Cabinet approves Container Manufacturing Promotion Scheme with Rs 10,000 crore outlay

National Scheme Economy & Banking Infrastructure & Transport

Cabinet approves Container Manufacturing Promotion Scheme with Rs 10,000 crore outlay

28 October 2026

The Union Cabinet approved the Container Manufacturing Promotion Scheme (CMPS) with a total outlay of Rs 10,000 crore, running up to the financial year 2039-40. The scheme was announced in the Union Budget 2026-27 and aims to build a domestic container manufacturing base and cut import dependence. It has three components: Interest Subvention Assistance of Rs 859 crore, giving a 3 per cent annual interest subvention on eligible term loans for new units or expansion of existing ones; Operational Expenditure Assistance of Rs 8,891 crore for containers built to global shipping standards and sold by eligible manufacturers; and Rs 150 crore for testing and certification facilities such as dynamic longitudinal impact testing. Domestic annual container manufacturing capacity is expected to rise by up to 7.5 lakh TEU, about tenfold, with an estimated 3,000 direct jobs and over 50,000 indirect jobs.

Total outlay: Rs 10,000 crore Scheme period: up to FY 2039-40 Interest subvention: 3 per cent a year, Rs 859 crore Operational expenditure assistance: Rs 8,891 crore Capacity addition expected: up to 7.5 lakh TEU a year

Why it matters for exams: A named Budget 2026-27 scheme with a stated outlay, three components and a capacity target in TEU -- the unit in which container traffic is always measured.

Kerala PSCUPSC

28 October 2026 Source: Press Information Bureau

In plain words

TEU Twenty-foot Equivalent Unit — The standard unit for counting shipping containers, based on a twenty-foot container.

CMPS Container Manufacturing Promotion Scheme — The scheme approved to build container manufacturing capacity in India.