India aims to become major cruise tourism destination by 2029
The Indian government has launched the “Cruise Bharat Mission” with an ambitious target of attracting one million sea cruise tourists by 2029, as announced by Union Minister of Ports, Shipping & Waterways Sarbananda Sonowal in Parliament. This strategic initiative focuses on expanding and modernizing India’s cruise infrastructure across six major ports equipped with cruise terminals.
The mission leverages India’s extensive coastline and rich cultural heritage through key ports: “Vishakhapatnam Port” (Andhra Pradesh), “Mormugao Port” (Goa), “New Mangalore Port” (Karnataka), “Cochin Port” (Kerala), “Mumbai Port” (Maharashtra), and “Chennai Port” (Tamil Nadu). These facilities are undergoing significant modernization to provide international-standard amenities for cruise passengers.
To attract international cruise operators, the government has implemented favorable tax policies, including a “presumptive taxation regime” under Section 44BBC of the Income-tax Act, 1961. This policy considers 20% of cruise operators’ aggregate earnings as profits. The “Finance (No.2) Act, 2024” further supports the industry by offering tax exemptions to foreign companies involved in lease rentals when they share a holding company with cruise operators, effective April 1, 2025.
The initiative extends beyond infrastructure development to include enhanced connectivity between ports and tourist destinations, with special attention to areas like the “Konkan coast” and “Andaman & Nicobar Islands.” The government is integrating cruise routes with cultural and heritage circuits while prioritizing sustainable tourism practices, encouraging eco-friendly operations and marine ecosystem preservation.
Despite promising growth potential, the sector faces challenges including high port charges, limited berthing spaces and insufficient marketing. The government is actively working with stakeholders to address these issues and strengthen India’s position in the global cruise tourism market.
The mission aims to create a comprehensive tourism ecosystem that contributes to socioeconomic growth while maintaining environmental sustainability. With the global cruise tourism industry growing at over 7% CAGR, India is positioning itself to capture a significant share of this market through strategic planning and collaborative initiatives.