CHUGGING ALONG

TAKEAWAYS FOR LEVERAGING GROWTH 1

POTENTIAL
INLAND WATERWAYS – THE X FACTOR COMPARATIVE
COMPARATIVE CARGO
CARGO COST
COST (estimated)
(estimated)
 In India, Inland Water Transport (IWT) has the potential to supplement
the over-burdened railways and congested roadways through not just
cargo movement but also through carriage of vehicles and tourism. Roadways
Roadways
 Currently, only 0.5% of freight transport in India takes places on water
compared to 65% by road and 27% by rail. Major economies like US, EU ₹1.5 (2.1¢ US) per km
and China conduct 7-8% of their freight transport on water.
 Transporting freight via river systems is much cheaper and greener
than using road and rail - one litre of fuel moves 24 tonnes km by road,
95 tonnes km on rail and 215 tonnes km on IWT. Railways
Railways
 Ferrying goods via waterways is faster than on congested road and rail ₹1.0 (1.4¢ US) per km
networks, which slows the movement of cargo, adding to uncertainties,
and increasing the costs of trade.
 Environmental effects - while ship movement and dredging on
biodiversity impacts some parts of the river ecosystem, when Waterways
Waterways
compared to other means of transport, IWT creates lowest pollution.
 As evidenced during the Covid-19 pandemic of 2020, IWT is the least ₹0.5 (0.7¢ US) per km
impacted node when it comes to lockdowns and logistical disasters.

“…waterways
“…waterways are are very
very important...In
important...In
China,
China, the logistics cost is 8-10
the logistics cost is 8-10 per
per cent,
cent,
On in
in European
European countries
countries itit isis 12-14
12-14 per
per
On the
the left
left
cent
cent and
and in
in India
India itit isis 18
18 per
per cent.”
cent.”
The
The logo
logo of
of Kolkata
Kolkata Port (KoPT),
Port (KoPT), officially
officially
known
known as Syama
as Syama Prasad
Prasad Mookerjee
Mookerjee Port
Port -- Nitin
Nitin Gadkari,
Gadkari, Transport
Transport Minister
Minister
Trust,
Trust, the only riverine major port of
the only riverine major port of
India
India