An increased budgetary support from the government for flagship projects including Sagarmala and inland waterways will provide a boost to the execution pace and investments, stated domestic ratings agency ICRA in its pre-budget expectations on ports, shipping and logistics sectors.
The rating agency said that the government is expected to continue its focus on improving connectivity across India and speedy implementation of projects like Bharatmala for the road logistics sector, freight corridor (DFC) for the railways and Sagarmala for the waterways.
"There has been a traction in policy initiatives for the ports sector in the current fiscal with the operationalisation of the Indian Major Ports Act, 2021 and notification of market-based tariffs under the Act, notification of the revised Model Concession Agreement for PPP projects and passage of the Inland Vessel Act, 2021 in both houses of Parliament," Icra said.
The agency also expects the government to reduce taxes on diesel in the forthcoming Union Budget 2022.
(With inputs from PTI)
