Major ports to move to PPP mode, will offer Rs 2,000-cr projects to private players: FM

• Rs 1,624 crore subsidy support to Indian shipping companies to promote flagging of merchant ships in India

• Recycling capacity of around 4.5 million Ldt to be doubled by 2024 to generate an additional 1.5 lakh jobs

New Delhi: Seven projects worth more than Rs 2,000 crore will be offered by major ports on public private partnership (PPP) mode in FY21-22, said Finance Minister Nirmala Sitharaman on Monday. "Major ports will be moving from managing their operational services on their own to a model where a private partner will manage it for them," said the minister while presenting the Union Budget 2021-22 on Monday.

To promote flagging of merchant ships in India, Sitharaman, in her budget speech, also proposed to launch a subsidy support scheme of Rs 1,624 crore in global tenders floated by ministries and PSUs over five years to Indian shipping companies. She emphasised that this initiative would enable greater training and employment opportunities for Indian seafarers besides enhancing Indian companies share in global shipping.

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Smt. Sitharaman also proposed to double the ship recycling capacity of around 4.5 Million Light Displacement Tonne (LDT) by 2024. "India has enacted Recycling of Ships Act, 2019 and acceded to the Hong Kong International Convention (HKC). Around 90 ship recycling yards at Alang in Gujarat have already achieved HKC-compliant certificates. Efforts will be made to bring more ships to India from Europe and Japan. Recycling capacity of around 4.5 Million Light Displacement Tonne (LDT) will be doubled by 2024. This is expected to generate an additional 1.5 lakh jobs for our youth," said the minister.

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