Economic Survey 2023-24 : India plans to increase cargo movement via Inland Waterways and Ports to 30,000 tonne per day by 2030
NEW DELHI : With the focus of the government to foster coastal shipping, the gross tonnage through this mode has increased from 1.19 million GT as on April 1, 2014 consisting of 846 vessels to 1.72 million GT with 1039 vessels as on 1, April 2024.
The Central government as part of the Maritime Amrit Kaal Vision 2024 is looking to increase the average ship daily output (gross tonnage) from 16,000 tonne in 2020 to more than 30,000 tonne in 2030, the Economic Survey for 2023-24 tabled in the Parliament on July 22 said.
The Survey, which is an overview of the country’s economy in the year gone by, suggests that the government port sector is leveraging the Sagar Setu application to streamline daily vessel and cargo operations, aspiring to become a central hub for all maritime engagements.
It added that the government recognises the cost advantage of moving goods through ports and inland waterways and further elevate inland water transport as a feasible mode for large-scale cargo and passenger movement.
“The union capital expenditure towards ports, shipping and waterways sector has grown by 27 percent between FY23 and FY24,” the Survey said.
The Survey highlighted the importance of the shipping industry for India saying that “geopolitical tensions and export restrictions on food and fertiliser have emerged as key risks to India’s rising export of goods and services.”
“Attacks on shipping in the Red Sea and drought in the Panama Canal have resulted in trade flows being re-routed, increasing journey time and costs.
India’s merchandise trade relies heavily on maritime trade, so disturbances in major shipping routes can impact its economy,” the survey said, adding that rising protectionism is another risk that could undermine trade recovery in 2024-25.
The Survey said that under the Sagarmala national programme, 262 projects worth Rs 1.4 lakh crore are completed, while 217 projects worth Rs 1.65 lakh crore are under implementation and 360 projects worth Rs 2.7 lakh crore are under development.
“Capital expenditure by the Inland Waterways Authority of India (IWAI) for FY24 was Rs 1010.5 crore. Based on feasibility and detailed project reports prepared for 106 new National Waterways (NWs), technical interventions have been planned for safe navigation and shipping on technically viable waterways,” the Survey said.
It added that the government has fostered coastal shipping to increase the gross tonnage through this mode from 1.19 million GT as on 1, April 2014 consisting of 846 vessels to 1.72 million GT with 1039 vessels as on 1, April 2024.
It added that there has been a push from the central government for promoting river cruise tourism on national waterways.
“The development aimed at cargo ships also benefits tourist vessels, as improved waterways and facilities enhance their operations,” the Survey said.
Further, the government has also identified lighthouses as significant
tourist attractions.
“To attract visitors, development works such as museums, amphitheatres, and cafeterias at 75 lighthouses have been undertaken,” the Survey said.
It also said that development of inland waterways in India over the next few years will be key to lowering logistics costs in the country.
“Capital expenditure by the Inland Waterways Authority of India (IWAI) for FY24 was Rs 1010.5 crore,” the Survey said, adding that technical interventions have been planned for safe navigation and shipping on technically viable waterways.
It also said that the Indo Bangladesh Protocol (IBP) route provides an alternate connectivity for all North-eastern states from Guwahati and Jogighopa to Kolkata and Haldia ports.