The Economic Times
12,248.2567.9
Stock Analysis, IPO, Mutual Funds, Bonds & More

Legislation for stringent ship recycling norms this session: Mansukh Mandaviya

The proposed legislation seeks to set up a monitoring body to ensure that recycling centres are in compliance with the Hong Kong Convention. It will be set up under the chairmanship of the director-general of shipping, he said, adding that India had already done lot of work towards raising standards followed at the ship-breaking yards.

Nov 25, 2019, 06.42 AM IST
0Comments
BCCL
Mansukh Mandaviya
“The Bill will help increase downstream industries as well, and create more employment opportunities,” Mandaviya said.
NEW DELHI: India is set to bring in a legislation in the ongoing winter session of Parliament, putting in place stringent standards for ship recycling that are expected to help it draw European and Japanese vessels for breaking.

Minister for state (independent charge) Mansukh Mandaviya said the proposed ship recycling Bill would help India emerge as the preferred destination, especially for countries in the European Union, for ship breaking and give a significant boost to the industry.

“The government will introduce the Recycling of Ships Bill, 2019 in the ongoing session of Parliament,” Mandaviya told ET in an interview.

The proposed legislation seeks to set up a monitoring body to ensure that recycling centres are in compliance with the Hong Kong Convention. It will be set up under the chairmanship of the director-general of shipping, he said, adding that India had already done lot of work towards raising standards followed at the ship-breaking yards.

More than 70 of the 131 plots, or breaking yards, at Alang in Gujarat have already conformed to the Hong Kong Convention, he said.

The Cabinet Committee on Economic Affairs on Wednesday approved India’s accession to the Hong Kong Convention, which calls for safer recycling of ships. Around 800 vessels are sent for breaking every year around the world. India accounts for around 30% of that work, with an average 250 ships recycled majorly at centre in Alang.

“The Bill will help increase downstream industries as well, and create more employment opportunities,” Mandaviya said.

ANorwegian delegation recently evinced interest in sending 40 ships for recycling to India given it framed a Ship Recycling Code within the framework of the Hong Kong Convention, Mandaviya said. “We are looking to grow our business by at least 25% with this accession,” he said.

Talking about the ports sector, Mandaviya said his ministry was working on a “one port, one industry” approach, where downstream industries on each port could be developed. “We have decided that on every port, basis its potential, one industry will come up. This will help cargo grow and industries can develop,” he said.

The shipping ministry is also working on a single digital portal for streamlining activity on and around ports.

Addressing the lack of capacity in the ship-building industry, Mandaviya said he was pushing local manufacturing of barges — long, flat bottomed boats for movement of bulk goods. “To encash our ship-building opportunity we are pushing barges and have decided to allow 20% subsidy on it,” the minister said.

More than 200 barges would be required in inland waterways over the next five years in India itself, he said, stressing on the potential for their manufacturing.

Also Read

Ships Recycling Bill sails through in Rajya Sabha

India accedes to Honk Kong convention for ship recycling

India will have advantage over Bangladesh in ship recycling: Mansukh Mandaviya

India eyes 60 per cent share of global ship recycling business; higher GDP contribution: Mandaviya

Comments
Add Your Comments
Commenting feature is disabled in your country/region.

Other useful Links


Copyright © 2020 Bennett, Coleman & Co. Ltd. All rights reserved. For reprint rights: Times Syndication Service