By Aarav Beniwal
India’s Blue Economy: Charting a Course for Sustainable Ocean Growth
India’s blue economy, broadly defined as the sustainable use of ocean resources for economic growth, jobs and livelihoods while preserving marine ecosystems, is rapidly moving to the centre of national strategy. With a vast 7,500+ km coastline, 1,382 islands and a 2-million km²
Exclusive Economic Zone, India’s seas underpin nearly 95% of its trade by volume. Today the blue economy contributes roughly 4% of GDP, supports millions of coastal livelihoods and has become one of the ten high-priority areas in the government’s Vision of “New India 2030”. The concept encompasses all ocean-based industries, from traditional fishing and shipping to emerging fields like offshore renewables and marine biotechnology, and is seen as a key engine of growth, innovation and strategic advantage for India.
Economic and Strategic Importance. Oceans already play a vital role in India’s economy. The shipping sector alone handled some 1.54 billion tonnes of cargo in FY2024, and Indian ports now rank among the world’s busiest, nine in the global top 100. Coastal communities, over 3–4 million fishers and seafood workers, depend on marine resources for food and income. India is the world’s second-largest fish producer, with marine fisheries and aquaculture
contributing billions of dollars in exports, marine products worth about ₹56,200 crore in 2021-22, and underpinning food security. Coastal tourism and ports drive industrial and service jobs, while India’s geostrategic location in the IndoPacific gives maritime growth an outsized impact on national security and trade resilience.
From an environmental perspective, the blue economy offers a win-win by aligning growth with conservation. Healthy oceans and coasts provide “blue carbon” services including mangroves, seagrasses that sequester carbon, and support fisheries and tourism, but these resources are vulnerable to overuse and climate change. A sustainable ocean economy can boost climate resilience, mangrove restoration and reef conservation help protect shorelines, while generating new economic value e.g. carbon credits, and ecotourism among others. Recognising this, India has linked ocean strategy to its climate goals (SDG 14) and maritime security initiatives. At the 2023 G20 summit, India helped secure global “High-Level Principles for a Sustainable and Resilient Blue Economy,” reflecting its ambition to balance growth with marine health.
What the Blue Economy Can Deliver. In practice, a vibrant Indian blue economy promises multiple tangible gains. By developing ocean industries, India can capture new market opportunities. High-growth sectors, fisheries, shipping, offshore wind, ports and coastal tourism, have significant untapped potential for revenue and value addition. For example, optimising coastal shipping and modernising ports, through Sagarmala projects, could lower logistics costs and unlock manufacturing growth inland. The Economic Survey 2020 estimated ocean-based activities could add as much as $1 trillion to GDP by 2030, if fully harnessed. Even at current levels, fishing and aquaculture alone generate ~$100 billion globally per year, and India, with 4% of world production, stands to gain from better yields and value chains.
Millions in coastal and island regions would benefit. Nearly 95% of Indian trade by volume already flows via sea, sustaining jobs in port operations, shipping and logistics. Improving fisheries and aquaculture practices could employ an additional few million. At present roughly 3.5–4 million coastal workers are engaged directly in fishing and aquaculture. Ancillary industries, cold-chain processing, boat-building, marine technology, can create further employment. Targeted skills development such as training coastal youth in navigation, marine biology or tourism, can reduce coastal poverty and rural-urban disparities.
A robust blue economy will expand exports of seafood, marine bio-products and shipbuilding/repair services. India already exports shrimp, tuna and seaweed products, but higher processing and branding, “Indian Marine Products”, can boost foreign exchange earnings. A larger coastal tourism industry including eco-resorts, cruises, and diving can attract international visitors. Meanwhile, shifting cargo from road to costal shipping, Kochi–Kolkata, Paradip– Guwahati coastal routes etc., will improve supply chain efficiency, reducing fuel imports and road congestion.
The oceans offer new frontiers. Offshore renewable energy, wind, tidal and possibly wave, can diversify India’s energy mix. The government has already announced auctions for offshore wind farms, targeting 5 GW, and incentivizes floating solar on reservoirs. Marine biotech, such as extracting pharmaceuticals or enzymes from ocean organisms, is an emerging industry. Deep-sea mining of nodules and rare minerals could one day supply critical metals, nickel, cobalt, and manganese, for batteries, though India is proceeding cautiously on environmental grounds. Together, these sectors can spur research, startup growth and global partnerships.
Beyond carbon sequestration, sustainable ocean use can mitigate climate risks. For instance, restoring mangroves improves shoreline protection. Greening ports, switching to shore power, cleaner fuels, cuts emissions. A shift to modern trawling or net bans can help fish stocks recover, improving long-term yields. By preserving biodiversity and reducing pollution, the blue economy helps fishing communities and tourism in the long run. As one expert noted, “maintaining a thriving marine ecosystem is crucial to the country’s seafood and nutrition security”.
In essence, experts contend that India’s oceans are underutilized assets. Current ocean sectors face sustainability challenges such as overfishing, plastic pollution, extreme weather, but with a coordinated blue economy strategy they could drive inclusive growth and climate resilience.
Government Strategy and Policy Initiatives
Recognising the promise, India’s government has launched numerous blue economy initiatives under multiple ministries. The Ministry of Earth Sciences, MoES, has taken the lead on policy coordination. In 2022-23 it issued a Draft National Blue Economy Policy, aimed at boosting the ocean economy’s GDP share while preserving ecology and security. This draft sets ambitious objectives, integrating maritime planning across 25+ ministries, collecting ocean data, expanding fisheries sustainably, developing marine tourism and aquaculture, and protecting coasts from pollution and disasters. MoES also published a White Paper “Transforming India’s Blue Economy: Investment, Innovation and Sustainable Growth” in mid-2025, consolidating government actions across sectors, identifying gaps including data deficits, low private investment, tech needs, and proposing an apex National Blue Economy Council to oversee cross-cutting coordination.
Key flagship programs include: Sagarmala Programme (Ports & Shipping), launched in 2015, it is the centrepiece for port-led development. It has identified 839 projects worth ~₹5.79 lakh crore (US$70 billion) covering port modernisation, new ports, and connectivity. By March 2025, 272 projects to the tune of ₹1.41 lakh crore were completed. The results are visible, major ports have halved average vessel turnaround time, from 93.5 hours in FY2014 to 48.0 hours in FY2024. Coastal shipping has nearly doubled, 118% growth over the decade, and inland waterways cargo has risen 700%. Ro-Ro and Ro-Pax ferry services now serve 4 million+ passengers, easing road traffic. In 2025 the government launched Sagarmala 2.0 with a ₹40,000 crore budget to spur shipbuilding, modern ship repair and green port tech; aiming for 4 million GRT shipbuilding by 2047). A related Maritime Vision 2030, now forming part of the broader “Maritime Amrit Kaal 2047” plan, spells out over 300 initiatives including green ports, smart logistics, and coastal tourism corridors to make India a “global maritime leader”.
Similarly, the Deep Ocean Mission (Samudrayaan), approved in 2021, at a cost of ₹4,077 crore, is a multi-year program under MoES seeking to explore India’s deep ocean resources and develop marine tech. It includes Samudrayaan, a manned submersible program,
MATSYA-6000). Recent achievements include, one in late
2022, when an indigenously built AUV “Ocean Mineral
Explorer” surveyed 14 sq km of India’s Central Indian Ocean Basin at 5,200 m depth, mapping polymetallic nodules and marine life. This builds on 1980s ocean mining rights; today India holds exploration contracts for deep-sea minerals. The Deep Ocean Mission is implemented in phases (2021–2026 and beyond, moreover it has deployed Rs.225 crore to date, with more to come. While returns will be long-term, it signals India’s commitment to ocean science and high-tech jobs.
Another initiative is the Blue Revolution/Fisheries Programs to boost the fisheries sector, the government merged earlier schemes into the Pradhan Mantri Matsya Sampada Yojana (PMMSY) in 2020. PMMSY provides subsidies and infrastructure support for cold chains, hatcheries, and harbors, worth ₹20,050 crore over five years. Together with the Fisheries Development Fund (FIDF, ₹7,522 crore) and Blue Revolution mission, these aim to raise fish production to 23 million tonnes by 2025 and double fishers’ incomes. The Government also encourages new ventures like aqua-innovation parks and seaweed farming by coastal communities, recognizing their potential to increase yields sustainably.
This would encourage coastal Conservation and Tourism, The Coastal Aquaculture Authority and National Mission for Clean Ganga have spin-offs on coasts. Programs like
“Swachh Sagar, Surakshit Sagar” (a ₹75-day coastal cleanup) and Blue Flag beach certification help improve the environment for tourism. The National Coastal Mission under Environment Ministr, proposed in 2021, targets mangrove and coral reef restoration, waste management in 13 coastal states, and disaster resilience. With 4,000+ km of beaches and dozens of islands such as Andaman, and Lakshadweep, India is promoting eco-tourism, from diving circuits to reef sanctuaries, under the blue economy umbrella. Several beaches in Goa, Odisha and Puducherry earned the international Blue Flag tag by 2023, reflecting global standards of cleanliness and safety.
Renewable energy and resource use can also be scaled.While offshore wind and solar are led by the Energy Ministry, they tie into the blue economy by adding marine renewables. India has mapped wind potential off Gujarat and Tamil Nadu, planning auctions up to 5 GW.
Desalination projects in coastal states e.g. reusing seawater for water security also fall under blue economy initiatives. The government is piloting “blue carbon” accounting, measuring carbon stored by coastal ecosystems, as a potential funding lever e.g. carbon credits from mangrove planting.
The overall governance framework is becoming more structured. Draft policy documents envisage a National Blue Economy Council to avoid fragmented efforts. India has already appointed “Nodal officers” in line ministries including Fisheries, Ports, Environment, Tourism, etc. to coordinate. At international level, India actively hosts annual Samudrimanthan, blue economy conferences, and led the G20 High-Level Principles push. It also negotiated voluntary guidelines on plastics and announced a plan for a national ocean data grid under UN Ocean Decade.
Progress on the Ground: Public and Private Efforts
Underpinning these policies, India’s public sector and industry are moving projects ahead:
• Ports and Shipping: Major ports (JNPT, Mundra, etc.) have invested in new terminals and digitization. For example, the TAT reduction noted above was driven by new berths and automated systems in major ports. Private port operators (Adani, Essar, Gangavaram, etc.) are deploying state-of-the-art cranes and dredgers to accommodate larger ships. The Jawaharlal Nehru Port (Mumbai) completed massive gauge conversion and truck management upgrades in 2024, and
Visakhapatnam is adding an energy terminal. Inland waterways have seen several Public-Private Partnerships – the Kolkata-Port Blair Ro-Ro service
(simplifying goods transport to Andaman), and the
Varanasi–Haldia multi-modal corridor (aided by Japan) – which have cut costs. The Ministry of Shipping reports that since 2014, cargo on National Waterways jumped from 4 million tonnes to over 32 million tonnes a year .
• Shipbuilding and Repair: India is scaling up its shipyards. Hindustan Shipyard and Mazagon Dock are modernizing to build larger vessels, and smaller yards (BGSL, MVPL) are producing offshore vessels and yachts. A $7.5 billion target was set for shipbuilding by 2030. Private yards like Cochin Shipyard (now listed) secured orders for research vessels and coastal ferries. The government’s shipyard subsidy scheme (for 40% offset of foreign exchange) has stimulated orders for ferries and tugs. In parallel, India’s famous Alang recycling yard is installing new pollution controls and green-cutting techniques (so-called “Eco ship recycling”) to meet international standards, signaling that second-life ships can be a new revenue stream.
• Fisheries and Aquaculture: Private entrepreneurs are entering sea farming. Large fish feed companies (Cargill, Godrej) have begun shrimp hatcheries; entrepreneurs like Kerala-based SEA6 Energy are building commercial seaweed farms for food, cosmetics and biofuels. Integrated cold-chain firms (ColdEX, Aquaconnect) use IoT to link farmers to markets. Public sector agencies (MPEDA, CIFNET) have expanded training in value-add processing. Early evidence shows an uptick in farmed shrimp exports and interest in tuna ranching. Still, yields and post-harvest losses can improve: the government’s national policy highlights better mesh nets and satellite tracking to reduce bycatch and increase compliance.
• Tourism and Recreation: Several coastal states have leveraged the blue economy brand for investment. Andhra Pradesh launched the “Beach Tourism” project with private resorts on PPP basis. Gujarat’s maritime board is creating cruise terminals (the Magdalla dock in Surat is set to host cruise ships by late 2025). In Kerala and Goa, private dive operators partner with Marine Protected Areas to offer eco-dives. Even luxury hotels (Oberoi’s “island resort” on Chhatrapati Shivaji Maharaj Island, SBI’s Saket Arya Beach resort, etc.) are branding as “blue economy” sustainable enterprises (using solar, rainwater harvesting, waste recycling).
• Research and Innovation: Government labs and academia are pushing marine R&D. Institutes like NIOT (Chennai), NIO (Goa) and IORGP (Goa) are developing new oceanographic tools. MoES has started granting small research fellowships for startups (e.g. bio-prospecting ocean microbes). The recently launched National Institute of Ocean Technology plans to partner with industries on products (robotic submersibles, wave energy converters). On the finance side, Indian venture funds are beginning to eye “ocean tech” – for example, Mumbai’s Omnivore VC has invested in an IoT-based fisheries satellite startup. These are nascent trends but signal growing privatesector interest in marine innovation.
Overall, while many public projects (ports, fisheries clusters, mapping) have clear timelines, the private sector’s contribution is emerging. India has yet to issue a “blue bond” or large-scale ocean fund, but its bond markets show appetite: in 2023 the United Nations and SBI conducted a workshop on blue finance, and banks like Canara and ICICI are piloting blue credit lines for fishermen co-operatives.
Global Inspirations: Learning from Other Blue Economies
India’s ocean ambitions are bolstered by examples abroad. In Southeast Asia, archipelagic economies have pioneered innovative financing and policy reforms that India can emulate.
• Indonesia: A fellow G20 nation, Indonesia has 108,000 km of coastline. In 2023 it issued the world’s first sovereign blue bond , raising JPY20.7 billion (US$150 million) in Japan’s capital market . The 7- and 10-year bonds (coupons ~1.2–1.4%) fund coastal protection, sustainable fisheries, mangrove rehabilitation and marine biodiversity projects . Indonesia’s Finance Minister Sri Mulyani noted that such “thematic bonds” help bridge the SDG financing gap by channeling private capital into sustainable ocean uses . The bond proceeds will improve fisheries infrastructure and coastal resilience (preventing erosion, expanding fish hatcheries). Indonesia also prepared a national blue economy strategy with World Bank support, focusing on marine spatial planning and reducing overfishing. For India, Indonesia’s example demonstrates how capital markets and green banking (Indonesia even enabled blue Sukuk issuances) can finance ocean goals.
• Seychelles: In 2018 this small island state launched the world’s first sovereign blue bond . Valued at US$15 million, it finances sustainable fisheries and marine conservation . Seychelles – where fishing employs 17% of the population – used partial World Bank guarantees to slash borrowing costs (from 6.5% to 2.8% effective) , demonstrating de-risking for investors. The bond funded projects like modernizing fishing vessels, improving processing plants, and strengthening marine parks . In parallel, Seychelles combined it with a debt-for-nature swap (canceling $30m of debt for ocean protection). India could adapt such blended finance: for example, working with MDBs or private “impact investors” to underwrite marine projects (e.g. shrimp hatcheries or reef restoration) at concessional terms, to attract ESG capital.
• Philippines: The Philippines, an archipelagic developing country, has also embraced blue growth. A recent ASEAN policy brief notes that over 60% of Filipino population lives in coastal areas and that “ocean-based activities contributed US$350 million to the economy in 2021” . Manila is developing a National Blue Economy framework, focusing on balancing diverse ocean uses (fishing, tourism, shipping) through new coastal zone management laws. Community-based fisheries management (“bantay dagat” patrols) and marine protected areas have helped some fish stocks recover. While India’s scale is larger, such bottom-up governance and clear marine spatial planning (zoning shipping lanes vs. fishing zones) offer lessons for managing competing uses.
• Mauritius: This island republic actively branded itself as a Blue Economy hub. Its established ocean industries (fisheries, maritime services, hospitality) account for over 10% of GDP and it set up a National Blue Economy Strategy in 2013. India can note Mauritius’s strategy to invest in R&D (marine biotech) and regional collaboration (chairing a Blue Economy Council for SIDS). Though smaller, Mauritius’s early focus on aquaculture diversification (seaweed bioenergy, fish feed from by-catch) and eco-tourism shows possible niche paths.
• EU (Catalyst): While not an emerging economy,
Europe’s massive Blue Economy is instructive. The EU’s blue sectors employ ~5 million people and generate over €250 billion in value . Technologies like highly automated ports, precision fisheries management (Danish smart-net tagging), and integrated maritime policies (EU Directive on Marine Spatial Planning) can be adapted. Indian delegates regularly engage with bodies like the EU-India Blue Growth Partnership to share best practices (for instance, on reducing maritime pollution and advancing offshore wind).
In summary, India can draw inspiration from others’ policies and tools: establishing clear ocean governance frameworks; leveraging thematic bonds and funds to crowd in investment; strengthening coastal community organizations; and integrating ocean targets into climate action. Examples of “blue economy” success from Indonesia and Seychelles in finance, and from Indonesia and the Philippines in managing fisheries and ports, underscore that measured but ambitious strategies can pay off.
Remaining Opportunities and Future Outlook
Despite progress, the blue economy remains a largely untapped opportunity for India. Key untapped areas include:
• Offshore Renewables: India’s offshore wind potential (estimated >100 GW along Gujarat/Tamil Nadu coasts) is in its infancy. Only a few rounds of auctions have occurred. Massive scope remains to harness wind, wave and tidal energy. Doing so would not only power coastal industry but also reduce CO₂ emissions in transportation and electricity. Similarly, floating solar (currently trial) and algal biofuels (R&D stage) could grow.
• Blue Carbon and Climate Services: Financing projects like mangrove restoration could earn carbon credits and climate adaptation funds. International donors (Green Climate Fund, bilateral aid) are starting to support blue carbon; India’s coastal states could leverage this by mapping and certifying their mangrove sequestration.
• Marine Biotechnology: Scientific exploration of India’s unique coral reef and deep-sea organisms could yield new drugs, enzymes and biomaterials. Government labs have isolated bioactive compounds from marine sponges and algae; with more investment they could commercialize these innovations.
• Seafood Value Chains: Post-harvest losses in fisheries are still high (~20–30%). Modernizing cold chains, and adding value (ready-to-cook, nutraceuticals) would open markets. The domestic “blue supermarket” concept – branded Indian seafood – could be nurtured.
• Deep-Sea Mining: While controversial, global demand for battery metals (nickel, cobalt, manganese) may make sea-floor nodules viable. India holds exploration rights in the Central Indian Ocean Basin. Responsible mining (if ever green-lit) could generate billions. But it requires advanced tech and strict environmental oversight; policy here is still in early study.
• Emerging Maritime Services: As shipping decarbonizes (e.g. via hydrogen fuel cells), India can develop ship conversion and refit yards. Similarly, “blue tech” services – satellite-based ocean monitoring, marine insurance products for fisheries – are nascent fields where Indian startups could lead.
Achieving this potential hinges on further reforms. The 2025 White Paper notes obstacles: data gaps, regulatory complexity, and limited private capital . To overcome these, India is considering a single-window Blue Economy clearance portal and special zones (e.g. coastal economic zones with eased customs). It is also exploring inclusion of ocean targets in its five-year plans and the PM Gati Shakti framework to finance connectivity projects.
Looking ahead, the scale of transformation could be huge. If India can even double its marine productivity, the effects would ripple across its economy. By 2047, pro-blueeconomy forecasts envision hundreds of billions in added GDP and millions more jobs – especially in coastal states like Gujarat, Maharashtra, Kerala and Odisha that can become hubs of shipping, seafood and tourism. Strategic benefits include reduced energy dependence (via offshore renewables) and enhanced trade security (by deepening domestic waterways).
Importantly, the blue economy narrative aligns with global agendas. India is hosting the third UN Ocean Conference in mid-2025 and has vowed to champion sustainable oceans. Success at home could bolster India’s diplomatic leadership in maritime forums (Indian Ocean Rim Association, AsiaPacific initiatives).
In conclusion, India’s blue economy is at an inflection point. Backed by political will and a slate of concrete programs, it has begun delivering results in ports efficiency, fishing support and coastal infrastructure. The next phase will require much deeper engagement with the private sector, tougher environmental safeguards, and learning from global examples of innovation. If done right, India’s oceans – long a conduit of commerce – could also become a cradle of green growth and maritime security. The stakes are high: unlocking the blue economy may be crucial for India to meet its economic and climate goals in the coming decades .
Sources: Official government releases, expert analyses and industry reports were used to compile this analysis. Notable references include the Indian Ministry of Ports and Shipping press releases , MoES publications , industry assessments (KPMG blue economy report ), and international case studies (UNDP on Indonesia , World Bank on Seychelles ). These provide the factual basis for figures and policies cited above.