Content

• Deep-Sea Fishing promotion and incentives
• PM SVANidhi LOANS

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Deep-Sea Fishing promotion and incentives

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Context

• The Government of India notified the Sustainable Harnessing of Fisheries in the EEZ Rules, 2025 under the Territorial Waters, Continental Shelf, Exclusive Economic Zone and Other Maritime Zones Act, 1976 to regulate mechanised fishing vessels operating beyond coastal waters.
• The rules mandate access passes for mechanised fishing vessels and motorised boats ≥24 m length, or vessels exclusively targeting tuna and tuna-like species, enabling regulated exploitation of fishery resources in India’s Exclusive Economic Zone (EEZ).
• As of 5 March 2026, a total of 707 access passes were issued through the ReALCraft online portal, covering vessels from all coastal States and Union Territories operating in India’s EEZ waters.
• The initiative aims to shift fishing effort from overexploited near-shore waters to underutilised deep-sea resources, improve fisher incomes, reduce coastal ecological pressure, and expand India’s share in global marine fisheries trade.

Relevance

GS Paper III – Economy / Agriculture / Fisheries

• Blue Economy and marine resource utilisation
• Fisheries sector modernisation and export competitiveness
• Sustainable resource management in marine ecosystems

GS Paper III – Environment & Security

• Sustainable marine resource management
• Monitoring illegal, unreported and unregulated (IUU) fishing
• Maritime domain awareness in the Indian Ocean Region

Practice Question

Q. India’s Exclusive Economic Zone (EEZ) possesses significant untapped fisheries potential. In this context, examine the role of deep-sea fishing promotion policies in enhancing India’s blue economy while ensuring ecological sustainability. (250 words)

Static Background: Marine Fisheries in India

EEZ and Maritime Jurisdiction

• India’s Exclusive Economic Zone (EEZ) extends up to 200 nautical miles from the baseline, granting sovereign rights for exploration, exploitation, conservation and management of marine resources under UNCLOS provisions.
• India’s EEZ covers about 2.02 million sq. km, making it one of the largest in the Indian Ocean region and providing substantial potential for deep-sea fisheries and offshore resource exploitation.
• The 1976 Maritime Zones Act operationalised India’s EEZ rights domestically, enabling regulation of fisheries, offshore exploration and conservation activities within maritime jurisdiction.

Structure of Indian Marine Fisheries

• India possesses ~11,098 km coastline, 3,827 fishing villages, and over 1 million active marine fishers, making fisheries a critical component of coastal livelihoods and the blue economy.
• Marine fisheries contribute roughly 3–4% of agricultural GDP, while fisheries overall contribute around 1.1% of national GDP and about 7–8% of agricultural GVA.
• India is the 3rd largest fish producer globally and among the top exporters of seafood, with exports exceeding USD 7 billion annually, led by shrimp and high-value marine products.

Deep-Sea Fishing: Concept and Importance

• Deep-sea fishing refers to fishing operations beyond 12 nautical miles and typically between 200–1000 metres depth, targeting high-value species such as tuna, billfish, oceanic squid and pelagic fish.
• The sector is relatively underdeveloped in India due to limited offshore fleet capacity, technological constraints, and inadequate deep-sea navigation skills among traditional fishers.
• Promoting deep-sea fishing helps reduce overfishing in coastal waters, improve export-oriented fish production and strengthen India’s maritime presence in the Indian Ocean.

Resource Potential of Deep-Sea Fisheries

• The Expert Committee for Revalidation of Potential Yield of Fishery Resources in India’s EEZ estimated the total potential yield at 53.1 lakh tonnes annually, indicating substantial untapped marine resource potential.
• Of this potential, Andhra Pradesh EEZ alone accounts for approximately 3.65 lakh tonnes, highlighting the significant regional opportunity for expanding deep-sea fishing operations.
• However, India currently exploits only around 70–75% of total marine potential, with deep-sea resources particularly underutilised compared to coastal fisheries.

Institutional and Policy Framework

Blue Revolution Scheme (2015–2020)

• The Blue Revolution Scheme introduced financial assistance components for deep-sea fishing vessel acquisition and conversion of trawlers into resource-specific vessels, enabling transition from destructive bottom trawling to sustainable offshore fishing.
• Under this scheme in Andhra Pradesh, 12 deep-sea vessels were sanctioned with ₹9.6 crore project cost, receiving ₹2.33 crore central assistance.
• Additionally, 57 trawlers were converted into deep-sea fishing vessels with ₹8.55 crore project cost, supported by ₹4.27 crore central financial assistance.

Pradhan Mantri Matsya Sampada Yojana (PMMSY)

• The flagship fisheries development programme Pradhan Mantri Matsya Sampada Yojana, launched in 2020-21, aims to transform India’s fisheries sector through infrastructure, productivity enhancement and value-chain development.
• PMMSY includes components such as support for acquisition of deep-sea fishing vessels and upgrading vessels for export competitiveness, targeting high-value international seafood markets.
• Under PMMSY in Andhra Pradesh, 50 deep-sea fishing vessels were approved with ₹60 crore project cost, receiving ₹15.26 crore central financial assistance.

Capacity Building and Skill Development

• The National Fisheries Development Board (NFDB) functions as the nodal agency for training and capacity building under PMMSY’s fisheries skill development components.
• NFDB, in collaboration with Central Institute of Fisheries Nautical and Engineering Training, has trained 8,040 marine fishermen in deep-sea fishing techniques and onboard fish handling practices.
• Out of these trainees, 874 fishermen belong to Andhra Pradesh, reflecting targeted regional capacity-building initiatives for deep-sea fishing expansion.
• The Fishery Survey of India also conducts onboard skill training programmes focusing on deep-sea tuna longlining and sashimi-grade tuna handling, crucial for export-oriented fisheries.
• In 2025–26, 112 fishers from Andaman & Nicobar Islands and Lakshadweep received practical training aboard FSI vessels on monofilament longline operations, gear configuration and deck management.
• Training programmes also include modules on deep-sea navigation, GPS, echo sounders, AIS systems, maritime safety protocols, and firefighting equipment, improving fisher safety and operational efficiency.

Access Regulation for EEZ Fishing

• The Sustainable Harnessing of Fisheries in the EEZ Rules, 2025 introduced a digital access pass system to regulate mechanised fishing vessels operating beyond coastal waters.
• As of March 2026, 707 access passes were issued across India’s coastal states, ensuring formal regulation and monitoring of offshore fishing activities.
• State-wise distribution highlights strong participation from western and eastern maritime states, particularly Gujarat and Andhra Pradesh.

State-Wise Distribution of Access Passes (2026)

State/UT	Access Passes
Gujarat	274
Andhra Pradesh	162
Daman & Diu	91
Kerala	63
Odisha	47
Andaman & Nicobar Islands	34
Lakshadweep	13
West Bengal	9
Goa	5
Karnataka	3
Maharashtra	2
Tamil Nadu	2
Puducherry	2

Governance and Strategic Importance

Economic Dimension

• Deep-sea fishing enhances high-value seafood exports, particularly tuna and sashimi-grade fish demanded in Japan, EU and US markets.
• Offshore fishing expansion can reduce pressure on coastal ecosystems, improving long-term sustainability of marine fisheries.
• Development of deep-sea fisheries supports India’s Blue Economy vision, which could potentially generate USD 100 billion annually by 2030 across maritime sectors.

Social Dimension

• Transition to deep-sea fishing can increase fisher incomes significantly, as offshore pelagic species have higher market value compared to near-shore catches.
• Training and vessel modernization programmes improve occupational safety, professionalisation of marine fishing, and intergenerational livelihood sustainability.

Strategic and Maritime Dimension

• Strengthening fishing fleets in offshore waters reinforces India’s maritime presence in the Indian Ocean Region, indirectly supporting maritime security and domain awareness.
• Deep-sea fishing vessels can also contribute to monitoring illegal, unreported and unregulated (IUU) fishing activities by foreign vessels in India’s EEZ.

Key Challenges

Resource and Ecological Concerns

• Unregulated expansion of deep-sea fishing may lead to overexploitation of pelagic stocks, especially tuna and squid, if scientific stock assessments remain weak.
• Deep-sea ecosystems are slow-recovering and biodiversity-rich, making unsustainable fishing practices potentially irreversible in ecological damage.

Institutional and Governance Issues

• Fragmented regulatory framework between central government (EEZ fisheries) and state governments (territorial waters fisheries) creates policy coordination challenges.
• Monitoring offshore fishing operations remains difficult due to limited vessel tracking infrastructure and enforcement capacity.

Technological and Financial Constraints

• Deep-sea vessels require high capital investment, advanced navigation systems and refrigeration facilities, often unaffordable for small-scale traditional fishers without strong subsidies.
• Lack of cold-chain infrastructure, onboard processing units and international certification systems limits export competitiveness.

Social Concerns

• Rapid mechanisation may marginalise artisanal and small-scale coastal fishers, potentially triggering livelihood conflicts between industrial and traditional fishing sectors.

Way Forward

• Strengthen scientific stock assessment mechanisms through collaboration between fisheries research institutes, oceanographic agencies and satellite monitoring technologies.
• Expand vessel monitoring systems (VMS), AIS tracking and satellite surveillance to ensure sustainable fishing and prevent illegal exploitation.
• Promote cluster-based fisher cooperatives and credit support mechanisms to enable small fishers to access deep-sea fishing vessels and technology.
• Develop integrated cold-chain logistics, tuna processing hubs and export certification systems to maximise value addition and global competitiveness.
• Encourage sustainable fishing practices, ecosystem-based fisheries management and marine spatial planning to balance economic expansion with biodiversity conservation.

Prelims Pointers

• India’s Exclusive Economic Zone extends up to 200 nautical miles from the baseline.
• Potential yield of India’s EEZ fisheries: 53.1 lakh tonnes annually.
• PMMSY launched in 2020-21 to modernise India’s fisheries sector.
• Deep-sea fishing vessels typically target tuna, billfish and pelagic species.
• 707 access passes issued for EEZ fishing operations as of March 2026.

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PM SVANidhi LOANS

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Context 

• The Government reported that 72.71 lakh street vendors have availed loans under the PM SVANidhi scheme since its launch, reflecting expanding financial inclusion among informal urban workers.
• The scheme functions as a demand-driven micro-credit programme, where eligible street vendors apply for working capital loans through the PM SVANidhi portal or mobile application.
• The scheme operates within the legal framework of the Street Vendors (Protection of Livelihood and Regulation of Street Vending) Act, 2014, which mandates vendor surveys, registration, and issuance of Certificates of Vending by Urban Local Bodies (ULBs).
• Following restructuring in August 2025, the government launched Lok Kalyan Melas, nationwide awareness drives, and digital literacy campaigns to expand vendor coverage and accelerate loan disbursement.

Relevance

GS Paper II – Governance / Social Justice

• Urban informal sector governance
• Street Vendors Act, 2014 and rights-based livelihood protection
• Role of Urban Local Bodies in welfare implementation

GS Paper III – Economy

• Financial inclusion and micro-enterprise development
• Formalisation of informal urban economy

Practice Question

Q. PM SVANidhi has emerged as a major initiative for financial inclusion of urban informal workers. Evaluate its role in empowering street vendors while highlighting the implementation challenges. (250 words)

Static Background: Street Vendors in India

Informal Urban Economy

• Street vending forms a significant component of India’s urban informal economy, providing affordable goods and services while generating employment for economically vulnerable populations lacking access to formal jobs.
• According to estimates by the National Association of Street Vendors of India (NASVI), India hosts around 10 million street vendors, accounting for nearly 2.5% of the urban population.
• Street vendors contribute significantly to urban retail supply chains, ensuring last-mile delivery of food, household goods, and essential services to low-income urban consumers.

Historical Evolution of Policy

• Street vendors historically faced harassment, eviction drives, and confiscation of goods due to absence of a formal legal framework governing street vending activities.
• The Supreme Court in Olga Tellis v. Bombay Municipal Corporation (1985) recognised right to livelihood under Article 21, providing constitutional backing to informal workers including pavement vendors.
• These developments led to the enactment of the Street Vendors Act, 2014, establishing a rights-based regulatory framework for urban vending activities.

Legal and Institutional Framework

Street Vendors Act, 2014

• The Act recognises street vending as a legitimate economic activity, ensuring protection of livelihood while balancing urban planning and public space management.
• It mandates Town Vending Committees (TVCs) in every Urban Local Body, comprising vendor representatives, local authorities, and civil society members.
• The Act requires periodic vendor surveys and issuance of Certificates of Vending, which legally authorise vendors to operate in designated vending zones.
• It also prescribes grievance redressal mechanisms and protection from arbitrary eviction, promoting inclusive urban governance.

PM SVANidhi Scheme: Overview

• PM SVANidhi (Pradhan Mantri Street Vendor’s AtmaNirbhar Nidhi) was launched in June 2020 by the Ministry of Housing and Urban Affairs to provide collateral-free working capital loans to street vendors affected by the COVID-19 pandemic.
• The scheme aims to formalise informal vendors, promote digital payments, and integrate street vendors into the formal financial ecosystem.
• It functions as a micro-credit scheme supported by banks, microfinance institutions, and non-banking financial companies.

Key Features of the Scheme

Loan Structure

• The scheme provides collateral-free working capital loans starting at ₹10,000, enabling vendors to restart businesses, replenish working capital, and recover from pandemic-induced income disruptions.
• Vendors who repay the first loan on time become eligible for second-cycle loans up to ₹20,000 and third-cycle loans up to ₹50,000, promoting gradual financial growth.
• Interest subsidy of 7% per annum is provided on timely loan repayment, directly credited to beneficiaries’ bank accounts.

Digital Payment Incentives

• The scheme promotes digital financial inclusion among street vendors, encouraging adoption of QR codes and digital payment platforms.
• Vendors receive monthly cashback incentives for digital transactions, thereby strengthening India’s transition towards a less-cash economy.

Credit Linkages and Financial Inclusion

• PM SVANidhi facilitates credit history creation for previously unbanked vendors, enabling future access to formal financial services.
• The scheme also integrates vendors with other welfare schemes, including social security programmes and insurance coverage.

Implementation Architecture

Role of Urban Local Bodies

• Urban Local Bodies are responsible for vendor identification, conducting surveys, issuing Certificates of Vending, and verifying eligibility of applicants under the scheme.
• ULBs coordinate with banks, lending institutions and digital payment aggregators to ensure timely processing of loan applications.

Digital Platforms

• Vendors apply for loans through the PM SVANidhi portal or mobile application, simplifying application procedures and enabling digital tracking of applications.
• The mobile application includes a voice-based grievance redressal system, improving accessibility for vendors with limited literacy or digital skills.

Implementation Data  

• As of 31 January 2026, 72.71 lakh street vendors have availed loans under the scheme, reflecting wide coverage across India’s urban informal sector.
• Awareness campaigns conducted by the Ministry of Housing and Urban Affairs include radio jingles, television advertisements, social media outreach and local language IEC materials.
• Following scheme restructuring in August 2025, SMS notifications were sent to approximately 69 lakh beneficiaries informing them about updated scheme benefits.
• Lok Kalyan Melas organised between September and October 2025 facilitated vendor mobilisation, loan application support, digital onboarding and faster disbursement.

Governance and Economic Significance

Economic Impact

• PM SVANidhi strengthens micro-enterprise development in urban informal sectors, supporting small vendors who operate with minimal capital and limited access to institutional credit.
• The scheme improves financial resilience of vulnerable urban households, particularly migrants, seasonal workers and self-employed individuals.

Social Justice Dimension

• The scheme promotes inclusive urban development by recognising street vendors as legitimate economic actors rather than informal encroachers.
• It operationalises the constitutional values of right to livelihood, dignity of labour and social justice.

Digital Governance

• Integration of digital payments enhances financial transparency, digital literacy and formal financial integration of informal workers.
• The initiative aligns with India’s Digital India and JAM (Jan Dhan–Aadhaar–Mobile) trinity framework for direct benefit transfers.

Key Challenges

Identification and Coverage Issues

• Many street vendors remain unregistered due to outdated surveys or lack of Certificates of Vending, preventing them from accessing scheme benefits.
• Migrant and seasonal vendors often face documentation challenges and mobility constraints.

Institutional and Implementation Challenges

• Urban Local Bodies often face capacity constraints in conducting vendor surveys, verifying applications and coordinating with financial institutions.
• Delays in loan processing occur due to bank hesitancy, risk perception and incomplete documentation.

Financial Sustainability

• Many vendors operate with low and unstable incomes, making timely loan repayment difficult and increasing the risk of loan defaults.

Digital Divide

• Despite incentives, adoption of digital payments remains uneven due to limited smartphone access, low digital literacy and unreliable internet connectivity in many urban areas.

Way Forward

• Conduct regular nationwide vendor surveys and update vending registers to ensure comprehensive identification of beneficiaries.
• Strengthen Town Vending Committees and Urban Local Bodies through capacity-building and financial support.
• Expand digital literacy programmes and affordable smartphone access to enhance digital payment adoption among street vendors.
• Integrate PM SVANidhi with urban livelihood programmes such as DAY-NULM, enabling skill development, market linkages and enterprise expansion.
• Develop urban vending zones and infrastructure such as vending markets, storage facilities and waste management systems to improve working conditions.

Prelims Pointers

• PM SVANidhi launched in June 2020 for street vendors affected by COVID-19.
• Provides collateral-free loans starting at ₹10,000, with subsequent cycles up to ₹20,000 and ₹50,000.
• 7% interest subsidy on timely repayment.
• 72.71 lakh vendors benefited as of January 2026.
• Implemented by Ministry of Housing and Urban Affairs