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India’s Inland Waterways Strategy (2025–2027): Reclaiming the Blue Corridors of Growth

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On May 26, 2025, Union Minister Sarbananda Sonowal chaired a Consultative Committee on Inland Waterways. The session outlined an ambitious multi-year strategy to operationalise 76 National Waterways by 2027, integrate sustainable transport, and transform India’s river systems into eco-friendly economic corridors. This push aligns with India’s Maritime India Vision 2030, Amrit Kaal Maritime Vision 2047, and the goals of the Gati Shakti National Master Plan.

 
Table of Contents:

  1. Introduction: Why Inland Waterways Matter Now

  2. National Inland Waterways Grid: Vision and Expansion

  3. Key Infrastructure Projects and Economic Corridors

  4. Environmental Sustainability and Green Shipping

  5. Cruise Tourism and Socio-economic Integration

  6. Institutional Reforms and Governance Framework

  7. Challenges and Bottlenecks in Implementation

  8. The Way Ahead: Transforming Riverways into Growth Engines

 
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1. Introduction: Why Inland Waterways Matter Now

India has over 14,500 km of navigable rivers, canals, and backwaters, yet less than 2% of the country’s freight currently moves via waterways. Compared to road (Rs 2.28/tonne/km) and rail (Rs 1.41/tonne/km), inland water transport (IWT) is the cheapest (Rs 1.06/tonne/km) and least polluting. Recognising its latent potential, India has embarked on a major transformation to develop these “blue corridors” into commercial highways, linking hinterlands to ports, reducing logistics costs, and supporting multi-modal integration.

This strategy also directly supports UPSC Mains topics under GS Paper 3 (Infrastructure, Economic Development, Environmental Conservation, Investment Models, and Governance).

 

2. National Inland Waterways Grid: Vision and Expansion:

India currently has 111 National Waterways declared under the National Waterways Act, 2016. Out of these, 76 are targeted to become fully operational by 2027. The regional waterways grid is designed to link:

  • North India (NW-1, NW-37, NW-86)

  • Northeast (NW-2, NW-16, NW-31)

  • Eastern India (NW-97, NW-40)

  • Southern Peninsular India (NW-3, NW-27)

By FY 2026, the government projects cargo traffic to grow to 156 MTPA, expanding operations from 11 to 23 States and 4 UTs.

Key focus areas:

  • 10,000 km of monthly longitudinal LAD (Least Available Depth) surveys

  • Rs 5,000 crore investment earmarked for the Northeast over five years

  • Indo-Bangladesh Protocol Route facilitating seamless regional cargo flow

 

3. Key Infrastructure Projects and Economic Corridors:

 

National Waterway-1 (NW-1): Ganga River (Haldia–Varanasi, 1390 km)

  • MMTs (Multi-Modal Terminals): Varanasi, Sahibganj, Haldia

  • Intermodal Terminal (IMT): Kalughat (Bihar)

  • DWT Capacity: Up to 2000 tonnes vessels

  • Linked Project: Jal Marg Vikas Project (supported by World Bank)

  •  

National Waterway-2 (NW-2): Brahmaputra River (891 km)

  • Terminals at Pandu, Dhubri, Bogibeel, Jogighopa

  • Ship repair facility at Pandu: Rs 208 crore

  • Rs 180 crore alternative road linkage underway (completion by 2025)

  •  

National Waterway-16 (NW-16): Barak River

  • Terminals at Karimganj and Badarpur, ensuring connectivity to Mizoram and Tripura

  •  

National Waterway-31 (NW-31): Dhansiri River

  • Facilitating cargo for Numaligarh Refinery Limited (NRL)

  •  

4067 km Regional Economic Corridor:

  • Varanasi–Dibrugarh route via Indo-Bangladesh Protocol Route

  • Projected Cargo by 2033: 32.2 MTPA

  • Critical for tea, cement, fertilizer, coal, iron, and foodgrain movement

 
4. Environmental Sustainability and Green Shipping:

 

In line with India’s Panchamrit commitments and net-zero goals by 2070, the waterways strategy integrates green shipping norms:

  • Harit Nauka Guidelines: For eco-compliant river transport

  • Electric Catamarans & Hydrogen Fuel Cells: Piloted on Ganga and Brahmaputra stretches

  • Urban Water Metro Projects: Kochi Water Metro is operational; similar models planned for Patna, Guwahati

  • Promotion of Jal Samriddhi and Jalvahak Schemes under green logistics

 

5. Cruise Tourism and Socio-economic Integration:

 

River tourism is being positioned as a flagship socio-economic multiplier. India now operates 15 cruise circuits across 13 waterways and plans to commission 51 more circuits.

  • River Cruise Vessels: Increased from 3 in 2013 to 25 in 2025

  • States Covered: 9 (including Assam, West Bengal, Kerala, UP, Goa)

  • New Cruise Terminals:

    • Under-construction: Kolkata

    • Feasibility approved: Varanasi, Guwahati

    • Planned: Silghat, Neamati, Bishwanath Ghat, Guijan

These projects aim to blend eco-tourism with livelihood generation, cultural exchange, and international river tourism (India-Bangladesh routes).

 

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6. Institutional Reforms and Governance Framework:

 

To enable this transformation, the government has introduced major reforms:

  • Inland Vessels Act, 2021: Replaces the archaic 1917 Act; introduces a national permit system and real-time vessel tracking

  • Maritime India Vision 2030: Integrates ports, shipping, and inland water networks

  • Amrit Kaal Maritime Vision 2047: Long-term blueprint to build 500 MTPA inland cargo capacity

  • Arth Ganga Programme: Encourages local economic activity along Ganga through river-based commerce

  • Gati Shakti National Master Plan: Ensures integration with road, rail, and port connectivity

 

7. Challenges and Bottlenecks in Implementation:

 

Despite the ambitious roadmap, critical challenges remain:

  • Hydrological Fluctuations: Seasonal water scarcity in rivers affects navigability

  • Encroachments & Urban Waste: Rivers in cities face heavy pollution and illegal structures

  • Lack of Private Sector Participation: Freight operators are hesitant due to uncertain ROI

  • Limited Dredging Infrastructure: LAD maintenance remains inconsistent

  • Cross-border Coordination: Dependence on Bangladeshi infrastructure under Protocol Routes

 

8. The Way Ahead: Transforming Riverways into Growth Engines:

 

  • Operationalisation Focus: Ensure all 76 National Waterways are operational by 2027 with verified cargo routes

  • PPP and Logistics Parks: Incentivise private operators; build multimodal terminals with warehousing facilities

  • Data-Driven Management: Use AI-GIS for depth mapping, weather alerts, and real-time cargo tracking

  • International Collaboration: Deepen cooperation with Bangladesh, Bhutan, and ASEAN for integrated river corridors

  • Awareness and Stakeholder Training: Educate boatmen, local entrepreneurs, and state authorities for ecosystem adoption

 

Conclusion:

India’s inland waterways development is more than a logistics reform—it’s a civilisational revival. From the Ganga to the Brahmaputra, from cargo barges to cruise liners, rivers are once again being positioned as engines of inclusive growth. As the 2025–2027 strategy unfolds, India has the opportunity to set a global example in sustainable, efficient, and heritage-aligned waterway development.