WATER TRANSPORT INFRASRTUCTURE IN INDIA

Published on 01 Mar 2025

Water transport in India, encompassing inland waterways and coastal shipping, is a crucial and cost-effective component of the country's transport infrastructure. It offers an eco-friendly alternative to road and rail transport, with significant government initiatives like the Sagarmala Project and the development of National Waterways aimed at enhancing its role in reducing logistics costs and promoting sustainable transportation.

Key Components and features of water transport 

• Inland Waterways

• National Waterways (NWs): India has declared 111 National Waterways, of which key operational ones like NW-1 (Ganga), NW-2 (Brahmaputra), and NW-3 (West Coast Canal) cover over 20,000 km. 

• These waterways offer a cost-effective transport mode, with costs of around ₹1.06 per tonne-km compared to ₹2.50 by road.

• Features: Inland waterways are ideal for bulk cargo, reduce road congestion by diverting freight, and are energy-efficient, consuming only 1/5th the fuel of road transport.

• Coastal Shipping

• Coastal Routes: Coastal shipping handles around 230 million tonnes of cargo annually, contributing significantly to India’s domestic trade. 

• It connects over 7,500 km of coastline, facilitating the movement of goods between major ports and neighbouring countries.

• Features: Coastal shipping supports heavy and oversized cargo, offering a cheaper alternative to land transport. 

• It plays a key role in the Sagarmala Project, which aims to reduce logistics costs by ₹35,000-40,000 crore annually.

•  Port Infrastructure

• Major and Minor Ports: India’s 12 major ports and over 200 minor ports collectively handle around 1.3 billion tonnes of cargo annually. 

• Major ports like Jawaharlal Nehru Port Trust (JNPT) and Kandla are crucial for international trade.

• Features: Ports are equipped with modern cargo handling facilities, including container terminals and deep-draft berths, and are connected to road and rail networks. 

• Private sector investments through PPP models have led to significant capacity enhancements.

•  Dredging and Navigation

• Dredging: To maintain navigable depths in waterways and ports, dredging is essential. For example, the Inland Waterways Authority of India (IWAI) regularly conducts dredging on NW-1 to ensure year-round navigation.

• Features: Dredging operations keep channels clear, enabling safe passage for vessels and ensuring continuous operation, especially for larger ships.

• Logistics and Connectivity

• Multimodal Transport: Integrating water transport with road, rail, and air networks enhances logistical efficiency. The development of multimodal terminals, such as the one at Varanasi on NW-1, supports seamless cargo movement.

• Features: Improved port connectivity through dedicated freight corridors and logistics hubs facilitates smooth movement of goods, contributing to reduced transportation costs and time.

Challenges faced by water transport infrastructure

• Inadequate Infrastructure

• Limited Port Capacity: India’s major ports handled around 720 million tonnes of cargo in 2021-22, but many minor ports struggle with limited capacity.

• Example: Kolkata Port faces challenges in handling larger vessels due to draft limitations, leading to frequent congestion and operational delays.

• Outdated Facilities: Many ports still rely on older cargo handling systems, reducing overall operational efficiency.

• Example: Ports like Chennai and Vizag average 3-4 days for turnaround times, significantly higher than global standards of less than 24 hours.

• Dredging and Navigability Issues

• Insufficient Dredging: Regular dredging is crucial for maintaining navigable depths in waterways, particularly for larger vessels.

• Example: National Waterway-1 (Ganga) often sees delays in dredging, resulting in reduced depth and the underutilization of its potential, currently handling only 4.5 million tonnes of cargo annually.

• Seasonal Variability: Seasonal changes significantly impact the navigability of inland waterways, particularly during dry seasons.

• Example: The Brahmaputra River (NW-2) becomes non-navigable for larger vessels for nearly four months each year, disrupting trade and transport activities.

• Limited Night Navigation Facilities

• Lack of Technology: Inadequate night navigation aids restrict waterway operations to daylight hours, limiting efficiency.

• Example: Inland Waterways like NW-3 (West Coast Canal) lack adequate night navigation systems, reducing its potential to handle up to 11 million tonnes of cargo annually.

• International Benchmark: The Rhine River in Europe operates 24/7 with advanced navigation systems, allowing for higher cargo throughput and more efficient utilization of resources.

• Regulatory and Administrative Challenges

• Complex Regulations: The water transport sector is overseen by various agencies, leading to complex regulatory processes and delays.

• Example: Obtaining clearance for a new terminal on NW-5 can take several months due to overlapping jurisdiction issues.

• Lack of Unified Policy: The absence of a cohesive national policy results in inconsistent standards and development across different regions.

• Example: Varying standards between states like West Bengal and Assam hinder interstate water transport efficiency.

• Competition from Road and Rail Transport

• Higher Costs for Short Distances: Water transport is often less competitive over shorter distances due to additional handling costs at ports.

• Example: Transporting goods between Mumbai and Goa via coastal shipping can be 20-30% more expensive and slower than road transport.

• Logistical Bottlenecks: Poor integration at ports with road and rail networks reduces the efficiency of multimodal transport.

• Environmental Concerns

• Pollution: Ports often face pollution issues, including oil spills and industrial waste disposal, leading to environmental damage and stricter regulations.

• Impact of Climate Change: Increasing frequency of extreme weather events, such as cyclones, disrupts port operations and damages infrastructure.

• Example: Cyclone Hudhud in 2014 caused damages exceeding ₹21,000 crore at Visakhapatnam Port, leading to significant operational delays.

• Limited Awareness and Skilled Workforce

• Awareness Issues: Many businesses are unaware of the cost advantages of water transport, leading to its underutilization.

• Example: Despite the cost benefits, only 2% of India’s domestic cargo is moved via inland waterways, compared to over 40% in countries like China.

• Skilled Workforce: The sector faces a shortage of trained personnel, affecting the quality and safety of operations.

Government initiatives and other measures to improve water transport infrastructure

Inland Waterways Development

• National Waterways Act (2016): The act declared 111 waterways as National Waterways (NWs) to boost inland water transport. Key projects include:

• Jal Marg Vikas Project (JMVP): Aims to develop NW-1 (Ganga) for commercial navigation. The project involves investments of ₹5,369 crore to improve infrastructure, including terminals, river information systems, and navigational aids.

• Example: The construction of the Haldia terminal under JMVP is expected to enhance cargo handling capacity significantly, potentially increasing throughput by 50%.

• Inland Waterways Authority of India (IWAI): Responsible for the development, regulation, and maintenance of inland waterways. Initiatives include:

• Dredging Operations: Regular dredging to maintain navigable depths. For example, IWAI's efforts on NW-2 (Brahmaputra) aim to improve year-round navigability.

• Infrastructure Development: Projects to develop terminals and jetties, such as the Varanasi Multi-Modal Terminal on NW-1, are designed to enhance connectivity and facilitate efficient cargo movement.

 Coastal Shipping Enhancement

• Sagarmala Project (2015): Focuses on modernizing ports, improving connectivity, and promoting coastal shipping. Key components include:

• Port Modernization: Investment in developing new ports and upgrading existing ones. For example, the expansion of the Jawaharlal Nehru Port Trust (JNPT) includes new container terminals and improved cargo handling facilities.

• Coastal Economic Zones (CEZs): Development of 14 CEZs to boost industrial growth along the coast. These zones are expected to attract investment and create jobs.

• National Perspective Plan (NPP) for Sagarmala: Outlines long-term goals for port and coastal infrastructure development, including:

• Integrated Logistics: Developing multimodal transport hubs and improving connectivity between ports and inland areas.

• Example: The development of the Kandla Port's container terminal aims to streamline operations and enhance the efficiency of coastal shipping.

Port Infrastructure Improvements

• Major Port Trusts Act Amendments: Reforms to enable greater private sector participation through Public-Private Partnerships (PPP). 

• Private Investment: The development of new terminals at ports like Paradip and Visakhapatnam involves private investment, increasing capacity and efficiency.

• Mechanization: Projects like the mechanization of cargo handling at Mumbai Port have reduced turnaround times and increased throughput.

• Infrastructure Upgrades: Investments in port infrastructure to handle larger vessels and increase capacity. 

• Deep Draft Ports: Expansion projects at ports like Jawaharlal Nehru Port include creating deep-draft berths to accommodate larger container ships.

 Regulatory and Policy Reforms

• National Waterways Policy: Aims to streamline regulations and promote the development of inland waterways. The policy focuses on:

• Simplified Procedures: Reducing bureaucratic hurdles for projects related to water transport infrastructure.

• Example: The policy's implementation has led to faster approvals for new terminal projects and infrastructure improvements.

• Green Port Initiatives: Introduction of measures to reduce environmental impact, such as:

• Pollution Control: Regulations to manage waste and prevent pollution in port areas. Technological Upgrades

• Navigation Systems: Investment in advanced navigation aids and technologies to enhance safety and efficiency. For example:

• River Information Systems (RIS): Deployment of RIS on key national waterways to provide real-time data on navigation and weather conditions.

• Example: RIS implementation on NW-1 (Ganga) improves navigational safety and operational efficiency for cargo vessels.

• Digital Platforms: Development of digital platforms for better management and monitoring of water transport infrastructure. 

• Port Community Systems: Implementation of digital systems to facilitate better coordination between port operators, customs, and shipping lines.

Tags:
Economy

Keywords:
Logistics Transport Water transport Sagar Mala waterways

Syllabus:
General Studies Paper 3

Topics:
Infrastructure Development