Merchant Shipping Bill – Modernising India’s Maritime Law

Maritime Law Latest News

• Parliament has passed the Merchant Shipping Bill, 2024 and the Carriage of Goods by Sea Bill, 2025, to modernise India’s maritime laws and align them with global standards.

Introduction

• In a significant move to overhaul India’s maritime legal infrastructure, Parliament has passed two landmark legislations: the Merchant Shipping Bill, 2024 and the Carriage of Goods by Sea Bill, 2025. 
• These Bills aim to modernise outdated maritime laws, bring India in line with international maritime conventions, and support the country’s ambitions to become a leading player in global shipping and trade.

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Modernisation of India’s Maritime Legal Framework

• India’s maritime sector had long been governed by the Merchant Shipping Act of 1958 and the Indian Carriage of Goods by Sea Act, 1925, both of which had become outdated, fragmented, and inadequate for handling contemporary maritime challenges. 
• The newly passed Bills represent a decisive departure from these colonial-era frameworks.
• According to the Union Ministry of Ports, Shipping and Waterways, the reforms signal a “double endorsement” of the Centre’s push toward modern shipping infrastructure and legal clarity.

Merchant Shipping Bill, 2024

• This Bill replaces the old 1958 Act with a comprehensive and future-ready legal structure. 
• With 16 Parts and 325 clauses, it simplifies compliance, strengthens safety norms, and reflects India’s commitments under key International Maritime Organisation (IMO) conventions.
• Key Features:
  • Seafarer Welfare: Prioritises working conditions, welfare, and protection of Indian and foreign seafarers operating under Indian jurisdiction.
  • Safety and Emergency Response: Strengthens frameworks for ship safety, emergency preparedness, and marine pollution control.
  • Environmental Protection: Integrates IMO protocols to safeguard marine ecosystems.
  • Tonnage Promotion: Encourages the registration of ships under the Indian flag to boost domestic tonnage.
  • Compliance Simplification: Consolidates fragmented provisions, thereby reducing red tape for maritime operators.
• The Government stressed that the legislation not only updates India’s shipping law but also positions the country as a “globally respected maritime jurisdiction” ready for sustainable growth and investment.

The Carriage of Goods by Sea Bill, 2025

• This Bill repeals the Indian Carriage of Goods by Sea Act, 1925 and brings in a modern legal structure to regulate cargo movement via sea. 
• It is particularly significant for exporters, importers, shipping companies, and insurers.
• Key Features:
  • Hague-Visby Rules Compliance: Aligns India’s cargo liability laws with globally accepted standards followed by countries like the UK, simplifying cross-border transactions.
  • Commercial Efficiency: The new rules enhance transparency in contracts and dispute resolution, helping to reduce litigation and boost investor confidence.
  • Trade Facilitation: It streamlines the legal process surrounding cargo shipping, making India more attractive to international shipping and logistics companies.

Strategic Significance for India’s Maritime Sector

• Together, the two Bills lay the foundation for India’s blue economy by:
  • Promoting ease of doing business in maritime logistics.
  • Unlocking investment potential in ports, shipbuilding, and maritime technology.
  • Supporting India’s maritime security architecture through better legal and regulatory frameworks.
  • Creating opportunities for green maritime initiatives and sustainable coastal development.
• The reforms are also expected to generate employment, especially in coastal states, and enhance India’s capability to compete with global maritime powers such as Singapore, China, and the UAE.

Source : TH