Greek data firm MarineTraffic has provided some details of the ramifications of the upcoming Indian ban on older ships.
New Delhi is preparing age restrictions for ships calling at the nation with the second-highest population in the world.
Under the new regulations, no bulk carrier, tanker, or general cargo ship older than 25 will be permitted to call at Indian ports. The age limit for gas carriers, offshore vessels, and boxships will be set at 30 years. Locally flagged vessels that reach these new age limits will be deregistered. Additionally, owners will not be able to locally flag any secondhand purchases older than 20 years.
According to MarineTraffic data, 3,802 tankers and bulkers constructed prior to 1998 arrived in India in 2022.
Regarding the new rule prohibiting ships older than 20 years from registering under the Indian flag, MarineTraffic reports that 753 vessels built prior to 2003 are currently registered under the Indian flag, including 133 tankers and 61 bulkers.
India is responsible for 17% of the world’s seaborne iron ore trade, 19% of the world’s seaborne coal trade, and 2% of the world’s seaborne grain trade, according to Xclusiv Shipbrokers. India accounts for 12% of the world’s seaborne crude oil trade and 7% of the world’s seaborne oil product trade on the wet market.
Allied Shipbroking suggested in a recent report that, despite the fact that operators of older vessels will only lose access to a single nation, India’s growth will make this restriction more significant over time.