Question : FDI IN SHIPPING SECTOR

(a) whether the Government has decided to open up the cruise shipping sector for the Foreign Direct Investment (FDI) as part of its efforts to promote tourism;

(b) if so, whether the Government proposes to amend the Merchant Shipping Act to simplify registration procedures for foreign cruise companies;

(c) if so, the details thereof;

(d) whether the High Power Steering Group had been set up to finalise the policy in this regard;

(e) if so, the details thereof and the time by which the decision is likely to be taken to implement its suggestions; and

(f) the extent to which the Government has agreed for FDI in the shipping sector?

MINISTER OF SHIPPING, ROAD TRANSPORT AND HIGHWAYS (SHRI T.R. BAALU)

(a) Foreign Direct Investment (FDI) is already permitted in Shipping.

(b) No, Sir.

(c) Does not arise.

(d) Yes, Sir.

(e) A High Power Steering Group under the Chairmanship of Hon`ble Minister(Shipping, Road Transport and Highways) with the Union Minister of Tourism & Culture as Co-Chairperson has been set up to formulate a cruise shipping policy with the objective to make India a major cruise tourism destination for attracting the right segment of foreign cruise tourists and for popularizing cruise shipping with Indian tourists. Details are being worked out to finalize a policy in this regard. However, no time frame can be given.

(f) 100% FDI is already permitted in shipping sector.