India's Merchant Shipping Act 1958 was the foundational legislation governing the country's merchant fleet, seafarer certification, vessel safety, and maritime administration for over six decades. The Merchant Shipping Bill 2025, passed by Parliament, replaces this framework with updated legislation that aligns Indian maritime law more closely with current international conventions and the practical realities of modern shipping.
This article explains the key changes and what they mean for shipowners, operators, and seafarers.
Background and Why Change Was Needed
The 1958 Act was comprehensive legislation for its time, but the shipping industry has changed dramatically over the past sixty years. Container shipping, double-hull tanker requirements, new international conventions on pollution prevention, seafarer certification, and vessel safety have all developed since the original Act was passed. While the Act was amended periodically, by 2025 it had become fragmented and difficult to apply coherently alongside the international conventions India had ratified in the intervening decades.
The new Bill consolidates and simplifies the legal framework, replacing the 1958 Act's structure with a more streamlined set of provisions organised across sixteen parts and 325 clauses.
Alignment with IMO Conventions
A primary objective of the 2025 Bill is to align India's domestic legislation with the conventions of the International Maritime Organization to which India is a party. These include SOLAS (Safety of Life at Sea), MARPOL (Marine Pollution), STCW (Standards of Training, Certification and Watchkeeping for Seafarers), and the MLC (Maritime Labour Convention).
Where the 1958 Act required Indian shipping to comply with international standards through a combination of statutory provisions and delegated legislation that was sometimes difficult to trace, the 2025 Bill incorporates the relevant international standards more directly and clearly into the domestic framework.
Environmental Protection
The 2025 Bill gives significantly greater prominence to environmental protection than the old Act. Provisions relating to pollution prevention, ballast water management, air pollution from vessels, and the management of ship-generated waste have been updated to reflect current international standards under MARPOL and associated instruments.
The Bill provides for stricter enforcement of environmental requirements, with higher penalties for vessels that discharge pollutants in Indian waters in violation of applicable standards. Port state control authorities have strengthened powers to detain vessels that are in breach of environmental requirements.
Indian shipping companies operating vessels that call at ports in countries with rigorous port state control regimes, particularly in Europe and North America, have long needed to comply with international environmental standards to avoid detention. The 2025 Bill brings India's own enforcement framework closer to the standards applied in those jurisdictions, creating a more level playing field for vessels operating under the Indian flag.
Seafarer Certification and Welfare
The Bill updates the framework for seafarer certification and training, aligning with the current STCW Convention requirements. It also strengthens welfare provisions for seafarers, reflecting India's obligations under the MLC. Provisions on working hours, rest periods, accommodation standards, and repatriation have been updated and consolidated.
The Bill also addresses the issue of seafarer abandonment more explicitly than the old Act, providing clearer obligations on shipowners and flag state authorities when seafarers are stranded without pay or means of repatriation.
Vessel Registration
The registration framework for Indian-flagged vessels has been updated under the new Bill. The changes are intended to make it more attractive for Indian shipping companies to register vessels under the Indian flag, rather than using flag-of-convenience registries. Competitive tonnage tax regimes and simplified registration procedures are part of the broader effort to grow the Indian-flagged fleet.
What Shipowners Should Do
Shipowners and operators with vessels under the Indian flag, or who regularly call at Indian ports, should review how the 2025 Bill affects their operations. The updated environmental enforcement provisions, the revised seafarer welfare requirements, and the changes to vessel safety certification all create compliance obligations that need to be assessed and addressed. The transition from the old Act to the new framework requires attention to ensure that existing certificates and approvals remain valid under the new legislation.
Disclaimer: This article is for informational purposes only and does not constitute legal advice. It does not create a lawyer-client relationship. For advice specific to your situation, please consult a qualified legal professional. LawCite Advocates is a law firm registered in India.