“India’s global perception as a maritime hub is steadily evolving, buoyed by its expansive coastline, strategic geographical location, and growing capabilities within the maritime sector. Efforts such as the Sagarmala Programme, PM Gati Shakti programme and port modernization initiatives have bolstered this image, positioning India as an emerging maritime power on the global stage. However, to further elevate its standing and enhance its global ranking in the maritime domain, India can focus on strategic framework for the sector. Embracing digitalization and technological advancements across ports, enhancing logistical efficiency, and bolstering connectivity through inland waterways, enhancing marine financial services are crucial steps,” emphasizes Madhvendra Singh, Chief Executive Officer, Gujarat Maritime Cluster, during this exclusive interaction…
How is the maritime sector taking shape in the country?
India's maritime sector has seen impressive growth due to strategic reforms. Revamping logistics has boosted economic productivity, with coastal shipping and national waterways seeing a twofold and fourfold increase in cargo traffic, respectively, in the past decade. Major ports handled a record 795 million tons of cargo in FY23, marking a 10.4% growth. This success has augmented India's global trade position, evident in improved Logistics Performance Index ratings over nine years. Second globally in ship recycling, India's focus on shipbuilding and repair, along with maritime clusters, fosters collaboration among stakeholders. Commitment to carbon neutrality in ports through a net-zero strategy aligns with sustainability goals. The launch of ship leasing services in GIFT IFSC is drawing global interest, and is demonstrating India’s ambition as a leading maritime player. These efforts modernize ports, improve connectivity, enact policy reforms, embrace digitalization, and address skill gaps, ensuring the industry’s competitiveness and sustainability. GMC, as the global shipping center of India, is leading the way by bringing together the Government, Industry, and the Academia for synergy, efficiency, and collective growth.
What are the challenges that you have faced in boosting trade through maritime gateways? How can organizations like GMB enable trade facilitation for companies?
The challenges that are faced in boosting trade through maritime gateways are:
Geographical Constraints: India's geographical positioning outside major international supply chain management routes creates logistical challenges, leading to increased transit times and higher transportation costs for maritime trade.
Regulatory Framework: The intricate and evolving regulatory landscape in maritime trade, encompassing customs, tariffs, and compliance norms, presents complexities that can impede the smooth flow of goods and services.
Ease of Doing Business: Administrative complexities, bureaucratic procedures, and inefficiencies within the trade ecosystem contribute to delays and inefficiencies, impacting the ease of conducting maritime trade operations.
Infrastructure Deficiency: Inadequate port facilities, outdated infrastructure, and limited warehousing capabilities constrain the handling capacity and operational efficiency of maritime gateways, affecting trade volumes and turnaround times.
Connectivity Gaps: Insufficient connectivity between ports, hinterlands, and various modes of transportation results in suboptimal trade routes and logistical inefficiencies, hampering the seamless movement of goods across the country.
Multi-Modal Logistics: Integrating diverse transport modes like rail, road, and waterways for efficient multimodal logistics encounters challenges due to disparate infrastructure standards, coordination complexities, and operational gaps, impacting trade fluidity and cost-effectiveness.
Gujarat Maritime Cluster (GMC) plays a pivotal role in facilitating trade through various strategic initiatives in coordination with Gujarat Maritime Board (GMB):
Infrastructure Development: GMB focuses on developing and upgrading port infrastructure, enhancing efficiency, and handling capacities. This includes modernizing ports, expanding terminals, and improving connectivity with road and rail networks.
Policy and Regulatory Support: GMB works on streamlining regulatory processes, reducing bureaucratic hurdles, and implementing investor-friendly policies to attract investments and expedite trade-related procedures.
Trade Promotion and Collaboration: GMC actively engages in trade promotion activities, fostering collaborations with international entities, organizing trade delegations, and participating in global trade forums to enhance Gujarat's maritime trade footprint.
Technological Integration: Leveraging technology for trade facilitation, GMC adopts digital solutions for port operations, cargo tracking, and documentation, ensuring smoother and more transparent trade processes.
Logistics Enhancement: GMB focuses on improving logistics infrastructure, including warehousing facilities, inland container depots, and intermodal connectivity to streamline cargo movement and reduce transit times.
Sustainability Initiatives: GMC incorporates sustainable practices within port operations, emphasizing environmental conservation, energy efficiency, and reducing carbon footprint in line with global standards.
Skill Development and Training: GMC invests in skill development programs and training initiatives for port personnel, ensuring a competent workforce capable of handling modern maritime operations efficiently.
How can corporates collaborate with you in enhancing maritime trade?
Corporates can significantly enhance maritime trade through strategic partnerships. Investments in port infrastructure, backing sustainable shipping initiatives, or joint ventures for innovative tech solutions are avenues for collaboration. Optimizing logistics, digitalizing processes, and innovating financing mechanisms also boost trade efficiency and sustainability. Aligning goals and leveraging expertise supports impactful collaborations benefiting both corporates and the maritime sector. Notably, critical amendments to the SEZ act, IFSCA framework, and DG Shipping regulations have been facilitated. DG Shipping's forthcoming registered office within the cluster, alongside IR Class, promises to accommodate diverse stakeholders including shipowners, managers, brokers, financial institutions, legal entities, arbitration centers, academic institutions, and insurance companies, in one Cluster Complex within GIFT IFSC for better collaboration.
Please enlighten us on the recently unveiled ‘Amrit Kaal Vision 2047’, by Hon’ble Prime Minister, touted to be the blueprint for Indian maritime blue economy.
The 'Amrit Kaal Vision 2047,' introduced by the Hon'ble Prime Minister, maps out a transformative course for India's maritime blue economy, projecting a roadmap for the next 25 years with a distinguished target of achieving INR 80 trillion by 2047. This comprehensive blueprint delineates strategic initiatives aimed at augmenting port facilities, encouraging sustainable practices, and supporting global collaboration. Embracing sustainable development principles, the vision seeks to capitalize on maritime sector opportunities, emphasizing economic growth while championing environmental conservation.
Under Vision 2047, pivotal initiatives such as the Next Generation Mega Port, International Container Trans-shipment port, island development, inland waterways, and multi-modal hubs are slated to significantly reduce the cost of doing business while curbing environmental degradation. Notably, India's major ports have witnessed a doubling in capacity over the past decade, enabling swift turnaround times for large vessels, now less than 24 hours compared to the former 42 hours.
The Hon'ble Prime Minister also highlighted India's trajectory to emerge as one of the top five shipbuilding nations within the next decade, with plans to establish shipbuilding and repair centers across multiple locations. Additionally, upcoming projects like the International
Cruise Terminal in Mumbai, and modern cruise terminals in Visakhapatnam and Chennai, signify India's ambition to establish itself as a global hub for cruise tourism. These transformative endeavors outlined within the 'Amrit Kaal Vision 2047' mark a significant leap forward in India's maritime sector, promising economic prosperity while fostering sustainable and globally competitive maritime practices.
Courtesy-Adani Ports and Special Economic Zone Limited - APSEZ
We would like to know about Gujarat’s ambitious plans to transform non-major ports for a sustainable future.
The state's strategy revolves around several key initiatives focused on enhancing infrastructure, operational efficiency, and environmental sustainability at these ports. Investments are pouring into upgrading port infrastructure, modernizing terminals, expanding berths, and boosting cargo-handling capacities to accommodate larger vessels. The goal is to leverage advanced technology and optimized operations to significantly enhance efficiency, thereby attracting more trade and investments. Environmental conservation is also a priority.
Gujarat is implementing eco-friendly practices, embracing green technologies, optimizing energy use, and taking measures to reduce pollution. Projects in dredging and sustainable coastal zone management aim to protect marine ecosystems and biodiversity. Strategic partnerships and collaborations, both domestically and internationally, are being fostered to bolster global connectivity and trade networks. These collaborations facilitate knowledge sharing, technological advancements, and the adoption of best practices, boosting the ports' competitiveness on the global stage. This proactive approach emphasizes Gujarat's commitment to sustainable growth and competitiveness in the maritime sector. By focusing on infrastructure development, operational efficiency, environmental sustainability, and strategic partnerships, Gujarat aims to unlock its ports' potential for a vibrant and sustainable future.
What are the key pillars for achieving resilience?
Resilience in the maritime sector relies on several fundamental pillars:
Infrastructure Development: Building robust port infrastructure capable of withstanding natural disasters, adapting to technological advancements, and accommodating changes in trade dynamics. This includes maintaining and upgrading port facilities, terminals, transportation networks and providing the required financial services to ensure continuous operations even during disruptions.
Safety and Security Measures: Prioritizing safety protocols, emergency response plans, and security measures to safeguard assets, personnel, and vessels. This involves risk assessments, training programs, and the implementation of advanced security technologies.
Adaptive Regulatory Frameworks: Developing adaptable regulations and policies that respond to evolving challenges such as climate change, technological innovations, and geopolitical shifts. A flexible regulatory environment can enhance the sector's ability to navigate changes effectively.
Environmental Sustainability: Embracing eco-friendly practices and technologies to minimize the sector's ecological footprint. This includes initiatives for emission reduction, waste management, and sustainable shipping practices to mitigate environmental impact.
Technological Integration: Embracing digitalization, automation, and smart technologies to enhance efficiency, safety, and operational resilience. Investing in technologies such as AI, IoT, and blockchain can optimize operations and streamline logistics.
Global Collaboration and Partnerships: Adopting international cooperation, information sharing, collaboration among maritime stakeholders, partnership for insurance facilities, chartering, leasing etc. Partnerships with other countries, potential industry players, and regulatory bodies can bolster the sector's ability to respond to global challenges collectively.
Workforce Training and Skill Development: Investing in continuous skill development programs to equip the maritime workforce with the expertise needed to navigate modern challenges. This includes training in technological advancements, safety protocols, marine law, marine insurance, and crisis management etc.
Could you please share information about your collaboration with ISRO in developing a domestic satellite network tailored for the maritime industry?
Gujarat Maritime Cluster is establishing an advanced Maritime Research, Startup, and Innovation Center (RSIC) in its GIFT City complex. One of the startups being promoted is for indigenous launch on demand satellite network for real-time tracking of assets at sea and on land using SAR and AIS technology. The startup is founded by former ISRO employees and has seen unprecedented success where they also got accelerated at SpaceTech, a NASA funded organisation in USA. This collaboration could revolutionize maritime operations by providing real-time tracking, precise monitoring, and optimized routing for vessels, enhancing safety, efficiency, and navigation within the maritime industry. Such a partnership underscores the commitment towards leveraging cutting-edge technology to transform and advance maritime practices.
How can shipping industry work towards decarbonization? Is India doing any significant work on this front?
Shipping industry can work towards the decarbonation by regressively adopting the renewable energy investment and deployment. Producing fuels like hydrogen, ammonia, and methanol demands substantial energy, and these fuels can only effectively mitigate emissions if the energy used for their production is also decarbonized. Presently, only 30% of the world's energy is renewable, indicating a need for rapid scaling up of renewable energy investment and deployment for the shipping industry to produce enough zero-emissions fuel to achieve net-zero targets by 2050. Initiatives like the Green Shipping Challenge, supported by the Ocean Panel, encourage commitments toward net-zero emissions, illustrating progress in this realm. National governments can play a pivotal role by implementing policy measures to incentivize and expedite the transition.
Additionally, in my view, there is a critical need for a universal framework for the development of maritime fuel of the future, given the international nature of the industry so as to avoid future mismatch in demand and supply chains.
India has initiated several measures toward decarbonization in the shipping industry:
I. Green Port Initiatives: Ports in India are implementing green initiatives, focusing on shore power facilities, renewable energy integration, and eco-friendly port operations to reduce emissions.
II. Fuel Transition: The country is exploring the use of LNG as a marine fuel, with pilot projects and plans for LNG bunkering facilities at ports.
III. Research and Development: India is investing in R&D for alternative fuels and innovative propulsion systems to explore viable options for reducing emissions.
IV. Policy Frameworks: The government is working on policies and frameworks to promote green shipping practices and incentivize the adoption of cleaner technologies.
While India is making strides, there's ongoing work required to achieve substantial decarbonization. Collaboration among stakeholders, technology advancements, and continued policy support will be crucial for India's shipping industry to achieve significant progress in decarbonization efforts.
How is the maritime financing segment evolving currently? What are the steps needed to boost the same?
The maritime financing segment in India is undergoing significant evolution, albeit with some unique challenges and opportunities:
I. Digital Transformation: India’s maritime financing is gradually embracing digitalization, enhancing efficiency in processes like loan origination, documentation, risk assessment, and mortgage registrations. Digital platforms are starting to streamline financing procedures, although the transition is ongoing.
II. Government Initiatives: The Indian Government has introduced initiatives such as the Sagarmala Programme to modernize ports and improve connectivity, PM Gati Shakti programme to improve the logistics facilities of the nation. While these initiatives aren't directly financing mechanisms, they create an environment conducive to attracting investment.
III. Sustainable Financing: There's a growing global trend towards sustainable finance, including in India. Green financing and ESG-aligned projects are gaining attention, although the integration of these principles into maritime financing is still in its early stages.
India is in a dire need for establishment of financing facilities. Many major Indian maritime companies have been compelled to rely on financial facilities from other countries to meet their marine financial needs, leading to substantial untapped potential within India's maritime financing landscape. This reliance on external financial resources not only limits the autonomy of Indian maritime enterprises but also hampers the sector's growth and development. By establishing indigenous financing facilities tailored to the specific needs of the maritime sector, India can unlock significant potential for growth, innovation, and sustainability. India can boost its financial segment by:
I. Encouraging Sustainable Financing: Encouraging and incentivizing green financing or ESG-aligned projects within the maritime sector can attract more investors. This can be achieved through policy measures, tax incentives, or preferential rates for sustainable initiatives.
II. Public-Private Partnerships (PPPs): Facilitating PPPs can be instrumental in boosting maritime financing. The government can create frameworks that attract private investment, potentially through revenue-sharing models or offering guarantees to mitigate risks.
III. Digitalization and FinTech Integration: Furthering the integration of digital technologies and FinTech solutions can streamline maritime financing processes, reduce operational costs, and enhance transparency, thus attracting more investors.
IV. Risk Mitigation Mechanisms: Developing and promoting risk mitigation instruments specific to maritime financing, such as maritime insurance products or credit enhancement mechanisms, can lower perceived risks for investors.
V. Infrastructure Development: Continuously improving port infrastructure and connectivity not only attracts investment in maritime financing directly but also indirectly fosters a conducive environment for investors.
VI. Standardization and Regulatory Frameworks: Establishing standardized practices and regulations in maritime financing can instill confidence among investors and reduce uncertainties, development of a more conducive investment environment.
How is India being perceived globally as maritime hub? What are the strategies that need to be taken to step up its global ranking?
India's global perception as a maritime hub is steadily evolving, buoyed by its expansive coastline, strategic geographical location, and growing capabilities within the maritime sector. Efforts such as the Sagarmala Programme, PM Gati Shakti programme and port modernization initiatives have bolstered this image, positioning India as an emerging maritime power on the global stage. However, to further elevate its standing and enhance its global ranking in the maritime domain, India can focus on strategic framework for the sector. Embracing digitalization and technological advancements across ports, enhancing logistical efficiency, and bolstering connectivity through inland waterways, enhancing marine financial services are crucial steps. Investing in skill development for the maritime workforce, for creating a sustainable regulatory environment to attract foreign investment and promoting sustainable practices within the sector are key strategies that can catapult India's global perception as a leading maritime hub, securing its place among the world's foremost maritime nations.
The government has been laying immense thrust on shipbuilding and repair sectors. Please share the initiatives taken so far and what lies ahead?
India's attention on the shipbuilding and repair sector has been robust, driven by initiatives aimed at elevating its capabilities and competitiveness globally. Initiatives such as the Shipbuilding Financial Assistance Policy have provided crucial financial support and subsidies to domestic shipyards, fostering indigenous shipbuilding. Extending the 'Make in India' initiative to this sector has further incentivized local production, reducing dependency on imports and boosting competitiveness. Efforts have also centered on infrastructure upgrades within shipyards, focusing on modernization and capacity expansion to tackle larger projects. Additionally, skill development programs have been pivotal, ensuring a proficient workforce equipped with cutting-edge shipbuilding technologies.
India's trajectory involves deeper integration of advanced technologies like AI, robotics, and automation to amplify productivity and competitiveness. There's a concerted push towards promoting shipbuilding for export markets by elevating quality standards and enabling global collaborations. Continued investments in research and development remain essential, stimulating innovation to enhance efficiency and sustainability within the sector. Sustained policy support, including incentives and schemes, will be crucial for maintaining growth momentum. India's vision for shipbuilding and repair is pivotal in its aspiration to become a dominant force in global maritime activities, positioning itself as a formidable player in the international shipbuilding landscape.
What are the government’s enabling policies to harness supply chain efficiency?
The Ministry of Shipping, Ports, and Waterways (MoPSW) has implemented pivotal initiatives to strengthen the coastal shipping, notably by reinforcing public-private partnerships (PPPs). Approaching the milestone of granting infrastructure status to coastal shipping, the government is set to extend concessions to private entities, including affordable bank loans and viability gap funding. Recognizing environmental advantages within the port-led logistics system, both private enterprises and the government align efforts to broaden coastal shipping projects while prioritizing carbon emission reduction. This strategic move aligns with the government's vision of fostering a robust framework for PPPs by FY24, aiming to optimize India's multimodal connectivity and hubs to simplify coastal shipping operations.
Multi-modal logistics parks (MMLPs) emerged as integral to this vision, promising heightened efficiency, reduced warehousing costs, and a diminished carbon footprint. For businesses, especially MSMEs, MMLPs hold substantial promise by offering multifaceted operations and seamless access to both domestic and international supply chains.
The PM Gati Shakti initiative underlines the intrinsic value of integrated and seamless connectivity for the movement of goods, services, and people.
The Sagarmala Programme, integrating coastal shipping with road and rail networks, focuses on last-mile connectivity infrastructure development, notably road and rail links to ports and the establishment of logistics parks, complemented by private sector investments in double stack train services.
The National Waterways Act 2016, concerted efforts aim to enhance trade and transport across designated waterways, aligning with major infrastructure initiatives to boost India's trade competitiveness.
The success of the Jal Marg Vikas Project (JMVP) under the guidance of the Inland Waterways Authority of India (IWAI), supported by the World Bank, underscores the endeavor's success in boosting regional economies, employment, and reducing logistics costs associated with cargo transportation.
The recently introduced Harit Sagar policy guidelines, a progressive extension of the Maritime Vision Policy 2030, delineate a sustainability roadmap aligned with India's carbon emission goals. Mandating comprehensive action plans by major ports, they emphasize waste reduction and measurable emissions reduction strategies.
Up, Close & Personal
What’s your leadership style?
In my leadership journey, drawing from both military and corporate experiences, I've learned that while the military demands commanding loyalty and ‘leading from the front’, corporate leadership thrives on consensus and collective involvement, and how I put it is ‘Leading from Behind’. Upholding transparency, integrity, and an environment free of corruption has been pivotal in my approach. I firmly believe that nurturing a sense of belonging and significance among team members goes beyond mere words; it's about creating an atmosphere where each individual feels valued, inspired, and empowered to contribute meaningfully toward a shared vision. I always say that it’s not the words people remember, it is the feeling that is everlasting.
What has been your passion project till date?
The Gujarat Maritime Cluster project has been my passion because it represents an opportunity to catalyze substantial positive change. This endeavor isn't just about infrastructure development; it's about transforming an entire region into a global hub for maritime excellence. It's a chance to bring together diverse stakeholders, from businesses to innovators, and create a collaborative ecosystem that drives growth, innovation, and sustainability. The potential impact—both economically and in terms of setting new standards for maritime operations, is immense and being a part of this transformative journey is incredibly fulfilling.
How do you unwind yourself after a tough day @ work?
After a tough day at work, I find solace and rejuvenation in engaging with various sports, be it cricket, soccer, or tennis, each offering a unique avenue for physical activity and mental relaxation. Alternatively, a swim provides not just physical refreshment but also a serene atmosphere conducive to unwinding. Yet, amidst these activities, what truly rejuvenates me is the warmth of my family conversations. The bond shared, the laughter exchanged—those moments alleviate stress like nothing else. This blend of physical activity and heartfelt connections forms a sanctuary that replenishes my spirit, allowing me to face each day afresh, despite challenges.
How do you manage the pressure and the challenge that comes with the job?
Effectively managing pressure and challenges involves recognizing their inevitability within the professional landscape. I perceive challenges not as hindrances but as catalysts for growth and improvement. Among the most demanding aspects for a CEO is navigating the diverse perspectives of individuals within the team. My staunch belief lies in a leadership approach centered on guiding from behind, aiming to unify the team cohesively. This philosophy underscores my conviction that collective effort and teamwork are pivotal in achieving success, allowing for the harmonization of diverse viewpoints towards a common goal.
What’s your Success Mantra?
My Success mantra is…
Persistence in Idea Generation and Collaboration: I believe in consistently pursuing innovative ideas and fostering collaboration among stakeholders. Creating a shared understanding lays the foundation for collective growth and success.
Staying Ahead of the Curve: I prioritize seeking out creative and innovative solutions, maintaining a focus on productivity, and ensuring professional fulfillment for my team. This approach enables us to anticipate trends and remain at the forefront of our industry.
Emphasis on Collective Effort and Transparency: I value the collective effort of a team and the importance of transparency in our work. This ethos ensures that every team member comprehends the significance of their contributions, fostering a culture of trust and shared responsibility.
Being Present and Building Relationships: Recognizing the vital role of relationships in business, I allocate a significant portion of my time—approximately 80%—to nurturing international partnerships and fostering creative synergies. I believe this investment yields substantial dividends in driving the company's success.
One tip to Survive & Sustain in the unforeseen situations / your advice to Next Gen Supply Chain professionals…
Adaptability is the greatest asset in navigating unforeseen circumstances within the supply chain process. Embrace a mindset that embraces flexibility, innovation, and proactive problem-solving. Stay informed about emerging technologies and industry trends, cultivate diverse skill sets, and build resilient networks. Remember, agility and foresight are key; anticipate change, and be ready to pivot swiftly when challenges arise.
A book that has helped you at work…
The book that helped me is Managing Oneself by Peter Drucker. This book is a transformative read that has greatly influenced and assisted me in my personal and professional growth. Drucker's profound insights into self-awareness, identifying strengths, and harnessing one's abilities to excel have been instrumental. This book's emphasis on continuous learning, adapting to change, and taking ownership of one's career path has been invaluable, shaping my approach to work and life in a way that advances self-improvement and effectiveness.
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