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Sagarmala, Ministry of Shipping is all set to change the Indian mining industry by empowering lower cost logistics that was not possible previously. India has an abundance of natural resources. For example, coal, aluminium, iron and others. The end customers of these resources are not found close to the origin and it requires substantial expenses to provide the minerals to its end customers situated inside and outside of India.
There is a significant potential in moving mineral assets utilizing coastal shipping and inland waterways. In some cases, it can be 60-80 less expensive as compared to road or rail transport. In India the share of waterfront transportation and inland waterways has been low however is consistently increasing because of Sagarmala.
The Flagship programme expects to build development of coal through coastal route from 27 million tons per annum (MTPA) in 2015-16 to 129 MTPA by 2025 leading to increase in inland waterways and coastal shipping contribution from 6 to 12 percent in total transportation in India. The programme targets lessening the cost of power generation by rs 0.50 per unit of power by way of savings in logistics cost.
Different minerals, for example, limestone for cement and fertilisers could be moved through coastal shipping to the extent of around 80-85 MT by 2025. Furthermore, an expected 60-70 MT of cargo can also be moved over inland waterways by 2025.
Major commodities and their projections include coking coal, thermal coal, steel, iron ore, coke, fertilisers, cement, food grains, bauxite, alumina, granite blocks, Nickel, Nickel products, petroleum, oil, lubricants, imported coal, manganese, limestone, containers, naphtha, apparel, POL crude.

Tuticorin port imports 13.8 MTPA of thermal coal, primarily for the consumption of power plants. Of this, 4.4 MTPA is coastally shipped while 9.3 MTPA is imported coal catering to Tuticorin thermal power plant, Coastal Energen, Ind Bharath power plant, DCW, Sterlite, NTPL and other non-power customers. With the power sector growth resulting in higher PLFs and the new capacity expected to come up around Tuticorin, along with import substitution on the back of rising domestic coal production, thermal coal imports can reach 27 MTPA by 2020 and 38 MTPA by 2025.

Thermal coal movement is predominantly by rail. While domestic coal is mostly transported directly by rail from mines to power plants, there is some movement to ports as well, e.g., from Mahanadi Coal fields in Odisha to Paradip port. Imported coal-based generation is mostly located in the immediate vicinity of ports with a few exceptions in Rajasthan and Maharashtra. The proposed impetus to coastal shipping could significantly alter connectivity needs for coal movement. Being close to the Bellary belt, Mormugao is an ideal location to export finished steel products from these plants to coastal locations as well as to places outside India. The Mormugao port exports 1 MTPA hot rolled (HR) steel coils from nearby plants. With natural steel multiplier growth, the volume of exports is expected to grow up to 1.3 MTPA by 2020 and to 2 MTPA by 2025.