The Inland Waterways Authority of India (IWAI) has entered into a Memorandum of Understanding (MoU) with Rhenus Logistics India Private Limited.
This partnership aims to enhance cargo movement across national waterways, promoting sustainable and efficient transportation solutions. Under the agreement, Rhenus Logistics will deploy a fleet of 100 cargo vessels, including pusher tugs, in a phased manner along National Waterways 1, 2, and 16, as well as the Indo-Bangladesh Protocol routes. The initial phase, commencing in the third quarter of 2025, will see the introduction of 20 barges and six pusher tugs.
These vessels are designed for low-draft navigation, facilitating the transport of both bulk and break-bulk cargo across North, East, and Northeast India, with plans to extend services to neighboring countries. This initiative is expected to reduce operational costs and make the IWT sector more competitive and responsive to market demands. The collaboration aligns with the objectives of the Jal Marg Vikas Project, supported by the World Bank, which focuses on enhancing the capacity of National Waterway-1. The project encompasses maintenance dredging, construction of terminals and navigational locks, establishment of community jetties, and provision of navigational aids to ensure smooth and efficient cargo movement.
This partnership signifies a significant step towards integrating private sector participation in India’s IWT sector, aiming to unlock new opportunities for innovation and capital investment. By leveraging Rhenus Logistics’ global expertise, the initiative is poised to transform India’s inland waterways into a robust engine of economic growth and sustainable development.
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