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Cargo vessel MV Homi Bhabha carrying silica sand in National Waterway 1 from MMT Ramnagar in Varanasi towards Kolkata. (Image credit: IWAI Facebook)

India’s inland water cargo hits record 145.5 MT in FY25

| @indiablooms | Apr 16, 2025, at 07:59 pm

Guwahati: India's inland water transport (IWT) sector clocked its highest-ever cargo throughput in FY2024–25, with 145.5 million tonnes (MT) moved across the National Waterways (NWs), media reports said.

Compared to the previous fiscal, this is a 9.34% jump and a staggering rise from just 18.10 MT in FY2013–14—a ten-year Compound Annual Growth Rate (CAGR) of 20.86%, according to the Inland Waterways Authority of India (IWAI), according to an India Today report.

The sharp rise comes on the back of strategic infrastructure ramp-up and supportive policy measures.

The number of operational waterways increased from 24 in the previous fiscal to 29 in FY25, significantly enhancing India’s inland cargo-handling network.

The report said waterborne cargo dominated, accounting for more than 68% of the total volumes moved during the year. Commodities such as coal, iron ore, iron ore fines, sand, and fly ash dominated.

Introduced in December 2023, the Jalvahak Cargo Promotion Scheme has emerged as a crucial enabler.

Offering up to 35% reimbursement on actual operating costs to cargo owners and operators, it has incentivised a shift to waterway transport.

The scheme also facilitated scheduled cargo services on National Waterways 1, 2, and 16, including those running through Indo-Bangladesh Protocol routes.

The move is expected to divert up to 800 million tonne-kilometres from road and rail to water.

Further bolstering the sector’s growth, the National Waterways (Construction of Jetties/Terminals) Regulations, 2025, were rolled out to simplify approvals for private players.

The digitally streamlined No Objection Certificate (NOC) process is expected to attract more public-private partnerships and joint ventures in terminal development.

To enhance navigability and cut transit times, end-to-end dredging contracts have been awarded across key stretches.

Additionally, the deployment of Roll-on/Roll-off (Ro-Ro) and Ro-Pax ferry services has smoothed cargo transitions, improving operational reliability across inland routes.

The government’s sustained efforts, through both regulatory and infrastructural initiatives, underline its intent to position inland waterways as a cost-efficient and sustainable component in India’s broader multimodal logistics framework.

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