**Executive Summary**
This document reports on India's re-election to the International Maritime Organization (IMO) Council for the 2026-27 biennium and the advantages thereof. It also details plans approved by the Union Cabinet on 24.09.2025 to invest in shipbuilding through the Shipbuilding Financial Assistance Scheme (SBFAS) and Shipbuilding Development Scheme (SbDS). The information was presented to the Lok Sabha on 13.02.2026 in response to Unstarred Question No. 2417.
**Key Points / Main Content**
* **IMO Council Re-election:**
* India has been re-elected to the IMO Council for the 2026-27 biennium in Category B.
* India secured 154 out of 169 votes, the highest in Category B, during the elections on 28 November 2025.
* Category B represents countries with the largest interest in international seaborne trade.
* **Benefits of IMO Council Membership:**
* Ensures India's voice is heard in international conventions regarding safety, sustainability, and other maritime issues.
* Supports India's ambition to become a leading global maritime power.
* Benefits shipping, ports, shipbuilding, maritime services, and seafarers.
* **Shipbuilding Investment Plans:**
* The Union Cabinet approved two schemes on 24.09.2025: the Shipbuilding Financial Assistance Scheme (SBFAS) and Shipbuilding Development Scheme (SbDS).
* **Shipbuilding Financial Assistance Scheme (SBFAS):**
* Has a corpus of ₹24,736 crore.
* Will provide financial support of 15–25% per vessel.
* Will introduce shipbreaking credit note providing shipowners with 40% of the vessel's fair scrap value.
* Aims to establish the National Shipbuilding Mission to oversee implementation and coordination.
* Supports ₹96,000 crore worth of shipbuilding over the next decade.
* **Shipbuilding Development Scheme (SbDS):**
* Has a corpus of ₹19,989 crore.
* Aims to accelerate India's shipbuilding capacity through targeted interventions.
* Key components include:
* ₹9,930 crore for Greenfield Clusters.
* ₹8,261 crore for Brownfield Expansion.
* ₹1,443 crore for Shipbuilding Risk Coverage.
**Impact Analysis**
**Shipping Companies:**
* **Impact:**
* Potential to benefit from the Shipbuilding Financial Assistance Scheme, which provides financial support per vessel and shipbreaking credit notes.
* **Action Required:**
* Understand and apply for the SBFAS scheme to benefit from the financial support and shipbreaking incentives.
**Shipyards:**
* **Impact:**
* Potential to benefit from the Shipbuilding Development Scheme, which is designed to expand shipbuilding capacity and mitigate risks.
* **Action Required:**
* Understand and apply for SbDS funding to support infrastructure upgrades, modernization, and risk mitigation.
**Maritime Sector:**
* **Impact:**
* India's position within the IMO council impacts the regulations and global agreements of the industry.
* **Action Required:**
* Monitor the outcome of the IMO council.
Key Entities Referenced
International Maritime Organization (IMO) Council: Governing body of the IMO, responsible for maritime safety and environmental protection.
Shipbuilding Financial Assistance Scheme (SBFAS): Scheme to provide financial support for shipbuilding in India, promoting ship recycling and new builds.
Shipbuilding Development Scheme (SbDS): Scheme to accelerate India's shipbuilding capacity through infrastructure development and risk mitigation.
Ministry of Ports, Shipping and Waterways: Indian government ministry responsible for ports, shipping, and waterways.
National Shipbuilding Mission: Aiming to oversee implementation and coordination of shipbuilding related activities.
GOVERNMENT OF INDIA
MINISTRY OF PORTS, SHIPPING AND WATERWAYS
LOK SABHA
UNSTARRED QUESTION NO. 2417
ANSWERED ON 13.02.2026
INTERNATIONAL MARITIME ORGANISATION COUNCIL
2417. DR. C M RAMESH:
Will the Minister of PORTS, SHIPPING AND WATERWAYS be pleased to state:
प(cid:517)न,पोत प(cid:303)रवहन और जलमाग(cid:330) मं(cid:361)ी
(a) whether it is true that India has been re-elected to the International Maritime
Organisation Council;
(b) if so, the details of the advantages of being elected to the above forum and the
extent to which this position is likely to be helpful to India’s global maritime sector;
and
(c) the details of plans that the Government chalked out to invest US$ 1 Trillion in the
coming years?
ANSWER
MINISTER OF PORTS, SHIPPING AND WATERWAYS
(SHRI SARBANANDA SONOWAL)
(a) Yes, India has been re-elected to the International Maritime Organization
(IMO) Council for the 2026-27 biennium in Category B, securing 154 out of 169 votes
(highest in the category) during the elections held on 28 November 2025 at the 34th
Session of the IMO Assembly. Category B represents countries with the largest
interest in international seaborne trade.
(b) India has been a longstanding member of the IMO Council under Category B
since its inception. IMO develops international regulations for maritime safety and
environmental protection, formulates international treaties and conventions like
SOLAS and MARPOL, monitors compliance and implementation of conventions and
provides technical assistance and training to developing countries. Being a member
of the IMO Council ensures that India's stance is clearly heard when international
conventions regarding safety, sustainability and other pertinent issues are discussed
in IMO. India’s sustained leadership and constructive engagement at IMO directly
support its ambition to emerge as a leading global maritime power, benefiting
shipping, ports, shipbuilding, maritime services, and seafarers alike.
(c) The Union Cabinet, in its meeting held on 24.09.2025, approved two
schemes i.e. Shipbuilding Financial Assistance Scheme (SBFAS) to promoteshipbuilding in India and Shipbuilding Development Scheme (SbDS) for Capacity &
Capability development and credit risk coverage for shipbuilding in India.
The Shipbuilding Financial Assistance Scheme (SBFAS), with a corpus of
₹24,736 crore, will provide financial support of 15–25% per vessel and introduce
shipbreaking credit note that will provide shipowners with 40% of the vessel’s fair
scrap value as an incentive for recycling and supporting new builds in India. The
scheme also aims to establish the National Shipbuilding Mission to oversee
implementation and coordination, supporting ₹96,000 crore worth of shipbuilding
over the next decade.
Shipbuilding Development Scheme (SbDS), with a corpus of ₹19,989 crore is
designed to accelerate India’s shipbuilding capacity through targeted interventions
for new infrastructure, modernization of existing facilities, and risk mitigation. The
Key Components of SbDS are as follows:
Capital Support for Greenfield Clusters: ₹9,930 crore is allocated to create
multiple shipbuilding clusters equipped with common maritime infrastructure
such as breakwaters, channel and basin development, land reclamation,
internal connectivity, and regional capability development centers.
Capital Assistance for Brownfield Expansion: ₹8,261 crore is allocated to
assist existing shipyards in expanding production capacity.
Shipbuilding Risk Coverage: ₹1,443 crore is proposed for risk coverage
through insurance instruments such as Pre-Shipment Insurance, Post-
Shipment Insurance, and Vendor Default Insurance. This measure aims to
safeguard shipyards against financial uncertainties and enhance confidence
in long-term investments.
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