The government is aggregating PSUs' cargo demand to ensure long-term charters for Indian carriers to reduce recurring cost of crude oil imports , Union Minister for Petroleum and Natural Gas Hardeep Singh Puri said on Wednesday.
Addressing 'India Maritime Week 2025', Puri further said that the government is also advancing the ship owning and leasing entity model to boost domestic ownership.
"Oil marketing companies use vessels for crude imports. To reduce recurring cost through ownership of vessels (ships), we are aggregating PSU cargo demand to ensure long-term charters for Indian carriers, advancing the ship owning and leasing entity model to boost domestic ownership, establishing a maritime development fund, launching shipbuilding financial assistance," he said.
Puri pointed out that in the coming two decades, 25-30% of the increase global energy demand of energy will come from India.
"The oil and gas sector alone accounts for 28% of India's trade by volume. And out of this entire trade only 20 % of cargo was carried by India-flagged and India-owned vessels... that is why we need to build more ships" he said.
According to him, when he took charge as Minister of Petroleum and Gas 4.5 years ago, India was consuming 5 million barrels of crude in a day, which rose to 5.6 million barrels of crude in day now.
Puri said India now supplies 12% of global seafarers.
He also said that the size of the Indian economy is USD 4 trillion and 50 per cent of GDP comes from exports and external sector.
The minister also noted that India is anchoring trade of the 21st century.
