New Delhi: The Union Cabinet on Wednesday approved the Container Manufacturing Promotion Scheme (CMPS) with a budgetary outlay of Rs 10,000 crore up to FY40 to promote a globally competitive container manufacturing ecosystem in India.
According to an official statement, the scheme has the following major components -- interest subvention assistance (ISA), operational expenditure assistance (OEA), testing and certification assistance and land leasing support and operational expenditure assistance.
Follow The PSUWatch Channel on WhatsApp
"The Union Cabinet, chaired by the Prime Minister Narendra Modi, has approved the Container Manufacturing Promotion Scheme (CMPS) with budgetary outlay of Rs 10,000 crore up to FY 2039-40 envisages to establish a globally competitive container manufacturing ecosystem in India, reduce import dependence and strengthen supply-chain resilience.
"The scheme is intended to support new manufacturing facilities as well as expansion of existing container manufacturing units," the statement said.
The scheme for container manufacturing was announced in the Union Budget 2026–27.
"The Union Cabinet has approved a container manufacturing promotion scheme with an outlay of Rs 10,000 crore," I&B Minister Ashwini Vaishnaw said in a press conference.
The statement explained that interest subvention assistance, with a financial outlay of Rs 859 crore, will provide interest subvention of 3 percent per annum on eligible term loans (capital loans) availed by container manufacturers for setting up of greenfield container manufacturing facilities and brownfield expansion of existing container manufacturing capacities.
Operational Expenditure Assistance, with a financial outlay of Rs 8,891 crore, will provide financial assistance for all containers manufactured as per global shipping standards and sold by eligible container manufacturers. This would help bridge the cost gap and improve the competitiveness of domestically manufactured containers.
Follow PSU Watch on LinkedIN
The scheme aims to increase annual domestic container manufacturing capacity by around ten-fold, up to 7.5 lakh TEUs (twenty-foot equivalent units).
The statement said it will create an internationally competitive manufacturing base, with potential to position India as a global export hub for quality shipping containers.
The Container Manufacturing Promotion Scheme is expected to generate an estimated 3,000 direct jobs and over 50,000 indirect jobs, while supporting ancillary industries such as corner castings, specialised steel, wooden frames and paints, it added.
(PSU Watch is India's Business News centre that places the spotlight on PSUs, Bureaucracy, Defence and Public Policy. 👉 Click to join our channel now: PSUWatch WhatsApp Channel. Prefer LinkedIn? Follow PSU Watch on LinkedIN. Click to stay connected on Twitter here and stay updated)