The Union Cabinet on Wednesday approved the Container Manufacturing Promotion Scheme with a budgetary outlay of ₹10,000 crore up to 2039-40. The scheme aims to expand domestic production, reduce import dependence and strengthen maritime and logistics supply chains.
Chaired by Prime Minister Narendra Modi, the Cabinet cleared the scheme to support new manufacturing facilities and the expansion of existing units. The initiative was announced in the Union Budget 2026–27.
The scheme aims to increase India’s annual container manufacturing capacity around tenfold to 7.5 lakh twenty-foot equivalent units (TEUs) and develop an internationally competitive production base with export potential.
Its largest component, Operational Expenditure Assistance, has an allocation of ₹8,891 crore. It will provide financial support for containers manufactured to global shipping standards and sold by eligible manufacturers, helping bridge the cost gap with overseas competitors.
Another ₹859 crore has been earmarked for Interest Subvention Assistance, offering a subsidy of three per cent per annum on eligible term loans for setting up new facilities or expanding existing capacity.
The scheme also allocates ₹150 crore for testing and certification assistance, including common facilities for dynamic longitudinal impact testing.
The government estimates that the scheme will generate 3,000 direct jobs and more than 50,000 indirect jobs. It is also expected to support ancillary industries producing corner castings, specialised steel, wooden frames and paints.
(PIB)
