Offers Incentives to Attract International Cruise Liners

Padmesh Prabhune

Union Minister for Ports, Shipping and Waterways, Shri Sarbananda Sonowal said recently that the government is focused on its aim of making India a global hub for cruise tourism and its vision is to take the cruise passenger traffic from 4 lakh currently to 50 million by 2047.

Moreover, Up-gradation and modernization of Cruise Terminals at New Mangalore, Kochi, Chennai, Mormugao and Visakhapatnam have also been completed to ensure seamless transit for the cruise passengers. Pursuing the matter further, several incentives have been offered to attract International Cruise lines into Indian waters.

Among the measures taken by the government to promote cruise tourism include guaranteed berths to cruise ships, removal of ousting charges, rationalized concessional, uniform, single rate for all major ports, volume discounts in cruise tariff up to 30 per cent for domestic cruise ships, waiver of cabotage for foreign cruise vessels. This last relaxation allows foreign cruise ships to transport Indian nationals from one Indian Port to another Indian Port during their domestic legs.

Apart from these, a rationalized cruise tariff has been introduced. Port charges are recovered @ $0.085/GRT (fixed rate) and a nominal passenger head tax of $ 6 for first 12 hours of stay at berth. Cruise ships are provided discounts ranging from 10% to 30% based on volume of their calls.

E-Visa and on-arrival visa facilities have been extended, Single e-Landing Card has been introduced which is valid for all ports in cruise itinerary.

In order to promote tourism, conditional IGST exemption has been approved for foreign flag – foreign going vessel when it converts to coastal run, subject to its reconversion to foreign going vessel within six months which substantially reduces the financial burden on foreign cruise operators.

Incidentally, the Italian vessel Costa Serena is the first foreign cruise liner to enter India’s untapped domestic cruise market and the government is receiving interest from many other international cruise liners as well to operate in the Indian market.
Earlier during Global Maritime India Summit, 2023 a session on ‘Embark on a voyage to attract 50 million Cruise Passengers in India by 2047’ and a ‘Roundtable with Cruise lines’ were organized to create greater awareness of the cruise industry.
Marex Media