THE WEEK Maritime Conclave 2024: 'The Haldia access channel will be a game changer', says Inland Waterways Authority chairman

“Over the last decade, industries have increasingly turned to waterway logistics, which has shown an impressive compound annual growth rate (CAGR) of over 20 per cent in cargo movement,” says Vijay Kumar, Chairman, Inland Waterways Authority of India. 

While talking at THE WEEK Maritime Conclave 2024 in Chennai, Kumar noted that this growth reflects a rising trend in transporting goods such as coal, iron ore, iron ore fines, and fly ash via waterways.

However, despite this growth, inland waterways transport still represents only 2 per cent of India's cargo movement—significantly lower than the approximately 10 per cent share in some developed nations. “Recognizing this gap, India has set an ambitious target to carry 200 million metric tons of cargo by 2030 through its waterways. This shift could transform the nation's logistics framework, driving economic and environmental benefits,” he says. 

Kumar highlighted that one of the most ambitious projects of the Inland Waterways Authority of India is the Jal Marg Vikas project, funded by a World Bank loan. "The National Bay Waterfront essentially comprises the Ganga, where we are developing nearly 1,400 kilometres of navigable waterways from Haldia to Varanasi. Traffic movement on this route has already increased to 12 million metric tons (MMT),” he says. 

A critical concern in the industry regarding the Ganga waterway has been whether it maintains adequate depth (draft) year-round for cargo ships. “This issue has largely been resolved. We have divided the waterway into 11 sections, with bridging contracts already in place for nine of them. The tenth contract will be awarded within the next 10 days, and the Haldia access channel is being dredged through Kolkata port. This will be a game changer, ensuring sufficient draft for vessels travelling between Varanasi and Haldia,” he says. 

Kumar notes that the Inland Waterways Authority established terminals along the waterways at Varanasi, Kalughat, Sahebganj and Haldia, all of which are already connected to national highways. “We are also working to link them to the rail network. An impressive engineering achievement has been the Farakka navigational lock, which previously took hours for a ship to pass through; now, with the new navigation lock, it takes only about 20 minutes. This is an engineering marvel in its own right. Additionally, we are addressing obstacles to cargo movement on National Waterway 1, which currently has about 10 pontoon bridges,” he says.