Concessions and Finances for Passenger Ferry Operators Between India and Sri Lanka

Posted on the 19 August 2024 by Frontpage

Both Sri Lanka and the Indian government have offered a series of concessions and finances for the operators of the passenger ferry service between India and Sri Lanka which resumed last week between Nagapattinam in India and Kankesanthurai sailing four hours with around 50 passengers on board.

The ferry Sivagangai run by a private operator, IndSri Ferry Services, completed and in order to make service more affordable for passengers, Government of India has decided to provide financial assistance of over LKR 25 million  per month, for a period of one year, to cover relevant charges and operating costs at Nagapattinam port.

Similarly, the Government of Sri Lanka has reduced the deviation tax currently charged to passengers leaving Sri Lanka by passenger vessels and ships. Consul General Sai Murali visited KKS port to personally welcome passengers aboard the ferry ‘Sivagangai,’ at the KKS port. The services which were launched earlier in October 2023 was halted many times due to bad weather and other issues.

The resumption of the ferry will strengthen bilateral relations between India and Sri Lanka through improved connectivity, as highlighted in the vision document for economic partnership jointly adopted during the visit of  President Ranil Wickremesinghe to India in July 2023.