Crewing Agencies Warn That India's Vessel Age Limit May Cut 20,000 Jobs

Indian maritime stakeholders are sounding the alarm about a national maritime policy that would force the retirement of aging ships, warning that it would cost thousands of jobs and would hand over more coastwise trade to foreign vessels. 

India's age restriction rule was released in 2023. In order to encourage safety and reduce emissions, it prohibits Indian shipowners from buying most tonnage older than 20 years of age, and bans Indian cargo shipping aboard tankers, bulkers and freighters more than 25 years of age. The shipping ministry announced the launch of a wholesale review of the policy in 2024, acknowledging that it had not conducted a cost-benefit analysis before imposing the age restrictions. 

The Mumbai-based International Maritime Federation - an Indian association of crewing agencies and training institutes, not related to the International Maritime Organization - says that the age limits are a serious threat to Indian shipping. The federation's leaders told The Hindu that the Directorate General of Shipping's restrictions could take 700 ships out of India's fleet - mainly in coastal and offshore trades - and would cause 20,000 Indian seafarers to lose their jobs. 

The federation said that the directorate also uses a heavy hand in supervising crewing agents, imposing strict penalties and heavy fines with no opportunity for appeal. 

"The blanket ban on age of the ship and disproportionate [crewing agency] penalties are not just operational hurdles, they are existential threats to India’s maritime ecosystem," said Capt. Nalin Pandey of Indian firm Pentagon Shipping & Logistics.