On September 30, 2024, the Government of India launched the Cruise Bharat Mission, to promote sea tourism in the country. This mission will bring together various Central and State Government agencies to work in coordination, guaranteeing smooth growth and development of the cruise tourism sector.
Currently, six major ports in India have cruise terminals. These ports are located in:
- Visakhapatnam (Andhra Pradesh)
- Mormugao (Goa)
- New Mangalore (Karnataka)
- Cochin (Kerala)
- Mumbai (Maharashtra)
- Chennai (Tamil Nadu)
The government has set a target to attract 10 lakh cruise tourists by the year 2029. According to the Union Minister of Ports, Shipping & Waterways, Shri Sarbananda Sonowal, this industry will not only encourage tourism but also support the economy, mainly in coastal areas.
To support the growth of the cruise industry, the government has introduced new, simplified tax rules. From April 1, 2025, non-residents operating cruise ships will be taxed under a special rule. According to the newly added Section 44BBC of the Income-tax Act, 20% of their total income will be regarded as profit and taxed accordingly.
In addition, foreign companies that lease cruise ships to Indian operators will be exempt from paying tax on lease income until the year 2030-31, provided they share the same parent company.
These measures are created to encourage more foreign companies to invest in the Indian cruise industry, making it easier for them to do business here.
The Cruise Bharat Mission, along with these supportive policies, is hoped to position India as a major hub for cruise tourism in the coming years. The government’s focus on improving infrastructure and making a business-friendly environment reflects its dedication to expanding this sector.(PR)