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Govt to take PPP route for cruise tourism

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T E Narasimhan Chennai
Last Updated : Jan 29 2013 | 1:55 AM IST

The Ministry of Shipping, Road Transport and Highways is planning to develop infrastructures at major ports, exclusively for cruise shipping, through public-private partnership (PPP).

The decision comes in the wake of the Union Cabinet’s approval of the Cruise Shipping Policy of India. The Cabinet is also likely to approve three more waterways as national waterways, which would further boost cruise tourism, according to a senior official in the shipping ministry. Currently there are three national waterways in the country.

Though the country has 12 major ports and 185 minor ports with a 7,500-km-long coastline, the cruise industry failed to attact much attention due to lack of necessary infrastructure, government policy and taxation.

This sector is a fast emerging and a marketable product, growing at the rate of 12 per cent per annum globally. While cruise tourism annually generates around $15 billion worldwide, with a passenger base of over 10 million, India’s share is only 2 per cent.

The policy, which was cleared by the Cabinet two weeks back, will not only boost infrastructure prospects but also have attractive tax concessions for cruise ship operators.

To facilitate immigration, it would be ensured that immigration formalities are completed in less than an hour from cruise passengers disembarking from the ship.

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With these measures the government hopes to increase cruise passenger landings to one million by 2010 from under 100,000 currently, said the official.

As part of the cruise shipping development programme, the shipping ministry would develop Chennai, Mumbai, Goa and Cochin ports initially, followed by ports in New Mangalore, Marmugao, Kolkata, Andaman and Nicobar and Tuticorin in the next 3-4 years, he added.

The upcoming Parliament session is likely to declare two waterways in Orissa and Tamil Nadu, he noted.

The ministry would develop necessary infrastructures including ports, shipping yards and dredging in these waterways, said the official.

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First Published: Aug 19 2008 | 12:00 AM IST

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