India has taken another decisive step in modernizing its economy. On Monday (August 18, 2025), the Rajya Sabha passed the Indian Ports Bill, 2025, replacing the colonial-era Indian Ports Act of 1908, a law that had been in place for more than a century.
The new law marks the end of an outdated framework designed for a very different time — when ports were tools of imperial trade rather than engines of national growth. Today, ports are at the heart of India’s ambition to become a global economic power.
Union Ports, Shipping and Waterways Minister Sarbananda Sonowal, who piloted the legislation, called it
“a milestone reform that unlocks India’s maritime potential”. He added that ports are no longer just gateways for goods, but “engines of growth, employment, and sustainable development.”
Why a New Law Was Needed
For decades, India’s maritime sector has grown despite being governed by the archaic 1908 law. Cargo handling at major ports has nearly doubled in the last decade, turnaround times for ships have been halved, and Indian ports are now finding places in the World Bank’s global performance rankings.
Yet, the legal framework remained stuck in the past — lacking provisions for environmental safeguards, long-term planning, and digital governance. Industry leaders had long argued that a modern, international-standard law was necessary if India wanted to compete with global port powers like Singapore, Europe, and the United States.
What the Bill Brings
The Indian Ports Bill, 2025 creates the Maritime State Development Council (MSDC) — a statutory body to ensure coordination between the Centre and coastal States. It will draft a National Perspective Plan to align India’s port development strategy.
It empowers States to establish State Maritime Boards, bringing transparency and uniform governance across over 200 non-major ports in addition to the 12 major ones. It also mandates international green standards — such as compliance with MARPOL conventions and emergency preparedness systems.
The Bill emphasizes digitalisation as well, through tools like a Maritime Single Window and advanced traffic management systems — measures that will cut costs, reduce bottlenecks, and improve efficiency.
Dispute Resolution Committees will provide faster, sector-specific redressal, a step away from long court delays.
Cooperative Federalism and Global Vision
Sonowal highlighted that the law is not just about modernization but also about federal partnership — ensuring the Centre and States move together in shaping India’s maritime future.
He framed it as part of Prime Minister Narendra Modi’s larger vision of a “Viksit Bharat by 2047” — a developed India that is also a maritime leader in the Indo-Pacific.
Politics in the Background
The bill passed despite opposition protests, with parties walking out over unrelated issues such as the Special Intensive Revision (SIR) of voters’ lists in Bihar. The debate in the Rajya Sabha was marked by disruptions and heated exchanges, though the bill ultimately sailed through with government support.
Ports handle more than 90% of India’s trade by volume. With this reform, India is trying to ensure its maritime sector keeps pace with its economic rise. By replacing a colonial law with a forward-looking framework, New Delhi is sending a strong message — that it intends not just to participate in global trade but to shape it.
Sarbananda Sonowal is a prominent Indian politician who has served as the Minister of Ports, Shipping and Waterways since 2021. In the words of Sonowal, “India moves from catch-up mode to global maritime leadership.”
