The Directorate General of Shipping (DGS) has said that Indian-built, Indian-flag vessels will be given first preference or right of first refusal to carry state-owned cargoes along the coast.

Indian-flag but foreign-built vessels will get second preference.

The order allows Indian-built, foreign-flag vessels to carry state-owned cargoes for the first time — but they will have third preference.

According to shipping-ministry officials, the government has amended the rules to promote domestic yards on the back of recommendations from the National Manufacturing Competitiveness Council (NMCC) in 2011 that called for greater assistance for the country’s builders.

Previously,