Shipping Agreement with Rhenus Logistics Aims to Boost Cargo Movement Across India's Inland Waterways

The Inland Waterways Authority of India (IWAI) has partnered with the Rhenus Group to enhance India's inland waterways. This collaboration aims to improve logistics by introducing scheduled barge operations on key National Waterways (NWs). The agreement allows Rhenus Logistics India Pvt. Ltd. to start these operations, marking a significant step in boosting the sector.

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Initially, Rhenus will focus on National Waterways 1 (Ganga), 2 (Brahmaputra), and 16 (Barak), along with the Indo-Bangladesh Protocol route. These routes will facilitate the movement of bulk and break-bulk cargo across North, East, and Northeast India. The operations are expected to gradually expand to other NWs.

Boosting Cargo Movement

The MoU outlines that Rhenus will introduce 100 barges in phases. In the first phase, 20 barges and six pushers will be deployed. This initiative targets moving over one million tonnes of cargo annually by the end of 2025. The partnership leverages Rhenus' expertise in European inland navigation and its global fleet of more than 1,100 barges.

Union Minister of Ports, Shipping and Waterways, Sarbananda Sonowal, stated, "Our ministry, with such initiatives, is focused on unlocking the full potential of inland water transport as a national growth engine powering the hinterland towards sustainable development and vigorous growth."

Integrating Global Practices

Rhenus' involvement brings global best practices into India's Inland Water Transport (IWT) ecosystem. This integration is expected to enhance efficiency and sustainability in cargo movement. The IWAI serves as the nodal agency for National Waterways under the Ministry of Ports, Shipping & Waterways.

Cargo movement on India's waterways has seen significant growth, increasing from 30 million metric tonnes per annum (MMTPA) in 2014-15 to 133 MMTPA in 2023-24. Over the past decade, this has resulted in a cumulative movement of over 779 million metric tonnes (MMT).

This collaboration between IWAI and Rhenus Group marks a pivotal moment for India's inland waterways sector. By integrating advanced logistics solutions and expanding barge operations, it aims to significantly boost cargo movement across the country.

With inputs from PTI