The Hindu Business Line : Inland waterways

Increased cargo movement in India in recent times has once again brought into focus the need to develop inland waterways to ease the congestion on road and rail systems.

Industry experts got together in Mumbai recently to discuss ways to develop the extensive network of inland waterways, the potential involved and the impediments.

The present level of cargo movement via inland waterways is about 1.5 billion tonne km, but the potential is estimated to be as 50 billion tonne km, if right attention is given to this sector.

Inland water transportation includes natural modes, such as navigable rivers, and artificial modes such as canals.

Three Major Waterways

India has three major waterways that have been declared National Waterways — the Ganga-Bhagirathi-Hoogly system from Allahabad to Haldia; the Brahmaputra system in Assam; and the west coast canal system in Kerala. Says Mr Atul Kulkarni, Senior Manager of consultancy firm Deloitte: "Commercially however the most important sector is the small tidal riverine system in Goa, comprising the Zuari and the Mandovi rivers and the Cumbarjua canal."

Inland waterways carry only 0.2 per cent of the total cargo moved within the country, with road and railways accounting for 54 per cent and 34.4 per cent respectively.

China moves about 10 per cent of its freight on inland waterways whose navigable length is 15,500 km, of which 5,700 km (37 per cent) is used for navigation by merchandised vessels.

There is no gainsaying the advantages of inland water transportation. "It is estimated that one gallon (3.8 litres) of fuel transports one tonne of freight through 827 km by a barge compared to 325 km by train and 95 km by truck. This is the safest mode of transporting large quantities of chemicals and toxic materials with the least danger to the surrounding cities," points out Mr Kulkarni.

According to a recent European Commission survey into the cash spent on socio-economic costs of various types of transport, such as accidents, air pollution, climatic change, noise pollution and congestion, road transportation accounted for 91.5 per cent of the costs, while inland navigation accounted for just 0.5 per cent.

Industry experts say that development of one km of highway cost Rs 6 crore, while much less than this amount would be adequate to develop 100 km of waterways.

A Deloitte survey revealed that out of every 100 vessels plying between India and Bangladesh along the protocol route, only three are Indian.

Also, occasionally boats muster the courage to make a long trip and often run aground in the process.

Mr S. Rangnekar, executive director of Shipping Corporation of India, points out that inland water transportation had degenerated due to factors such as deforestation in catchment areas, siltation of rivers, diversion of water for irrigation and construction of cross structures such as bridges.

New initiatives

The Government has however taken some initiatives to develop this sector, primary of them being vessel building subsidy of 30 per cent of the cost to ship-owners for inland vessels.

The Inland Waterways Authority of India also proposes to declare three more waterways as National Waterways — the canal system from Kakinada to Puducherry, the east coast canal in Orissa and West Bengal, and the Barak river in Assam.

Says Mr S. K. Shahi, chairman and managing director of Shahi Shipping: "The shift of one billion tonne km from road to inland waterways would result in a saving of Rs 80 crore on account of fuel alone."

Shahi Shipping recently entered into a joint venture with the IWAI to operate 14 inland water vessels along NW 1 and 2 to move one million tonnes of cargo annually. "This will save movement of one lakh trucks annually between the North-East States and Kolkata/Haldia," he pointed out.

The industry feels that such initiatives would go a long way in the development of this mode of transportation in the coming years.