Maritime makeover - India's bold moves in global supply chain arena

As India is poised for transformation with major infrastructure projects and strategic agreements, the shipping industry faces a crossroads between ambitious growth and daunting challenges. Recent developments promise to reshape its role on the global stage, yet hidden obstacles could impact this transformation. What does the future hold for India's maritime ambitions?

- Libin Chacko Kurian

On September 10, 2024, Abu Dhabi Crown Prince Sheikh Khaled Bin Mohamed Bin Zayed Al Nahyan, during his visit to India, signed an agreement that soft-launched the work on the India-UAE Virtual Trade Corridor (VTC) and Master Application for International Trade and Regulatory Interface (MAITRI).

While VTC aims to reduce administrative processes and time, reduce logistics and transport costs, and enhance ease of doing business, MAITRI integrates multiple Indian operational portals to facilitate interfacing with UAE portals.

The significance of these key developments is that both are under the framework agreement between India and the UAE on the India-Middle East-Europe Economic Corridor (IMEC), which was signed along with the United States, Saudi Arabia, the European Union, Italy, France and Germany on the sidelines of the G20 Summit in New Delhi exactly a year before in September 2023.

The IMEC comprises an eastern corridor connecting India to the Gulf region and a northern corridor connecting the Gulf region to Europe. It will include a railway and ship-rail transit network and road transport routes.

Prime Minister Narendra Modi later emphasised that the IMEC will serve as a foundation for global trade for centuries to come, and history will recognize that its vision originated in India.

“Hundreds of years ago, the Silk Route gave impetus to global trade.