India Becomes World’s Top Ship Recycling Nation in 2025

India became the world’s largest ship recycling nation in 2025, achieving a key Maritime India Vision (MIV) 2030 target five years ahead of schedule, according to UNCTAD.

• India’s share in global ship recycling increased from 30.1% (2024) to 35.4% (2025).
• Ship recycling volume rose by nearly 60%, from 1.86 million Gross Tons (GT) in 2024 to 2.99 million GT in 2025.

Government Initiatives

Recycling of Ships Act, 2019

• Provides the legal framework for safe and environmentally sound ship recycling.
• Aligns India’s ship recycling industry with the Hong Kong International Convention for the Safe and Environmentally Sound Recycling of Ships (HKC).
• India ratified the HKC in 2019.

Modernisation of Ship Recycling Yards

• Financial assistance of ₹53.5 crore provided for infrastructure upgradation.
• 115 ship recycling facilities have been made HKC-compliant.

Ship-breaking Credit Note Scheme

• Ship owners receive a credit note equal to 40% of the scrap value of a recycled vessel.
• The credit can be used to pay up to 5% of the cost of a new vessel built at an Indian shipyard.
• Promotes both green ship recycling and domestic shipbuilding.

International Recognition

• India is pursuing the inclusion of its ship recycling facilities in the European Union Ship Recycling Regulation (EUSRR) approved list.

Future Plans

• Expand the Alang Ship Recycling Yard (Gujarat).
• Increase national ship recycling capacity to about 9 million Light Displacement Tons (LDT).

Significance

• Establishes India as the global leader in sustainable ship recycling.
• Promotes environmentally safe and internationally compliant recycling practices.
• Strengthens the domestic shipbuilding industry through incentive-linked policies.
• Enhances employment, resource recovery, and the circular economy.
• Supports the goals of Maritime India Vision 2030 and the Blue Economy.

Key Terms

• Gross Ton (GT): Measure of a ship’s total internal volume.
• Light Displacement Ton (LDT): Weight of a ship excluding cargo, fuel, crew, and stores; commonly used in ship recycling.
• Hong Kong Convention (HKC): International treaty ensuring safe and environmentally sound ship recycling.

Source: PIB

CLICK HERE: UPSC PRELIMS & MAINS CURRENT AFFAIRS BASED MONTHLY TEST SERIES PDF

CLICK HERE FOR GS TIMES PRAHAR UPSC MAINS TEST SERIES 

CLICK HERE: DAILY CURRENT AFFAIRS QUIZ (FOR ALL EXAMINATIONS)