India’s Inland Waterways Authority (IWAI) has reported an all-time high cargo movement of 145.5 million metric tonnes (MMT) in the Financial Year 2024–25.
Headquartered in Noida, Uttar Pradesh, the IWAI’s landmark achievement marks a staggering 700% increase from just 18.1 MMT in FY 2013–14, underpinned by a robust compounded annual growth rate (CAGR) of 20.86 percent. This growth, experts note, is not merely about volumes—it reflects India’s strategic pivot to greener, low-emission transport models in alignment with its net-zero ambitions. A lion’s share of the cargo comprised coal, iron ore, iron ore fines, sand, and fly ash—accounting for over 68 percent of the traffic. The waterways are no longer just conduits for freight; with 1.61 crore passengers traversing these routes in FY 2023–24, they are quietly emerging as the lifeblood of an eco-conscious mobility revolution.
Central to this resurgence is the policy overhaul steered by the Ministry of Ports, Shipping and Waterways (MoPS&W). From expanding the number of National Waterways (NWs) from five to 111 under the National Waterways Act, 2016, to increasing operational lengths from 2,716 km to 4,894 km, India has laid down a formidable riverine logistics network. What’s more, digital innovations such as LADIS, RIS, PANI, and MIRS have brought much-needed predictability and ease of business to inland shipping. The Jalvahak Cargo Promotion Scheme, launched in December 2024 with a budget of ₹95.42 crore, further incentivises shippers by reimbursing up to 35 percent of actual operational costs. Regular, scheduled cargo services ensure reliability, a key to attracting private investment and transitioning industry cargo from congested roads to serene waterways.
The government’s foresight in extending the tonnage tax regime to inland vessels earlier this year also positions India as a competitive inland shipping destination. Instead of taxing profits, operators are now taxed based on vessel tonnage—a move welcomed for its stability and clarity. Infrastructural synergies are being pushed through multimodal integration. Strategic terminals at Varanasi, Sahibganj, and Haldia are now under the administration of the Shyama Prasad Mookerjee Port in Kolkata, paving the way for seamless cargo transfers between river, rail, and road. Meanwhile, the development of cargo aggregation hubs such as the Freight Village in Varanasi and the Integrated Logistics Park in Sahibganj targets industrial gaps along inland waterways.
The operationalisation of Routes No. 5 and 6 under the Indo-Bangladesh Protocol further opens new avenues for cross-border riverine trade, while over 140 Public Sector Undertakings (PSUs) are actively evaluating the transition of bulk movement to waterways—bolstering not just green transport, but also economic viability. This shift is part of the broader Maritime Amrit Kaal Vision, which aims to elevate the Inland Water Transport (IWT) modal share from 2 percent to 5 percent by 2030, and move over 500 MMT by 2047. The targets may appear ambitious, but with the groundwork firmly laid, the tides are clearly turning in favour of clean, inclusive, and multimodal mobility.
In a country where urban air pollution and road congestion are chronic concerns, India’s renewed investment in riverine logistics offers more than just cargo solutions—it promises a future where sustainability and scalability travel hand in hand.
Also Read: https://urbanacres.in/indias-waterways-reach-new-milestone-in-cargo-movement-promoting-clean-transport/
Noida Leads Eco Cargo Surge on Waterways
