ROLE OF SHIPPING IN INDIAN ECONOMY

INTRODUCTION:-

As we know that shipping is the most efficient and very cost effective way of transportation, not even in present era but also in the previous year shipping was the one and only way of transportation. if we see the history of development of any country then shipping and shipping related activities act a vital role. it mean that without shipping the world trade was not possible even also in ancient history people also used it as a traveling convenience.

Apart from all these facts if we talk about India then we know that Indian has a very vast coastal area which is near about 6500 km, and there is also 12 major ports and 120 minors ports situated on it, and also somewhere shipping directly or indirectly affects the economy of India because 65% of the foreign trade done by shipping only. There is also some activities associated with shipping such as ship manufacturing, ship braking, port activities and export and import .so by all these we can easily see that shipping is how much important in Indian economy.

SHIPPING

Shipping is a cyclical business and is affected by ship-manufacturing activity

Around the world. When demand for tonnage increases, new ships are ordered.

Following the current surge in demand, order books for new ships are at an all

time high. Other interesting trends in the sector include increasing ship sizes, the

integration of shipping lines and port operators, efforts towards horizontal integration/alliances, etc. These trends have increased the bargaining power of shipping lines vis-à-vis other players in the value chain. The Indian shipping industry has also been increasing capacity. Many players have developed expansion strategies and are planning to raise capital through the market to finance the same. As global competition increases, the Indian shipping industry will have to upgrade its fleet to improve its efficiency and become competitive.

If shipping activities will increase then other sector like transportation beyond the port such as rail link and road link will also increase, so India would also need to focus on multi-modal transport to facilitate movement of goods from inland locations to ports and vice-versa. This would require development of road and rail infrastructure, improvement in multi-modal transport, and modifications in procedural arrangements to allow smooth flow of traffic (load limits on road, etc.).

Indian economy is also increasing very vastly and there is so many companies who is doing business beyond the boundary of Indian Territory. And at the same time other foreign nation companies is also doing business in India, so fortunately the export and import is also increasing. if we see the following graph then it’s easy to estimate that how Indian business is increasing in global scenario .

EXPRT COMMODITIES BY INDIA:-

These days India is exporting so many various commodities at large scale in which tea, steel, heavy machine tools, sugar, fertilizer, coal is the main products.

IMORT COMMODITIES BY INDIA:-

But at the same time India is also importing some goods from foreign nation such as crude oil, rice, cotton, liquid bulk cargoes etc.

All these export and import of goods is taking place by the help of shipping only and all these activities helping in the cash in f low of foreign currency.

Conclusion:-

India's maritime sector is witnessing promising growth, which is reflected in the

Increase in the demand for infrastructure and services across the entire value

chain comprising shipping, ports, ship-building/repair, and logistics. While this

Growth has thrown up bottlenecks in infrastructure and service provisioning

Across the sector, it has also opened up opportunities in each segment.

Therefore, it is critical to pursue comprehensive measures at the policy, administration, and project level in each segment, so that bottlenecks are addressed and opportunities are capitalized upon, thereby ensuring that the growth momentum is sustained.