India's Rs 5.8 Lakh Crore Port-Led Growth Plan Hits A Snag: 131 Sagarmala Projects Stuck In Limbo

India’s ambitious Sagarmala programme is facing hurdles, with more than half of its critical road and rail connectivity projects are being delayed due to land acquisition challenges and poor coordination among government agencies, The Tribune reported.

Out of 272 priority connectivity projects meant to link ports with inland regions, just 74 have been completed so far.

Another 67 are still under construction, while a worrying 131 are stuck in the early planning stages with no clear timeline in sight, as per an official update tabled in Parliament.

The Centre has tried to fix things, by setting up a National Sagarmala Apex Committee and holding meetings with maritime states to improve coordination. But the gap between meetings and actual results on the ground remains wide.

“Land acquisition is a major stumbling block. Add to that the complex coordination required between state and central authorities, and it becomes clear why these projects are dragging,” a senior official from the Ministry of Ports, Shipping and Waterways, was quoted by The Tribune as saying.

The Sagarmala programme includes 839 projects worth Rs 5.79 lakh crore. These span port upgrades, new port development, and coastal community development.

But it’s the connectivity projects, vital for moving goods in and out of ports, that are lagging behind the most.

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The Tribune reported that while Rs 2.42 lakh crore worth of these projects are being pushed through public-private partnerships, many private investors are hesitant to commit due to regulatory delays and an uncertain financial environment.

The government says it has revised funding guidelines to ensure better financial discipline and quicker implementation.

This information was given by the Union Minister of Port, Shipping and Waterways, Shri Sarbananda Sonowal in written reply to the Rajya Sabha.

Sagarmala Programme: Unlocking India’s Maritime Potential

Sagarmala seeks to unleash the unrealised potential of India's vast coastline, navigable waterways, and vital maritime trade routes for port-led development and the betterment of coastal communities.

Sagarmala, which was approved by the Union Cabinet in March 2015, aims to lower logistics costs for both domestic and international trade in order to improve the performance of the logistics industry. 

The programme seeks to reduce the need for significant infrastructure investments by utilising waterway and coastal transportation, which will increase logistical efficiency and raise the competitiveness of Indian exports.

Sagarmala finds important chances to enhance port productivity, optimise logistics, and foster the growth of coastal communities via thorough research and strategic planning. 

Sagarmala does this in order to boost the maritime sector as well as India's overall economic expansion and competitiveness internationally.

Sagarmala's idea has the ability to revolutionise both the Indian economy and logistical competitiveness.  It is related to four primary aspects, which are listed below:

Reduce logistics cost for EXIM and domestic trade with minimal infrastructure investment.

Enhanced domestic waterways (inland and coastal) in the multi-modal transport.

Lower logistics costs of bulk commodities by locating industries close to the coast.

Create jobs and develop skills in the ports and maritime sector.

Through better logistics and practices, the Sagarmala Programme aims to modernise and improve infrastructure for more effective and efficient product movement.  With an emphasis on fostering synergy among its five pillars, it is based on integrated planning, connectivity improvement, and sustainable development.

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