Sonowal unveils ‘Jalvahak’ plan to improve movement of goods through inland waterways

Union Minister for Ports, Transport and Waterways Sarbananda Sonowal and Minister of State for Ports, Transport and Waterways Shantanu Thakur flag off bulk cargo ships, Kolkata, Sunday, December 15, 2024 | Photo Credit: PTI

The government on Sunday (December 15, 2024) launched a major cargo promotion policy, ‘Jalvahak’, to increase the movement of long haul cargo through the inland waterways across the National Waterways (NW) on the Ganga, Brahmaputra and Barak rivers.

The policy was launched by Union Minister for Ports, Shipping and Waterways Sarbananda Sonowal at a function where he flagged off cargo ships – MV AAI, MV Homi Bhaba and MV Trishul and two dumb boats Ajay and Dikhu from GR Jetty , Kolkata. This marks the beginning of the scheduled Scheduled Sailing Service for cargo vessels from Haldia for NW 1 (Ganga) and NW 2 (Brahmaputra), said a Ministry statement.

“With its advantage of being an economical, healthy and efficient means of transport, we want to increase the movement of goods through waterways, to eliminate congestion on railways and roads. The Jalvahak program promotes long-haul cargo in NW1, NW2 & NW16, and provides an opportunity for traders to explore shipping on water with a good economic proposition,” said Mr. Sonowal speaking at the event. In addition, the regular freight forwarding service, started in Kolkata, will ensure that the goods are transported and delivered on time, he said.

The ‘Jalvahak’ scheme provides reimbursement of up to 35% of the total operational costs incurred while transporting goods through waterways in NW 1, NW 2 and NW 16 (Barak river) through the IBP route, the Ministry said. To promote the business proposition of ship operators, the program encourages ship owners to charter ships owned or operated by government agencies. “The incentive program is suitable for large shipping companies, freight forwarders, trading bodies and organizations that handle bulk cargo and containers. By choosing this program, it gives them the opportunity to improve their supply chain network. The program is effective for three years.”

The fixed day scheduled sailing service will operate between Kolkata – Patna – Varanasi – Patna – Kolkata section of NW1 and between Kolkata and Pandu in Guwahati on NW 2 via Indo Bangladesh Protocol Route (IBPR), according to the Ministry. The first vessel MV Trishul with dumb boats is carrying 1500 tonnes of cement from Pandu in Guwahati via IBPR and the second vessel MV Aai is carrying 1000 tonnes of Gypsum to Patna and the third vessel – MV Homi Bhaba – is carrying tonnes 200 coal in Varanasi.

The MEC said that with ongoing efforts, they expect significant changes in the waterways as these plans aim to transform 800 million tonne kilometers and an investment of R95.4 crores by 2027. million ton kilometers on national waterways. These initiatives are a sincere effort to realize the great potential of waterways and unlock the value of the Blue Economy, which remained neglected for too long until 2014.”

In this regard, Mr. Sonowol said the total amount of cargo transported on national waterways has increased from 18.07 Million MT in 2013-14 to 132.89 million MT in 2023-24, registering a growth of over 700%. “We have set ourselves a goal of 200 million MT of water transportation by 2030. In the year 2047, we keep faith in the growth of inland waterways as a viable way to transport cargo, we have set ourselves a goal of 500 million MT…,” he added.

India has an extensive network of inland waterways including rivers, canals, backwaters, and streams. Of the navigable length of 20,236 km, 17,980 km are rivers, and 2,256 km are canals, both suitable for mechanized boats. However, the transportation of goods by waterways is still very little used compared to countries like the US, China, and those of the European Union.

The freight promotion scheme provides a direct incentive to property owners to transport their goods using inland waterways for a distance of more than 300 kms and aims to reduce transport costs and reduce road and rail congestion.

The Scheduled Day Cruise Service is operated by Inland & Coastal Shipping Limited. On the NW 1 section between Kolkata and Varanasi via Patna, the travel time is fixed at 7 days from Kolkata to Patna light, 5 days for Patna to Varanasi and 14 days for -Kolkata to Varanasi easy. Similarly, for freight movement on NW2 through IBPR, Kolkata to Pandu is fixed at 18 days while Pandu to Kolkata is fixed at 15 days. Initially, this program will be operational for a period of 3 years.