Shipping industry may get Rs 10K cr

The shipping industry,which has been reeling under severe credit crunch to acquire new vessels,will heave a sigh of relief if the government approves a Rs 10,000-crore soft-loan package. We have requested the finance ministry to consider a Rs 10,000 crore package for shipping firms, said APVN Sarma,secretary,ministry of shipping.

Shipping companies which accessed credit from foreign banks earlier are left in a lurch as these banks are not forthcoming now. Foreign banks are not lending now. Traditionally theyve been the lenders for shipping acquisitions. This is some sort of financing for acquisition of new ships by Shipping Corp of India SCI and also by other Indian private shipping companies, he said while addressing a maritime seminar in Mumbai.

The demand for the package has been placed,but nothing is expected till a new government is formed after the Central elections.