India has emerged as the world's leading ship recycling nation in 2025, achieving the target set under Maritime India Vision 2030 well ahead of schedule. According to the latest UNCTAD report, India's share of global ship recycling increased to 35.4% in 2025 from 30.1% in 2024.

Ship recycling volumes in India rose sharply to 2.99 million gross tons (GT) in 2025, marking a nearly 60% increase from 1.86 million GT in the previous year. The achievement highlights the success of policy reforms, infrastructure development and sustainability-focused initiatives undertaken by the government.

Union Minister of Ports, Shipping and Waterways Sarbananda Sonowal said India's rise to the top position reflects sustained policy support, industry efforts and adherence to international environmental and safety standards.

To strengthen the sector, the government enacted the Recycling of Ships Act, 2019, aligned with the Hong Kong International Convention for the Safe and Environmentally Sound Recycling of Ships. Financial assistance of Rs 53.5 crore has also been provided to modernize ship recycling yards, enabling 115 facilities to become convention-compliant.

The Ministry of Ports, Shipping and Waterways has also introduced the Ship-breaking Credit Note Scheme, under which ship owners receive credit equivalent to 40% of a vessel's scrap value, which can be used toward the purchase of new ships built in India.

Looking ahead, India plans to nearly double its ship recycling capacity to around 9 million light displacement tons (LDT) through the expansion of the Alang ship recycling yard in Gujarat. According to industry estimates, more than 16,000 vessels are expected to be recycled globally over the next decade, positioning India to further strengthen its leadership in the sector.

The development reinforces India's growing role in sustainable maritime activities and supports the country's broader objectives of circular economy growth and environmentally responsible industrial development.