**Executive Summary**
This document, General Order No. 1 of 2026, issued by the Government of India's Ministry of Ports, Shipping and Waterways, revokes General Orders No. 1, 2, and 3 of 2018, citing the failure of those orders to achieve their intended objectives. The revocation is effective three months from the issuance date of January 21, 2026, to allow stakeholders to transition and adapt. The order tasks Indian law enforcement agencies to ensure compliance.
**Key Points / Main Content**
* **Revocation of General Orders:**
* General Orders No. 1 of 2018 (dated May 21st, 2018), No. 2 of 2018 (dated May 22nd, 2018), and No. 3 of 2018 (dated June 22nd, 2018) are revoked.
* **Reasons for Revocation:**
* The original objectives of reducing transshipment of Indian cargo through foreign ports, lowering freight costs, and increasing container availability were not met.
* Issues such as increased freight costs, container shortages, predatory practices by foreign carriers, and stagnation of the Indian container fleet persist.
* Indian trade remains reliant on foreign flag vessels.
* **Continuation of Notifications:**
* MoS Notifications dated May 21st, 2018, and May 22nd, 2018, remain in force until further orders.
* **Applicability of Merchant Shipping Act:**
* Sections 406 and 407 of the Merchant Shipping Act, 1958, along with existing regulations, continue to apply to vessels engaged in containerized cargo transportation, subject to relaxations provided under the notifications that remain in force.
* **Monitoring and Compliance:**
* Indian law enforcement agencies, Port Authorities, and Indian Customs are authorized to board and inspect vessels for compliance.
* **Online Portal:**
* Chartering permission and license issuance for foreign vessels are provided through the online platform "https://esamudra.dgshipping.gov.in".
* **Effective Date:**
* The revocation is effective three months from January 21st, 2026.
**Impact Analysis**
**Stakeholder**: Director General of Shipping, Directorate General of Shipping
* **Impact**: Responsible for being informed about the revocation of the specified General Orders and continuation of notifications.
* **Action Required**: Implement and communicate the changes to relevant parties.
**Stakeholder**: MD, Indian Port Association; Chairperson, All Major Ports; CEOs, State Maritime Boards; Captain of Ports, Goa
* **Impact**: Need to be aware of the revocation and its implications for port operations and shipping activities.
* **Action Required**: Adapt procedures and ensure compliance with the revised regulations.
**Stakeholder**: Indian Law Enforcement Agencies, Port Authorities, and Indian Customs
* **Impact**: Responsible for monitoring and enforcing compliance with the General Order.
* **Action Required**: Board and inspect vessels to ensure adherence to the order and other directives.
**Stakeholder**: Vessels engaged in the transportation of containerized cargo
* **Impact**: Subject to Sections 406 and 407 of the Merchant Shipping Act.
* **Action Required**: Vessels must comply with Sections 406 and 407 of the Merchant Shipping Act.
Key Entities Referenced
Merchant Shipping Act, 1958: The Act of Parliament under which the revoked General Orders were issued and which remains applicable to vessels engaged in transporting containerized cargo.
Ministry of Ports, Shipping and Waterways: The government ministry responsible for issuing and revoking the orders concerning the transshipment of cargo.
General Orders No. 1 of 2018, 2 of 2018, and 3 of 2018: Orders revoked by this document concerning the facilitation of coastal movement of EXIM containers.
New Delhi: Location where the order was issued.
Directorate General of Shipping: The department under Ministry of Ports, Shipping and Waterways to which the order is addressed.
No. SW-1 501 1 121201 6-MG(e-32261 4)
Government of lndia
Ministry of Ports, Shipping and Wateruvays
(Marine Development Section)
Transport Bhawan, 1, Parliament Street
New Delhi-1 10001
Dated 2't"t January, 2026
General Order No. 1 of 2026
Subject: Revocation ofGeneral Orders No. 1 of2018, 2ot2018, and 3 of2018
WHEREAS General Orders No. 1 ot 2018 dated 21"t May 2018, No. 2 of 2018
daled 22nd May 2018, and No. 3 of 2018 dated 22nd June 2018 were issued under sub-
section (1) of Section 407 of the Merchant Shipping Act, 1958 to facilitate the coastal
movement of EXIM transshipment containers, empty containers, agricultural and
horticultural products, and fertilizers on foreign flag vessels;
2.
AND WHEREAS these Orders were aimed at achieving objectives in the public
and national interest, including reducing the transshipment of lndian EXIM cargo through
forelgn ports, lowering freight costs, increasing container availability, and creating a
competitive ecosystem for lndian trade and logistics;
3.
AND WHEREAS despite the intent of the said Orders, representations have been
received from stakeholders highlighting that the objectives have not been achieved, with
issues such as increased freight costs, shortage of containers, predatory practices by
foreign carriers, and stagnation in the lndian-flagged container fleet persisting;
4.
AND WHEREAS Ministry of Ports, Shipping and Waterways has conducted a
detailed review of these Orders, including feedback obtained through public
consultations, detailed report of DG Shipping and trade inputs, and has observed the
following:
i.
Transshipment of lndian containerized cargo through foreign ports has not
decreased, nor has the cost for lndian exporters and importers been significanfly
reduced.
ii.
The anticipated increase in feeder capacity and availability of empty containers
has not materialized.
iii.
The lndian container fleet has stagnated, with little to no growth in tonnage or fleet
size, discouraging investment in the sector.
iv.
lndian trade remains heavily reliant on foreign flag vessels, making the country's
exports vulnerable to external market forces.
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Cont...2l-
,
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The continued lack of a substantial lndian container fleet has hindered lndia's
ability to reduce dependency on foreign carriers, impacting efforts to retain foreign
exchange and promote domestic shipping.
5.
AND WHEREAS the Ministry recognizes the need to promote lndian shipping
tonnage and ensure seamless transport of cargo along the lndian coast and
internationally to achieve lndia's $'1 trillion goods export target by 2030;
6.
NOW, THEREFORE in the exercise of the powers conferred under sub-section (3)
of Section 407 of the Merchant Shipping Act, 1958, the Central Government hereby
revokes the following General Orders:
i.
General Order No. 1 o'f 2018 dated 21st May 2018.
ii.
General Order No. 2 ol 2018 dated 22nd May 2018.
iii.
General Order No. 3 of 2018 dated 22nd June 2018.
.
7 Continuation of Notifications:
The following Notifications issued by the Ministry of Ports, Shipping and Waterways (then
Ministry of Shipping) shall remain in force, until further orders:
i.
MoS Notification dated 21"t May 2018.
ii.
MoS Notification daled22nd May 2018.
8.
Applicability of Section 406 and 407 of the Merchant Shipping Act, 1958:
The provisions of Sections 406 and 407 of the Merchant Shipping Act, '1958, along with
extant rules, regulations, and guidelines, shall continue to apply to vessels engaged in
the transportation of containerized cargo, subject to the relaxations provided under the
notifications mentioned in para 7 above.
9.
Monitoring and Compliance:
All lndian law enforcement agencies, inter alia, Port Authorities and lndian Customs, are
authorized to board and inspect vessels to ensure compliance with this Order and all
other directives issued by the Central Government.
10.
Online Portal for issuance of license
The chartering permission and issuance of license for foreign vessels are provided
through end-to-end digital platform "https:/iesamudra.dgshipping.gov. in".
Cont.. .3/
11.*rt'1"1'"'c-3-
11.
Effective Date:
This revocation shall take effect from 3 months from the issuance of this order, allowing
stakeholders to transition and adapt to the revised regulatory framework.
12.
This issues with the approval of the Competent Authority.
J,.1*1bilFlir.,.
(Sanjay Kurhat)
Under Secretary to the Govt. of lndia
Email id. ussm 1-psw@gov. in
Tel No.01 1-23714715
To:
Director General of Shipping
Directorate General of Shipping, Beta Building,
9th Floor l-Think Techno Campus
Kanjur Marg, Mumbai 400042
Copy to:
1. MD, lndian Port Association
2. Chairperson, All Major Ports
3. CEOs, State Maritime Boards
4. Captain of Ports, Goa