Policy Update
Ashutosh Shukla
Background
India, country with vast coastline of 7,517 kilometres and 14,500 kilometres of navigable waterways which possesses huge potential in maritime sector, seeing the potential of enormous coast and waterways, Government of India under Ministry of Port, Shipping and Waterways launched the Sagarmala Project in 2015 which included comprehensive as well as strategic framework for port led development with aim to integrate the port development with industrial expansion, community upliftment and connectivity enhancement.
The project is a key pillar of India’s ambitious Maritime Amrit Kaal Vision 2047, serving as a driving force to become a global leader in maritime affairs. More than 100 port modernisation projects, valued at approximately ₹32,600 crore, have added 230 MTPA to port capacity. Additionally, over 80 port connectivity projects worth around ₹52,000 crore have enhanced 1,500 km of connectivity to ports.
Key Objectives
To reduce the cost while streamlining logistics, enhancing trade, and also shifting from the traditional and infrastructure-heavy transports, modernise the ports into world-class port facilities with capacity enhancement, also connecting the ports in a way that it becomes more integrated with hinterland connectivity, particularly through multimodal transportation, inland waterways, railways and pipelines. Another primary objective of the project also focuses on long-term port-led industrialisation through the establishment of Coastal Economic Zones.
Institutional Framework
The institutional framework of Sagarmala includes the National Sagarmala Apex Committee, chaired by the Minister of Shipping. Also, it includes cabinet ministers from stakeholder ministries and chief ministers or ministries of ports of maritime states, which helps in overall guidance. Overall policy guidance, review various aspects of planning, approve national perspective in the plan and provide guidance for implementation. The State Sagarmala Committee, chaired by the chief minister or the minister in charge of ports and relevant departments and agencies, has the role of coordinating and facilitating Sagarmala-related projects, as well as addressing priority matters as decided upon in the NSAC.
Achievements
Sagarmala, so far, has delivered positively, as part of this programme, nearly 839 projects which are estimated to cost around 5.79 lakh crores, have been identified for the implementation by the Ministry of Ports, Shipping and Waterways. As of March 2025, 272 projects have been completed, accounting for an investment of 1.41 lakh crores, making the country’s ports faster, boosting the coastal economy while reviving waterways, which led to improving global logistics rankings.
The major pillars that determine the growth and progress of the Sagarmala showcase its progress. The port modernisation forms the largest share of the total investment, 234 projects for 2,91,622 Cr. Have been undertaken for implementation, out of 234 94 projects worth 31,517 Cr have been completed, and 65 projects worth 79,958 Cr are under implementation. 14 projects related to the development of new ports with an estimated investment of Rs. 1,70,842 Cr. There are 45 projects worth Rs. 47,166 Cr. identified under the Sagarmala Programme for implementation at Non-Major Ports. 4 projects worth Rs. 5419 Cr. have been completed so far, whereas 17 projects worth Rs. 27,673 Cr. are currently under implementation.
Port connectivity enhancement in which out of 279 projects, 82 projects worth Rs. 41,780 Cr. have been completed, and 67 projects worth Rs. 81,191 Cr. have been awarded and are currently under implementation. There are 114 port-rail connectivity projects worth Rs. 1,00,599 Cr. that have been taken up by MoPSW with Indian Railways, Major Ports, and Maritime Boards. There are 152 port-road connectivity projects identified for a total estimated investment of Rs. 98,422 Cr. Implementation of these projects is being done by MoRTH, Major Ports, Maritime Boards, and State Road Development Companies.
Port-led industrialisation has witnessed relatively slower growth, in which there are overall only 14 projects worth Rs. 55,887 Cr. identified so far for implementation under of which only 9 projects worth Rs. 45,865 Cr. have been completed, and 3 projects worth Rs. 9,247 Cr. are under implementation. Under this pillar, these projects aim to establish Coastal Economic Zones.
Coastal Community Development ensures maritime development in a socio-economic inclusive way. 21 projects have been completed are 32 are being implemented, while more than 25 remain in the planning. All these initiatives under this pillar majorly focus on skill development and employment generation.
Another significant pillar of this programme is Coastal Shipping and Inland Water Transport, in which more than 40 projects have been completed and more than 55 are under execution, while more than 115 projects are in development. Overall, 262 projects worth 1.40 lakh crore have been completed so far, reflecting tangible progress. Projects worth around 1.6 lakh crore are under implementation.
Impacting the multiple fronts
The Programme significantly impacted on multiple fronts, starting from a reduction in logistics costs. With the programme, multimodal connectivity has been enhanced, especially through the coastal and inland shipping and waterways, reducing fuel consumption per tonne-kilometre compared to road transport. Sagarmala also employed over 1 million direct and indirect opportunities through industrial clusters, logistics hubs, and coastal services. At the same time, Sagarmal has significantly improved port facilities and port efficiency with technical adaptation, which has led to better turnaround times.
With this programme, upliftment of coastal communities has been done with coastal community development under skill development, which has enabled livelihood diversification and economic empowerment in coastal areas. Most importantly, Sagarmala has provided a strategic maritime advantage and has strengthened India’s regional maritime presence.
Emerging Issues and Possible Solutions
Regarding Programme there are few challenges still one of it is environmental concerns the 2019 Coastal Regulation Zone notification amendments which exempted Sagarmala and Bharatmala from certain environmental safeguards which led to the fear of the coastal degradation and increased erosion, it also has led to displacement of fishing community’s underutilisation of the inland ports emerged as a problem where shortage of commercial grade inland vessels limited the viability of IWT. One of the major issues is the lack of Dual-Use ports by which costs and efforts could be reduced, and it would also address both trade and strategic purposes.
These challenges and issues if remain unsolved could create deadlock in terms of growth and trade flow, to address these challenges both Nodal and working ministries should propose and find gaps within the issues of the programs “Institutional Strengthening” which can help to prevent further issues, with inter-ministerial coordination where performance linked wages for states shall be provided regularly which can help expenditure project execution.
As India is leader of Global Renewable energy, promotion of renewable energy like solar, wind in terms of any cargo- handling which is electrical at the same time community inclusive planning with fishermen, small traders and coastal residents would help to reduce the burden of state where skill development specifically in coastal areas would be provide which. Parliamentary Standing Committee has also recommended establishing a dedicated maritime development fund, which can provide low-cost finance to the private players by which more economical engagement will happen.
Way Forward
There are few points which need to be noted to make further improvements such as Sagarmala port expansion program should be more integrated with environmental norms and regulations, where sustainability must be centre of focus with use of Dual-Energy Track with both Traditional and Renewable, where Ministry should focus on Separate Environmental and Clean Energy Assessment body with experts of the fields will contribute in a better way.
The major focus should be on maximising the strategic value of the ports, dual-use ports development programs, which can help in achieving national and geopolitical imperatives, both regarding trade expenditure and strategic alignment.
Both the inclusive growth model and public-private synergies would help program more on expansion and sustainability process, the policies must prioritise the integrated approach where the PPP, along with including the coastal communities, where these communities would get support in terms of community owned micro businesses.
Deepening engagement with island nations with good port facilities and analysing the factors of their growth would help India to know the smart port ecosystems such as those in Singapore, Japan, and the Netherlands.
Conclusion
Sagarmala Programme is not only an economically focused programme of the Ministry of Ports, Shipping and Waterways, but it also stands at the intersection of socio-geoeconomic and geostrategic points. Through the port-led industrialisation, enhanced and effective maritime-centric logistics with coastal community-led development. India aspires to become a leader both regionally within the IOR and globally. The success of the programme depends on its strategic vision, infrastructure expansion, and economic balance with sustainability and social inclusion, which will lead the maritime-based economy into a more stable and robust position.
References
About Author: Ashutosh Shukla is a Research Intern at IMPRI, with a Master’s in International Relations and Strategic Studies from the University of Mumbai. His research interests include foreign policy, diplomacy, and International Relations.
Acknowledgement: The author extends his sincere gratitude to the IMPRI team and Ms. Aasthaba Jadeja for their invaluable guidance throughout the process.
Disclaimer: All views expressed in the article belong solely to the author and not necessarily to the organisation.
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