The Freight Investigation Bureau was established in 1959 as part of the Directorate General of Shipping to regulate ocean freight rates and ensure adequate shipping space for Indian shippers. The Bureau investigated complaints about high or discriminatory freight rates. It also analyzed changes to rates and their impacts. However, the Bureau was abolished in 1986 as shippers were able to negotiate freight rates on their own during an industry recession. Regulation of freight rates is now left to market forces.

2. Freight Investigation Bureau (FIB) was set up in the Directorate
General of Shipping 1959. This has branch offices at Calcutta,
Cochin, Kandla, Madras and Vishakhapatnam. The main
functions of FIB are:
 To investigate into the representations of shippers or shippers’
councils relating to high/ anomalous/ discriminatory freight rates
and to secure necessary adjustment;
 To critically examine proposals of Conference Lines on periodic
increases in freight rates and to provide guidance to shippers’
councils with a view to enabling them to have an effective
dialogue with Conferences on such proposals;
 To provide spot assistance to shippers all over the country in
procuring timely and adequate shipping space;
 To collect, maintain and examine freight rates of
Conferences/Ship-ping Lines operating in India’s overseas trade
and also in international cross trade;

3.  To analyze the impact of changes in freight rates and to keep
shippers’ councils and other organizations concerned posted on
such amendments;
 To investigate into complaints regarding lack of shipping
facilities;
 To serve as a liaison organization between shippers and shipping
companies to solve shipping and freight problems through
mutual consultation.

4. Fundamentally, The Directorate General of Shipping was responsible
for the regulation of ocean freight rates and provision of shipping
space in overseas and coastal trades for the benefit of shippers.
This work was handed by organization of the Directorate known
as Freight Investigation Bureau.
However, since 1986, the Bureau is abolished as the industry faced a
prolonged recession during the 70’s and 80’s wherein the shippers
were able to get the space at the freight rates they desired. The
Directorate was also not supported with any statutory powers to
deal with the commercial disputes of shippers and ship-owners.
As a result, freights are now governed by market forces.

6. The Directorate General of Shipping, India deals with implementation of
shipping policy and legislation so as to ensure the safety of life and
ships at sea, prevention of marine pollution, promotion of maritime
education and training in co-ordination with the International
Maritime Organization, regulation of employment and welfare of
seamen, development of coastal shipping, augmentation of shipping
tonnage, examination and certification of Merchant Navy Officers,
Supervision and Control of the allied offices under its administrative
jurisdiction.
The subject of Shipping was, in the beginning, dealt with by the Ministry
of Commerce, till 1949 and subsequently, in 1951, it was shifted to the
Ministry of Transport and Shipping. In 1947, the Government of India
announced the National Policy on Shipping, aiming at the total
development of the industry. In order to accelerate the developmental
efforts, the necessity for a centralized Administrative organization
was felt and accordingly, it was in September 1949, the Directorate
General of Shipping with its Headquarters at Bombay was
established.

7. The initial objectives of the Directorate General of Shipping
were :
 Matters affecting Merchant Shipping & navigation and
administration of the Merchant Shipping Law ;
 Measures to ensure safety of life and ships at sea;
 Development of Indian Shipping;
 International Conventions relating to Maritime matters;
 Provision of facilities for training of Officers and ratings for
Merchant Navy;
 Regulation of Employment of Seamen and there welfare;
 Development of Sailing Vessel Industry and
 Regulation of Ocean freight rates in overseas trades.

9. The Director General of Shipping has under his Administrative control the
following offices and institutions:-
1. Office of the Principal Officer, Mercantile Marine Department, Calcutta,
Mumbai and Madras with subordinate offices at Jamnagar and Goa
under the Principal Officer, Mumbai, Cochin, Vishakhapatnam and
Tuticorin under the Principal Officer, Madras and Port Blair under the
Principal Officer, Mercantile Marine Department, Calcutta.
2. Training Ship “Chanakya”, Mumbai headed by a Captain Superintendent,
which provides training to navigating side.
3. Marine Engineering Research Institute, Calcutta and Mumbai, each headed
by a Director and a Deputy Director respectively, which provide pre-
sea training to cadets in marine engineering.
4. Lal Bahadur Shastri College of Advanced Maritime Studies and Research,
Mumbai headed by a Principal, which provides post sea instruction in
Navigation and Engineering to candidates preparing for M.O.T.
Examinations for various grades of Certificate of Competency.

10. 5. Shipping Offices, Mumbai and Calcutta, each headed by a Shipping
Master.
6. Seamen's Employment offices, Mumbai and Calcutta, each headed by a
Director to regulate employment to Seamen on Ships on the Principle of
rotation.
7. Seamen's Welfare Office, Madras headed by a Seamen's Welfare officer to
look after the welfare of seamen.
8. First Secretary (Shipping), High Commission for India in London, to keep
liaison with International Maritime Organization (IMO) and
Government of India and also to look after other matters related to
Indian Merchant Shipping.
9. Regional Offices (Sails), Mumbai, Calicut, Tuticorin and Jamnagar each
headed by a Regional officers (Sails), which assist the sailing vessels
owners in organizing themselves or better securing of cargo,
standardization of trade practices, elimination of malpractice and look
after the Welfare and amenities of seafarers under sail.