Newsletter
Shipping Corporation of India (SCI) has teamed up with BPCL, HPCL, and IOCL to create a homegrown shipping fleet that will carry crude, fuel, and petrochemicals across international oceans and along India’s coasts.
The deets: the tie-up, backed by the Ports & Shipping Ministry and the Petroleum Ministry, aims to acquire, own, and manage vessels. These ships will handle both international trade and coastal transport of petroleum, petrochemicals, and hydrocarbon cargoes.
The strategy: the move ensures India won’t have to lean heavily on foreign fleets for oil transport. Building a domestic fleet with state-backed oil companies gives SCI assured cargo, long-term visibility, and lower dependence on volatile charter markets.
It also helps cut foreign exchange outflow and gives India more control over crude and fuel logistics at a time when energy security is front and centre.
Zoom out: India’s shipping sector carries nearly 95% of the country’s trade by volume, but most oil and gas shipping is still handled by foreign fleets.
That means billions of dollars flowing out each year just to pay overseas carriers. By building its own fleet with state-backed oil majors, India is saving costs & keeping control of critical energy routes making sure its fuel lifeline isn’t at the mercy of global shipping giants.
