The Merchant Shipping Act, 2025 (MSA-2025) is set to come into force from 15 March 2026, replacing the long - standing Merchant Shipping Act, 1958. The new legislation is considered one of the most significant reforms in India’s maritime legal framework in several decades, aiming to modernize maritime governance and align the country’s shipping regulations with international maritime standards.
The new Act has been structured into 16 parts with around 325 clauses, covering key aspects such as ship registration, maritime safety, seafarers’ welfare, maritime administration, environmental protection, and regulatory oversight of maritime training institutions.
One of the major objectives of the new law is to align India’s maritime regulatory framework with global conventions including the Maritime Labour Convention 2006 (MLC), STCW Convention, SOLAS Convention, and the MARPOL Convention. Maritime experts believe that such alignment will strengthen India’s credibility in global shipping and ensure that Indian ships and seafarers operate under internationally accepted standards.
The Act introduces several progressive provisions aimed at strengthening seafarers’ welfare and working conditions. These include improved medical fitness requirements, regulated working conditions on board ships, and formal mechanisms for addressing disputes related to seafarers’ employment and welfare. These provisions are largely in line with international labour standards under the Maritime Labour Convention. ( MLC - 2006)
Another important feature of the new law is its focus on improving maritime training and certification standards. With stronger regulatory oversight over maritime training institutes and certification procedures, the Act aims to ensure that Indian seafarers continue to maintain high professional standards in accordance with global requirements. The legislation also seeks to encourage the expansion of Indian shipping tonnage by allowing NRIs, OCIs, and LLPs to own Indian-flag ships, along with provisions such as bareboat charter-cum-demise registration. I believe these measures may attract additional investment into the maritime sector and increase the number of Indian-flag vessels in the coming years.
The Act also places significant emphasis on digitalisation and administrative reforms. Introduction of electronic certificates, digital inspection records, and online maritime documentation is expected to improve transparency and reduce bureaucratic delays in maritime administration. In addition, the Act strengthens provisions relating to maritime safety and environmental protection, particularly in areas such as marine pollution prevention, ballast water management, and safety inspections of vessels, reflecting global concerns regarding sustainable shipping operations.
However, despite its progressive framework, certain concerns have also been raised by maritime stakeholders. One of the key issues relates to foreign participation in Indian shipping ownership, which could potentially affect employment opportunities for Indian seafarers if adequate safeguards are not maintained, and another concern is the possibility of increased administrative control through expanded regulatory powers within the maritime administration, including the proposed structure of a Director General of Maritime Administration ( DGMA) , which some industry stakeholders believe may lead to greater bureaucratic oversight, and few experts have also pointed out that the success of the new Act will largely depend on its effective implementation and enforcement. Issues such as seafarer abandonment, unpaid wages, on-board death & disability compensation disputes, fairness in disability medical assessment and fraudulent recruitment practices have been long-standing concerns in the maritime sector, and proper monitoring will be essential to ensure that the welfare provisions of the law translate into real benefits for seafarers.
Additionally, stricter compliance requirements relating to safety, environmental standards, and ship registration may increase operational costs for smaller shipping companies and coastal operators, potentially creating challenges for smaller players within the industry.
Overall, the Merchant Shipping Act, 2025 represents a major milestone in the modernization of India’s maritime legislation. While it offers significant opportunities to strengthen safety standards, promote investment, and enhance India’s global maritime standing, its long-term impact will depend on balanced implementation that safeguards the interests of both the maritime industry and Indian seafarers.
(This article reflects my personal opinion on the implications of the Merchant Shipping Act, 2025.)
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RP Veettil.
Founder & National President
Sailors Union of India ( SUI)