Cabinet Approves Container Manufacturing Promotion Scheme

The Union Cabinet, chaired by Prime Minister Narendra Modi, has approved the Container Manufacturing Promotion Scheme (CMPS) with a total budgetary outlay of ₹10,000 crore ($1.05 billion) through FY40. First announced in the Union Budget 2026–27, the strategic initiative aims to build a globally competitive container manufacturing ecosystem in India, drastically reduce reliance on foreign container imports, and fortify national supply chain resilience. Designed to support both greenfield manufacturing units and brownfield facility expansions, the scheme is projected to scale India’s domestic container production capacity tenfold to 7.5 lakh Twenty-foot Equivalent Units (TEUs) annually, laying a robust industrial foundation for the country's maritime and logistics sectors. The scheme's execution framework comprises three core operational components: Interest Subvention Assistance (ISA) allocated ₹859 crore ($90.37 million) to offer a 3% annual interest rebate on eligible project term loans; Operational Expenditure Assistance (OEA) backed by ₹8,891 crore ($935.40 million) to incentivize containers produced to international maritime standards; and Testing and Certification Assistance with ₹150 crore ($15.78 million) dedicated to establishing shared testing infrastructure such as dynamic longitudinal impact testing facilities. Positioned to transform India into a major global export hub for shipping containers, CMPS is expected to create 3,000 direct and over 50,000 indirect jobs while driving structural demand across domestic ancillary industries, including Corten steel, specialized castings, eco-paints, and industrial woodwork.