Cabinet approves Rs 10,000 crore scheme to build containers in India
The Union Cabinet on 28 October 2026 approved the Container Manufacturing Promotion Scheme, a Rs 10,000 crore plan to raise India's container-making capacity, PIB said.
Key points
- The Union Cabinet approved the Rs 10,000 crore Container Manufacturing Promotion Scheme on 28 October 2026, according to a PIB release.
- The scheme runs from 2027-28 to 2039-40 and aims to lift yearly capacity from about 70,000 TEU to 7.5 lakh TEU, the release says.
- Makers can get a 3% interest subsidy on term loans and support for each container sold, with domestic content rising from 70% to 90%.
Photo: Geni / Wikimedia Commons, CC BY-SA 4.0 (cropped). Representational image.
The Union Cabinet on 28 October 2026 approved the Container Manufacturing Promotion Scheme, a Rs 10,000 crore plan to build a globally competitive container-making industry in India, according to a release from the Press Information Bureau. The scheme, announced in the Union Budget 2026-27, will run from 2027-28 to 2039-40.
What Happened
According to the release, the scheme will support both new factories and the expansion of existing ones. It aims to raise India's yearly container-making capacity from about 70,000 TEU (twenty-foot equivalent units, the standard container size) to 7.5 lakh TEU, roughly a tenfold rise. Companies get three years to set up plants and ten years of production support.
The release lists the support on offer:
- Interest subsidy (Rs 859 crore): 3% a year on eligible term loans, for new plants of at least 1,00,000 TEU a year and expansions of at least 25,000 TEU.
- Operating support (Rs 8,891 crore): a payment on each container made to global shipping standards and sold by an eligible maker, to narrow the cost gap with imports. Domestic content must rise from 70% to 90%.
- Testing and certification (Rs 150 crore): shared test facilities, so makers rely less on testing abroad.
- Scheme management (Rs 100 crore): administration and monitoring.
- Port land: leases at major ports at 25% of the notified rate.
An inter-ministerial steering committee chaired by the Secretary of the Ministry of Ports, Shipping and Waterways will be set up to approve guidelines and sanction support.
What It Means
The release says almost all containers used in India's trade are made abroad, while container traffic is projected to grow from about 2.4 crore TEU in 2024 to 17.5 crore TEU by 2047. The government expects the scheme to create about 3,000 direct and more than 50,000 indirect jobs, in steel, parts and logistics, and to generate economic output of about Rs 75,000 crore by 2039-40, more than seven times the support given.
The release says the scheme will also promote supplier industries such as corner castings, special steel, wooden frames and paints. The release says the steering committee is to be set up and will approve the scheme's guidelines.
Sources & Citations
- PIB release: Cabinet approves container scheme — Press Information Bureau, Government of India