India’s Ministry of Shipping is forming a new port operating and shipping company called Indian Ports Global. The company will act as the investment arm of the Ministry and will operate terminals all over the world to help boost trade and secure capacity for Indian Shipping Lines.
The new company, Indian Ports Global (IPG), will operate terminals all over the world to help boost trade and secure capacity for Indian shipping lines and will be funded by India’s 13 state-owned ports. The funds will be used to buy ports in East Asia, Africa, Australia and other regions which have trade links with India.
One reason for the new venture may be to compete with China, which has been developing port projects in Sri Lanka, Pakistan, Burma and Bangladesh to help secure foreign trade.
India had already announced that it intended to invest heavily in ports and shipping to prepares for traffic doubling over the next nine years. According to the ministry, about 90% of India’s exports and imports are carried by sea.