India's merchant fleet to get 100 ships, but ageing fleet remains a hurdle

The move comes at a time when nearly half of India's registered vessels are more than 20 years old

India plans to add 100 vessels to its merchant fleet over the next five years. Union Minister for Ports, Shipping and Waterways Sarbananda Sonowal said the government is seeking to increase Indian tonnage through measures including reflagging of foreign-owned vessels and support for shipbuilding.

 

This comes at a time when a large part of the existing fleet is already ageing. Data in the 'Indian Shipping Statistics 2025' report by the Ministry of Ports, Shipping and Waterways show that nearly half of India’s registered vessels are more than 20 years old.

 

As of December 2025, India’s shipping fleet comprised 1,592 vessels with a total gross tonnage (GT) of 14.02 million, up 3.04 per cent from a year earlier. Of these, 129 vessels were up to five years old, with a gross tonnage of 342,683 GT, while 131 vessels in the 6-10 years category had 598,235 GT, according to the ministry’s statistics.

   

The 11-15 years category comprised 261 vessels with 3.07 million GT, while 327 vessels aged 16-20 years accounted for 4.57 million GT. The oldest category, vessels above 20 years, had 744 vessels with 5.44 million GT, making it the largest age group by both vessel count and tonnage.

 

This means 1,071 vessels, or 67.27 per cent of the fleet, are either already above 20 years old or are in the 16-20-year age bracket and could cross the 20-year mark over the next five years. Together, they account for about 10.01 million GT.

 

The Directorate General of Shipping (DGS) has also imposed additional scrutiny on older vessels. Its rules require prior technical clearance for acquisition of vessels aged 25 years and above. DGS also has specific age-related requirements for older tankers.

 

Overseas fleet faces bigger ageing challenge

 

The ageing problem is particularly significant in the overseas fleet, which accounts for the bulk of India’s merchant fleet tonnage.

 

India had 503 vessels with 12.32 million GT deployed for overseas trade in 2025. Of these, 207 vessels, or 41 per cent, were above 20 years old, accounting for 4.52 million GT.

 

The fleet also had 151 vessels in the 16-20-year category. Together, vessels aged 16 years and above accounted for 358 of the 503 overseas vessels.

 

The concentration of older tonnage is also visible across several vessel categories in the overall Indian fleet. Among the overall Indian fleet, oil tanker (crude) vessels above 20 years accounted for 13 vessels and 1.09 million GT, while oil tanker product carriers in the same age group accounted for 55 vessels and 1.23 million GT. Dry cargo bulk carriers had another 41 vessels with 0.80 million GT in the above-20-year category.  

 

By number, dry cargo liners and tugs also have sizeable old fleets, with 80 and 184 vessels, respectively, above 20 years.  

 

100 new ships may not mean 100 net additions

 

The ageing profile is important because India’s fleet has expanded steadily, but the pace of net growth has been modest compared with the scale of the existing fleet.

 

The Indian fleet stood at 1,246 vessels in 2015, rising to 1,592 in 2025 -- a net increase of 346 vessels over 10 years, or about 35 vessels a year. Tonnage increased from 10.51 million GT to 14.02 million GT over the same period.

 

For the 100-ship target to translate into a meaningful expansion of India’s merchant fleet, new additions will will need to outpace vessels that leave the fleet as they age or become commercially unviable.