CONCOR, SCI: What is Container Manufacturing Assistance Scheme announced in Budget 2026? All updates you need to know

Container Manufacturing Assistance Scheme (CMAS) in detail

The Container Manufacturing Assistance Scheme is a new initiative announced in the Union Budget 2026–27 to strengthen India’s container production capacity. It aims to build a globally competitive domestic container manufacturing ecosystem.

To promote environmentally sustainable movement of cargo, Sitharaman said a scheme for the enhancement of construction and infrastructure equipment (CIE) will be introduced to strengthen domestic manufacturing of high-value and technologically advanced CIE.

The government aims to promote the manufacturing of containers in the country, with the aim to support the high growth rate of the containerised cargo, which constitutes around two-thirds of the value of international trade.

According to an official statement, the proposed Container Manufacturing Assistance Scheme is envisaged to target an annual domestic manufacturing capacity of 1 million TEUs over the next 10 years.

TEU most commonly refers to the twenty-foot equivalent unit, a standard measure in shipping for container capacity, equivalent to a 20-foot-long container.

“Total market value generation of ₹80,000 crore, indicating a leverage of 8 times over the total support of ₹10,000 crore envisaged to be provided,” it said.

MOU signed for Bharat Container Shipping Line

The Union Government moved a step closer to building an integrated, domestically anchored container ecosystem as a Memorandum of Understanding (MoU) was signed for the establishment of the Bharat Container Shipping Line (BCSL) on Tuesday, February 3.

The BCSL MoU was signed among the Shipping Corporation of India (SCI), Container Corporation of India (CONCOR), Jawaharlal Nehru Port Authority, V.O. Chidambaranar Port Authority (VOCPA), Chennai Port Authority, and Sagarmala Finance Corporation Limited (SMFCL), under the aegis of the Ministry of Ports, Shipping and Waterways (MoPSW).

"This MoU aligns with the spirit of the Container Manufacturing Assistance Scheme (CMAS) announced in the Union Budget 2026–27," the PIB release said.

Alongside the BCSL MoU, a separate tripartite MoU was signed for financing the Outer Harbour Project at V.O. Chidambaranar Port Authority (VOCPA), Tuticorin, between VOCPA, Indian Railway Finance Corporation Limited (IRFC) and SMFCL.

The agreement provides for joint funding of up to ₹15,000 crore for eligible projects aimed at port capacity expansion under the Sagarmala Programme and the PM Gati Shakti National Master Plan. The financing framework focuses on debt funding for breakwater construction and allied onshore-offshore facilities, primarily through a Hybrid Annuity Model (HAM).

Sarbananda Sonowal, Union Minister for Ports, Shipping and Waterways (MoPSW), stated that these initiatives, including BCSL and the Outer Harbour financing, are strategic steps towards building national shipping capability in the container segment, enhancing port infrastructure, and aligning with the vision of Atmanirbhar Bharat and Maritime Amrit Kaal 2047.

What Ashwini Vaishnaw said

Union Minister for Railways, Information and Broadcasting, and Electronics and Information Technology, Ashwini Vaishnaw said, “It is a proud moment to see a long-pending vision becoming a reality. Under the guidance of Hon’ble Prime Minister Shri Narendra Modi ji, we are ensuring that there are no delays in approvals and that projects move ahead with speed and efficiency.

This initiative will be highly beneficial. With the new shipping and container line being developed in partnership with CONCOR, we can build a robust, world-class container ecosystem across India with investments of about ₹15,000 crore.

"Following our initiatives in shipbuilding financial assistance, ship recycling, and broader maritime development, the launch of this container line is a strong next step," Vaishnaw added.

Speaking on the occasion, the Union Minister of State for MoPSW, Shantanu Thakur, said, “Both MoUs demonstrate the remarkable foresight of Hon’ble Prime Minister Shri Narendra Modi ji, whose leadership continues to drive India’s maritime resurgence, making the country a global force not just on land, but also on the seas.”

What is the current status?

India, currently the world’s fourth-largest economy, is projected to reach a GDP of about $7.3 trillion by 2030, a trajectory expected to significantly increase export-import volumes and containerised cargo traffic.

It is believed that the absence of a strong Indian container carrier has historically exposed exporters and importers to volatile freight rates and global supply shocks.