguards

• Seafarer rights and ship safety

• Promotion of Indian shipping tonnage

• Streamlined compliance for maritime businesses

The Bill is expected to unlock sustainable growth, investment, and technological innovation across the maritime sector, aligning India’s maritime legal ecosystem with best-in-class global practices.

Replacing Colonial Legacy with Progressive Standards

The Carriage of Goods by Sea Bill, 2025, introduced in the Rajya Sabha by Shri Shantanu Thakur, Union Minister of State for MoPSW, reflects a broader governmental commitment to dismantle colonial-era legal vestiges. Highlighting the broader reform context, Thakur stated:

“This Bill is not merely a statutory reform—it reflects a broader philosophy of governance led by our Prime Minister: to replace complexity with clarity, outdated norms with modern standards, and colonial remnants with forward-looking laws that serve the interests of a resurgent India.”

This Bill not only strengthens the legal foundation for maritime trade but also supports India’s trade commitments under agreements such as the Comprehensive Economic and Trade Agreement (CETA) with the United Kingdom.

Industry and Political Consensus

Both Bills received strong bipartisan support, with members acknowledging the importance of an updated, industry-friendly maritime framework. In Rajya Sabha, issues related to maritime security and smuggling risks were raised. The government responded by assuring that both statutory mechanisms and operational frameworks are in place to address such challenges.

These legislations also form part of the larger legal reform wave over the past decade under PM Modi’s leadership — aimed at promoting ease of doing business, ensuring clarity and predictability in maritime operations, and enabling India’s emergence as a reliable maritime trade hub in a rapidly changing global trade landscape.

A Maritime Future Reimagined

With these landmark bills, India signals its intent to take its rightful place among the world's leading maritime nations. The legislations promise to transform India’s ports, shipping, and waterways into engines of growth that are globally competitive, environmentally sustainable, and legally robust.

The passage of these bills marks not just the end of an era of outdated laws, but the beginning of a new chapter in India’s maritime journey — one that is technologically advanced, globally harmonised, and firmly rooted in national priorities.