- Why in news
- On 11 August 2026, PIB reported that India became the world's top ship recycling nation in 2025, with its global share rising from 30.1% to 35.4%, citing UNCTAD.
- What it is
- Ship recycling is the safe and environmentally sound dismantling of ships at the end of their life, recovering steel and other materials. India's main hub is the Alang-Sosiya cluster in Gujarat. The sector is governed by the Ship Recycling Act, 2019 and the Hong Kong Convention, which sets binding safety and environmental standards.
- Global rank and share
- India ranked first in ship recycling in 2025 per UNCTAD. Its share rose from 30.1% in 2024 to 35.4% in 2025.
- Hong Kong Convention in force
- The Convention came into force on 26 June 2025, making compliance mandatory.
- Alang-Sosiya
- The Gujarat cluster handles about 98% of India's ship recycling activity.
- Hong Kong Convention background
- The Convention was adopted in 2009 under the International Maritime Organization (IMO).
- Yards seeking EU recognition
- More than 30 Indian yards have applied for EU recognition. Six are in the compliance and approval process.
- Yards eligible to apply
- Three yards have completed all compliance procedures and are eligible to apply for inclusion under the EUSRR.
- India's global share
- Per UNCTAD estimates, India's share rose from 30.1% in 2024 to 35.4% in 2025.
- Joint Working Group
- The EU Commissioner proposed a Joint Working Group with the Ministry of Environment and other relevant bodies. The matter will go to EU member states in the autumn session before any final decision.
Don’t confuse with Hong Kong Convention vs Basel Convention: The Hong Kong Convention is an IMO instrument specific to ship recycling. The Basel Convention, under UNEP, governs transboundary movement of hazardous wastes.
Don’t confuse with Ship Recycling Act vs Rules vs Regulations: The Act (2019) is the primary law. The Rules (2021) and Regulations (2026) set procedural, technical and operational details.
Don’t confuse with Basel Convention vs Hong Kong Convention: The Basel Convention (UNEP) controls transboundary movement of hazardous wastes. The Hong Kong Convention (IMO) deals specifically with ship recycling.
Don’t confuse with EUSRR vs Hong Kong Convention: The EUSRR is EU law that lists approved yards for EU-flagged ships. The Hong Kong Convention is an international IMO treaty.
Economy terms and data: 42 Prelims questions since 2013, rising in recent years; they test what a term or instrument means. In Mains, 12 news-triggered questions.
Why it matters
- Provides domestic scrap steel, reducing import dependence and supporting the circular economy.
- Generates employment and supports Make in India and Atmanirbhar Bharat, while meeting the MIV 2030 target early.
- Recognition by the EU would open recycling of EU-flagged ships to Indian yards and raise India's standing in the circular economy.
- It would support jobs and steel recovery at Alang-Sosiya.
Problems
- Worker safety and hazardous material handling remain a concern at beach-based yards.
- Yards must meet EU green-listing and Hong Kong Convention standards to stay competitive.
- Yards must meet strict audit, worker safety and environmental standards, including unannounced inspections.
- Beaching practice and hazardous waste handling remain a concern for environmental and labour groups.
Way forward
- Expand capacity through the Alang master plan and keep upgrading yards.
- Enforce Inventory of Hazardous Materials compliance and continue worker training.
- Continue yard upgrades and transparent audits, and use the proposed Joint Working Group for coordination.
- Strengthen worker welfare and waste management so compliance holds over time.
Put in your answer
Alang training institute: The Safety Training and Labour Welfare Institute at Alang has trained over 1.5 lakh workers.
Ex-INS Viraat: The aircraft carrier was recycled at Alang, showing capacity for large vessels.
Ship Recycling Act, 2019: India's law that regulates the sector and aligns it with the Hong Kong Convention.
- 2023Mains GS2 · Q20Role of IMO in protecting environment and enhancing maritime safety and security
- 2013Mains GS3 · Q20Legal provisions for managing and handling hazardous wastes in India
- 2021Prelims Q16R2 Code of Practices promoting environmentally responsible electronics recycling industry practices
UPSC’s own questions that come close to this issue, from our Prelims and Mains banks.
Prelims practice · Single answer
Ours, not from a UPSC paper
With reference to ship recycling in India and the Hong Kong Convention, consider the following statements:
Which one of the following is correct?
True or false?
1 of 7
Statements the way Prelims prints them. Say first, then see the fact.
1.More than 30 Indian ship recycling yards have applied for recognition under the EU Ship Recycling Regulation.
True. More than 30 Indian yards have applied.
2.All Indian yards that applied have already been included in the EU list.
False. Only three yards have completed compliance and are eligible to apply for inclusion; the EU decision is pending.
3.According to UNCTAD estimates, India's share in global ship recycling was 35.4% in 2025.
True. India's share rose from 30.1% in 2024 to 35.4% in 2025.
4.The Hong Kong Convention was adopted under the aegis of the International Labour Organization.
False. It was adopted under the International Maritime Organization.
5.The EU Commissioner said the final decision on Indian yards would follow discussion with EU member states in the autumn session.
True. The matter will be discussed with member states in the autumn session before any final decision.
6.India recycled about 2.99 million gross tons of ships in 2025, nearly 60% more than in 2024.
True. 2.99 million GT in 2025 against 1.86 million GT in 2024.
7.India's main ship recycling cluster, Alang-Sosiya, is located in Tamil Nadu.
False. Alang-Sosiya is in Gujarat, on the Gulf of Khambhat.
Written by us from the release, not by UPSC; checked by a second model.
Worth revising until Prelims 2028: most news questions come within two years of the event.