Transport Corporation of India (TCI) is planning to expand its coastal shipping capacity by 30–40% over the next four to five years, as it looks to capitalise on growing demand for multimodal and lower-cost freight transportation in India. The company is strengthening its TCI Seaways business through fleet expansion and additional vessel capacity.
TCI currently operates six Indian-flagged vessels, with a combined fleet capacity of about 77,957 DWT, serving ports along India’s eastern, western and southern coasts. Its coastal business handles container and bulk cargo and is integrated with the company’s road and rail logistics operations.
The company has already placed orders for two new cellular container vessels, each with capacity of approximately 7,300 DWT. The vessels are expected to strengthen TCI’s services on key coastal routes connecting ports on India’s east and west coasts. TCI is also evaluating the acquisition of a second-hand vessel to provide additional capacity in the near term.
The planned expansion comes as India seeks to increase the use of coastal and inland waterways to reduce pressure on road and rail networks. Coastal cargo traffic has grown significantly over the past decade, while government initiatives are encouraging a greater shift of freight towards waterways.
TCI expects the additional vessels to improve asset utilisation and support growth in its coastal shipping operations. Two new vessels are also expected to become operational during FY27, adding capacity to the existing fleet.
The expansion is part of TCI’s broader multimodal strategy, combining sea, rail and road transportation to provide integrated logistics solutions. The company expects stronger manufacturing activity, infrastructure investment and increased adoption of multimodal logistics to support demand for coastal freight services.
With India promoting coastal shipping as a more efficient and environmentally sustainable alternative for suitable cargo, TCI’s planned capacity expansion could strengthen its position in the country’s growing coastal logistics market.