Chennai Vladivostok Maritime Corridor from Vajirao & Reddy Institute

CHENNAI VLADIVOSTOK MARITIME CORRIDOR

• The Chennai-Vladivostok Eastern Maritime Corridor became fully operational by the end of 2023.
• This maritime route facilitates the transportation of goods, such as oil, food, and machinery, between India and Far East Russia.
• The announcement was made by Sarbananda Sonowal, the Minister of Ports, Shipping, and Waterways, on November 18, 2024.

• Time and Distance Reduction:
  • The Chennai-Vladivostok Maritime Corridor has reduced the shipping time by 16 days, from 40 days to 24 days.
  • The travel distance has also been reduced by up to 40%, enhancing efficiency in trade between India and Far East Russia.
• Ports Involved:
  • The corridor connects key Indian ports such as Chennai, Paradip, and Vizag along with important ports in the Bay of Bengal.
  • These ports serve as the starting points for goods being shipped to Vladivostok in Russia.
• Cargo Flow:
  • The types of cargo being transported include crude oil, food products, and machinery.
  • This indicates a significant trade between the two regions and is expected to grow in volume.

• Ambitious Maritime Goals:
  • India aims to become a top maritime nation by 2047, excelling in key areas such as port operations, cargo handling, ship ownership, shipbuilding, and maritime technology.
• Port Capacity:
  • India plans to increase its port capacity to handle 10,000 million metric tonnes of cargo annually by 2047.
  • This will position India as a major player in global maritime trade.
• Strategic Trade Routes:
  • India will utilize key international trade routes, including the IMEEC and the INSTC (International North-South Transport Corridor), to strengthen its presence in global maritime trade.
  • The INSTC is a network of 7,200 kilometers linking India, Iran, Azerbaijan, Russia, and Central Asia to Europe.
• Focus on Clean Shipbuilding:
  • India will focus on green shipbuilding, emphasizing the construction of ships powered by clean fuels such as ammonia, hydrogen, and electricity.
  • This aligns with India’s commitment to sustainability and reducing its carbon footprint in the maritime sector.

• India has already passed key laws to improve the maritime sector:
  • Major Port Authority Act: This Act decentralizes port governance and aims to enhance port efficiency.
  • National Waterways Act: This Act promotes inland water transport to reduce road congestion and improve cargo movement.
  • Inland Vessel Act: Aims to improve the use of inland waterways for transportation.
  • Recycling of Ships Act: Provides a legal framework to safely recycle old ships and improve environmental standards.
• Additionally, two more bills are in the pipeline:
  • Coastal Shipping Bill: This will boost coastal shipping by improving the efficiency of domestic maritime transport.
  • Merchant Shipping Bill: This will strengthen shipbuilding, ship recycling, and maritime safety.
• Investment in Port Infrastructure:
  • ?80 lakh crore investment has been committed to modernizing India’s port infrastructure and expanding its inland waterways. The key infrastructure projects include:
    • Vizhinjam International Seaport (Kerala): A deep-water port designed to handle large ships.
    • Vadhavan Mega Port (Maharashtra): This project will significantly increase India’s capacity to handle large volumes of cargo.
    • Galathea Bay (Nicobar Islands): A strategic port development in the Bay of Bengal that will boost connectivity and enhance India’s maritime infrastructure.

• Shipbuilding Ambition:
  • India aims to become one of the Top 10 shipbuilding nations by 2030 and reach the Top 5 by 2047.
  • This ambition supports India’s goal of becoming self-reliant in shipbuilding, as part of the Atma Nirbhar Bharat
• National Maritime Heritage Complex:
  • A National Maritime Heritage Complex is being built in Lothal to promote India’s rich maritime history and modern shipbuilding skills.
  • The complex will also serve as a center for maritime technology.
• Focus on Sustainability:
  • India is working toward green shipbuilding, focusing on ships powered by clean fuels like hydrogen, ammonia, and electricity.
  • These efforts align with India’s climate goals and sustainability targets.

• Turnaround Time:
  • India has made significant progress in reducing turnaround times at its ports.
  • According to the World Bank’s Logistics Performance Index, turnaround time has improved from over 40 hours a decade ago to just 22 hours today, surpassing major maritime nations like Singapore and the United States.
• Reforms to Boost Growth:
  • The Coastal Shipping Bill and Merchant Shipping Bill will further enhance the efficiency of coastal shipping and integrate inland waterways into India’s maritime transport system.
  • The revamped Major Port Authority Act aims to improve port governance, efficiency, and capacity, ensuring that India’s ports can handle more cargo.