Major Foreign Investment in Indian Shipping Sector
Two Cypriot Shipping Companies, Interorient Navigation and Danship and Partners, have announced a significant investment of Rs. 10,000 crores in the Indian Shipping Sector. This marks the largest ever foreign direct investment in the industry since it was opened to 100% FDI in 2005.
The decision to invest in India comes after Indian Prime Minister Narendra Modi’s visit to Cyprus, where discussions were held with President Nikos Christodoulides to strengthen cooperation in the maritime domain. Both India and Cyprus are major maritime nations with an existing Indo-Cyprus Maritime Cooperation Framework Agreement.
According to Daniel Gautam Chopra, the head of Danship and Partners, this investment will play a crucial role in boosting India’s tonnage by acquiring ships and registering them under the Indian Flag. The ultimate aim is to become the leading shipping operator in India.
All vessels procured through this investment will be registered under the Indian Flag, contributing to the country’s national shipping tonnage and creating employment opportunities for Indian cadets, trainees, and seafarers. The revenue generated from the transportation of Indian EXIM trade will also stay within the Indian economy.
Interorient Navigation, established in 1979, manages a fleet of over 100 vessels globally. On the other hand, Danship & Partners offers comprehensive maritime services such as shipbroking, commercial management, and consultancy for clients in the industry.
