New Delhi, Oct 28: The Union Cabinet, chaired by Prime Minister Narendra Modi, has approved the Container Manufacturing Promotion Scheme (CMPS) with budgetary outlay of Rs.10,000 crore upto financial year 2039-40 envisages to establish a globally competitive container manufacturing ecosystem in India, reduce import dependence and strengthen supply-chain resilience.

The scheme is intended to support new manufacturing facilities as well as expansion of existing container manufacturing units.

The Scheme for Container Manufacturing was announced in the Union Budget 2026–27.

The scheme has the following major components:

Interest Subvention Assistance (ISA) with a financial outlay of Rs.859 crore to provide Interest subvention of 3% per annum on eligible term loans (capital loans) availed by container manufacturers for setting up of greenfield container manufacturing facilities and Brownfield expansion of existing container manufacturing capacities

Operational Expenditure Assistance (OEA) with a financial outlay of Rs.8,891 crore to provide financial assistance for all containers manufactured as per global shipping standards and sold by eligible container manufacturers. This would help bridge the cost gap and improve the competitiveness of domestically manufactured containers.

Testing and certification assistance with a financial outlay of Rs.150 crore to support setting up of common facilities such as Dynamic longitudinal impact testing etc.

Overall impact envisaged:

Increase annual domestic container manufacturing capacity by around ten-fold, up to 7.5 lakh TEUs.

Creates an internationally competitive manufacturing base, with potential to position India as a global export hub for quality shipping containers.

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Strengthens resilience of India’s maritime and logistics supply chains.

Generate an estimated 3,000 direct jobs and over 50,000 indirect jobs, while supporting ancillary industries such as corner castings, specialised steel, wooden frames and paints.