Major Ports vs. Minor/Non-Major Ports and Port Governance in India

India's ports are divided into two legal groups: major ports and non-major ports. Major ports are controlled by the Union Government. Non-major ports, often called minor ports, are managed by the state governments. The difference does not depend on size. It depends on whether the port has been declared a "major port" by law.

Why the division?

A port serves both national interests (foreign trade, defence, customs) and local interests (state industries, fishing, local trade). The Constitution splits the job. The biggest gateways are kept with the Centre, while smaller or new ports are left to the states. This lets coastal states develop their own ports, while the Centre looks after the national network.

What does the Constitution say?

The Seventh Schedule divides law-making powers.

• Union List, Entry 27: ports declared by or under a law made by Parliament, or existing law, to be major ports, including their limits and the powers of port authorities there.
• Concurrent List, Entry 31: ports other than those declared to be major ports. So Parliament alone makes laws for major ports. For non-major ports, both Parliament and state legislatures can make laws, and a central law prevails if there is a conflict.

How are major ports governed?

• Major Port Authorities Act, 2021: replaced the Major Port Trusts Act, 1963. It came into force on 3 November 2021. It turned the old Port Trusts into Port Authorities with smaller, professional boards and more freedom to set their own tariffs and sign contracts.
• Board: each Port Authority has a board with a chairperson and members, including representatives of the state government, the Railways, Defence and Customs.
• Coverage: the Act covers 11 of the 12 major ports. Kamarajar Port (Ennore) is excluded because it is a company under the Companies Act, owned by Chennai Port.
• Ministry: the Ministry of Ports, Shipping and Waterways oversees the major ports.

The 12 major ports (as of 2026)

• West coast (6): Deendayal Port, Kandla (Gujarat); Mumbai Port and Jawaharlal Nehru Port, Navi Mumbai (Maharashtra); Mormugao (Goa); New Mangalore (Karnataka); Cochin (Kerala).
• East coast (6): V.O. Chidambaranar, Thoothukudi; Chennai; Kamarajar, Ennore (all Tamil Nadu); Visakhapatnam (Andhra Pradesh); Paradip (Odisha); Syama Prasad Mookerjee Port, Kolkata, including the Haldia Dock Complex (West Bengal).
• Vadhavan Port in Palghar district, Maharashtra, approved by the Union Cabinet in 2024, is being developed as the 13th major port.

How are non-major ports governed?

Each coastal state manages its non-major ports, usually through a Maritime Board (such as the Gujarat Maritime Board, set up in 1982) or a state department. There are over 200 non-major ports. Many are small fishing or cargo jetties, but some are giant private ports. Mundra in Gujarat, run privately, is among India's busiest ports.

The Indian Ports Act, 2025 replaced the colonial Indian Ports Act, 1908. It gave statutory status to the Maritime State Development Council, a Centre-state body for planning and coordination of ports.

How much cargo does each group handle?

In 2025-26, major ports handled a record of about 915 million tonnes of cargo. Non-major ports handled about 753 million tonnes. So major ports carried roughly 55% of India's port cargo and non-major ports about 45%. Gujarat's ports handled about 64% of all non-major port cargo. The non-major share has grown steadily over the years, driven mainly by private ports in Gujarat, Andhra Pradesh and Odisha.

How do ports use private investment?

Most major ports now use the "landlord port" model. The port authority owns the land and water area and builds common infrastructure such as breakwaters and channels. Private companies build and run terminals under long concessions (lease contracts), for example through the DBFOT model. The Hybrid Annuity Model (HAM) is used when works do not earn direct revenue.

Under HAM, the government pays about 40% of the cost during construction, and the private developer arranges the rest and is repaid in annuities (fixed instalments) over time.

Commonly confused concepts

• Major vs non-major is not about size: some non-major private ports, like Mundra, handle more cargo than many major ports.
• Major Port Authorities Act, 2021 vs Indian Ports Act, 2025: the 2021 Act deals with how each major port is run internally. The 2025 Act is a general law for all ports on matters like safety, pollution control, conservancy and Centre-state coordination.
• Port Trust vs Port Authority: Port Trust was the old name and structure under the 1963 Act. Port Authority is the new structure under the 2021 Act.
• Landlord port vs service port: in a landlord port, private operators run terminals. In a service port, the port authority itself owns and runs everything.

Issues, criticism and the way forward

• Centre-state tension: some coastal states argued that the Indian Ports Act, 2025 gives the Centre too much say over non-major ports, which they see as a state subject. The Centre says it improves coordination.
• Unequal competition: major ports face more rules, while private non-major ports can move faster.
• Congestion and depth: many older ports lack depth and space for today's giant ships.
• Hinterland links: poor road and rail connections raise costs even when port capacity exists.
• Way forward: cooperative federalism through the Maritime State Development Council, deeper ports, better hinterland links and fair competition between major and non-major ports.

Concepts to Know

• Seventh Schedule: the part of the Constitution with three lists (Union, State and Concurrent) that divides law-making powers between Parliament and state legislatures.
• Landlord port model: the port authority owns and plans the port, while private firms run terminals and services.
• Concession: a long-term contract allowing a private firm to build or run a public facility and earn money from it.
• DBFOT (Design-Build-Finance-Operate-Transfer): a PPP model where a private firm designs, builds, finances and runs a facility for a fixed period, then hands it back to the government.
• Hybrid Annuity Model (HAM): a PPP model where the government pays part of the cost during construction and pays the rest in fixed instalments over time, so the private firm does not carry traffic risk.