A lot in Union Finance Minister Nirmala Sitharaman’s Budget 2026 speech needs to be read between the lines.
The word ‘defence’ may have been mentioned just twice in her speech but as usual, the defence ministry—with 14.7 per cent—walked away with the highest slice of the Budget cake, with a record outlay of Rs 7.85 lakh crore.
Similarly, while the word ‘maritime’ was not mentioned even once in her speech, there were a slew of announcements for things ‘maritime’. After all, the Sarbananda Sonowal-led shipping ministry has figured as one of the most important ministries under the Narendra Modi-led government, which has also coined the slogan of ‘ports-led growth’ while trying to spawn a maritime ecosystem that had long languished under the British colonial regime.
Take for instance the container manufacturing scheme, which proposes a Rs 10,000 crore spend in five years with the aim of promoting the manufacture of containers in the country.
With containerised cargo constituting about two-thirds of the value of international trade, the proposed Container Manufacturing Assistance Scheme (CMAS) is envisaged to target annual domestic manufacturing capacity of one million TEUs (Twenty Foot Equivalent Unit) over the next 10 years.
This scheme is expected to generate a total market value of Rs 80,000 crore and provide 3,000 direct jobs and 50,000 indirect jobs, including that of trailer handlers and truckers.
Most importantly, the scheme is a baby step towards creating a globally competitive container manufacturing ecosystem and enhancing India's supply chain resilience. It also reduces dependence on imported containers.
In a move significant for the inland water transport vertical, the government in its budget has proposed to operationalise 20 new National Waterways (NWs) over the next five years.
It also proposed to establish training institutes to be set up as regional centres of excellence for skill development in the inland waterways sector. This is indicative of the thrust on the sector after it generated major traction.
The thrust on inland waterways has a huge impact on skill creation for youth, improved cargo movement, and integration of hinterland with ports. Varanasi and Patna will also cater to a ship repair ecosystem focused on inland waterways, which will go a long way in inland shipping infrastructure.
Notably, cargo on inland waterways grew from 18.1 million metric tonnes (MMT) in FY 2013-14 to 145.5 MMT in FY 2024-25, achieving 700 per cent cargo growth with a CAGR of 21 per cent, while the operational length of the National Waterways has increased from 2,716 km to 5,155 km till 2025.
The Budget has also focused on coastal shipping with a Coastal Cargo Promotion Scheme aimed at incentivising a modal shift from rail and road to waterways.
Another proposal to strengthen the maritime sector involves establishing seaplane connectivity by encouraging indigenous manufacturing of seaplanes.
This will enhance last-mile connectivity, promote tourism, and improve access to remote regions via waterways.
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