Lok Sabha passes Carriage of Goods by Sea Bill, 2024 providing modern regulations for the maritime sector

The Lok Sabha on Friday passed the Carriage of Goods by Sea Bill, 2024, paving the way for the enactment of modern maritime law in the country that is in sync with current times, provides ease of doing business, and aligns itself with international conventions.

The new Bill will replace the colonial-era Indian Carriage of Goods by Sea Act, 1925, which minister for ports, shipping and waterways Sarbananda Sonowal said is part of the government initiative to remove old colonial-era laws that have outlived their utility and replace them with laws that provide simpler maritime regulations for ease of doing business.

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“This new legislation is a part of the greater initiative of the government to rid ourselves of all vestiges of the colonial mindset and ensure ease of understanding and ease of doing business through simple and rationalised law,” Sonowal said while replying to the debate in the lower House.

He said the new Bill would clarify the rights, duties, liabilities, and immunities of the carriers involved in trading goods using the sea route.

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“The new legislation intends to make provisions simpler and easy to understand, making the regulations more effective,” Sonowal said.

The Bill also authorises the Union government to issue directions for all trade matters relating to the sea route.

The Bill was passed by voice vote in the lower House. It was introduced during the monsoon session of Parliament last year but could not be discussed.

Compliance with international laws

The Bill establishes the responsibilities, liabilities, rights and immunities of goods carried from a port in India to another port in India or any other port in the world. It also complies with the International Convention for the Unification of Certain Rules of Law relating to Bills of Lading of August 1924 (Hague Rules) and subsequent amendments to it.

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The Bill empowers the Union government to issue directions for carrying out its provisions and amend the schedule specifying rules applicable to bills of lading. A bill of lading is a document issued by a freight carrier to a shipper. It contains details such as the type, quantity, condition, and destination of goods. The rules outline goods carriers’ responsibilities, liabilities, rights, and immunities.

Meanwhile, Sonowal also introduced the Indian Ports Bill 2025 in the Lok Sabha on Friday. This bill proposes to integrate port-related laws, facilitate port development, simplify business operations and maximize the use of India’s coastline. It also proposes the creation of state maritime boards to oversee non-major ports and establish a maritime state development council for coordinated port sector growth.

Further provisions in the bill include clear guidelines for pollution control, disaster management, security, safety, navigation, and data management at ports while ensuring compliance with India’s international obligations.