Lok Sabha Question No. 4291 (UNSTARRED), answered on 2019-07-18
Subject: Shipping Development Projects
Ministry: SHIPPING
Asked by: Mohanbhai Kalyanji Kundariya

## GOVERNMENT OF INDIA MINISTRY OF SHIPPING

## LOK SABHA UNSTARRED  QUESTION NO. 4291

TO BE ANSWERED  ON 18TH JULY, 2019

## SHIPPING DEVELOPMENT  PROJECTS

## 4291. SHRI MOHANBHAI KALYANJI KUNDARIYA:

Will the Minister of SHIPPING  be pleased to state: ltf, cftq-{r {fr

- (a) the details  of ongoing  shipping  development  projects in the country,  State/UTwise;
- (b) whether a large number of ongoing shipping  projects  with private participation have missed their deadline  for completion  in the country and if so' the details thereof,  along  with the reasons therefor, project -wise;
- (c) whether the Government  proposes to review  such projects;
- (d) if so, the details thereof along with the time by which the process of such review is likely to be completed;  and
- (e) the steps taken/being  taken by the Government for strengthening  the shipping sector and make it internationally  competitive?

## ANSWER

## MINISTER OF STATE (INDEPENDENT CHARGE) FOR SHIPPING (SHRI MANSUKH MANDAVIYA)

- (a) Development  of Shipping  including shipbuilding,  ship repair and shipping services  is primarily a private sector activity. To promote ship building in the country a scheme to provide financial  assistance to shipyards is being implemented.  cochin Shipyard Ltd. (CSL), a PSU of Ministry  of Shipping is presently imp ementing two major projects  viz. Large Dry Dock at CSL premises  and an lnternational Ship Repair Facility  on land leased  from cochin Port Trust. The implementation  of both these projects is progressing smoothly.
- (b) Expansion. modernization  and upgradation  of Major Ports meant to promote shipping and trade in the country is an ongoing  process. This is done through various infrastructure  projects conceived by the ports and implemented

either from the ports  own resources or through Public  Private  partnership  (ppp) mode. Most of these pro.jects,  after award are executed as per the relevant contractual  timelines.  However,  a few projects could not progress  as per the contractual timelines  for various  reasons  like delays in environment  clearance,  nonfulfillment of the conditions precedent, lack of funds with the concessionaire  etc.

- (c) & (d) Yes, Sir. The various government  projects  in the ports  and shipping  sector are monitored  regularly at various levels in the concerned organizations  as well as in the Ministry  of Shipping to ensure  their timely completion.
- (e) Various measures have been taken in recent years  to make the shipping industry more attractive and competitive.  These are reduction  in GST from 1g% to 5% on bunker fuel used in lndian  flag vessels; providing  cargo support to lndian shipping industry  through  Right  of First Refusal (RoFR); allowing  shipping enterprises  based in lndia to acquire ships abroad and flag them in the country of their convenience; bringing in parity in the tax regime of lndian seafarers employed  on lndian  flag ships vis-i-vis those on foreign flag ships; removal of licensing requirement  for chartering of foreign registered ships by citizens  of lndia; encouraging coastal movement of agriculture  and other commodities,  fertilizer,  EXIM Transshipment  containers  and Empty containers  etc.