Govt Boosts Inland Waterways for Logistics Movement: Secures Global Logistics Expertise for NWs
IWAI Signs MoU with Rhenus Logistics to Drive One Million Tonnes of Cargo Movement by 2025
New Delhi, May 6, 2025 — In a landmark move to revamp India’s inland water transport (IWT) infrastructure, the Inland Waterways Authority of India (IWAI) signed a Memorandum of Understanding (MoU) with Germany-based global logistics leader Rhenus Group. The agreement, aimed at accelerating multimodal cargo movement, was formalised in the presence of the Union Minister of Ports, Shipping & Waterways, Sarbananda Sonowal.
This strategic collaboration marks a major step toward integrating global best practices in India’s inland waterways logistics network. As part of the MoU, Rhenus Logistics India Pvt. Ltd. will deploy 100 barges in phases across National Waterways (NWs), starting with 20 barges and 6 pushers on NW1 (Ganga), NW2 (Brahmaputra), and NW16 (Barak). The first phase aims to facilitate the movement of over one million tonnes of cargo by the end of 2025.
“Under the visionary leadership of Prime Minister Narendra Modi, we are reimagining inland waterways as a vital pillar of India’s logistics network,” said Sonowal. “This partnership with Rhenus brings in global expertise and enhances the efficiency, sustainability, and economic viability of cargo transportation via water.”
The deployment of barges will also include operations along the Indo-Bangladesh Protocol (IBP) route, enabling seamless connectivity across North, East, and Northeast India. The use of pushers and barges designed for low-draft navigation will ensure smooth transit of both bulk and break-bulk cargo in regions traditionally underserved by surface transport networks.
With over 1,100 barges in its global fleet and deep experience in European inland waterway systems, Rhenus will bring in proven expertise to enhance cargo handling efficiency, optimize vessel utilization, and introduce scheduled services along key river routes in India.
Vivek Arya, CEO of Rhenus Logistics India, expressed optimism about the initiative, stating, “This collaboration is a reflection of our confidence in India’s inland waterway potential. We aim to bring in operational excellence, sustainability, and innovation to support India’s logistics ambitions.”
The initiative is also aligned with the government’s flagship Jal Marg Vikas Project, which focuses on capacity augmentation of major National Waterways. Under this project, IWAI is undertaking large-scale dredging, terminal development, community jetty construction, and installation of navigation aids to ensure smooth and safe cargo movement.
Senior officials present at the MoU signing included TK Ramachandran, Secretary, Ministry of Ports, Shipping & Waterways (MoPSW), and Vijay Kumar, Chairman of IWAI. The presence of top-level representatives underscored the strategic significance of the initiative.
India’s inland water transport sector has dramatically transformed in the past decade. The number of operational National Waterways has increased from just three in 2014-15 to 29 in 2024-25. Cargo movement has surged from 30 million metric tonnes per annum (MMTPA) to 145.84 MMTPA during the same period. The sector has handled over 779 million metric tonnes (MMT) of cargo over the past ten years.
Currently spanning 14,500 kilometres of navigable waterways across 111 declared National Waterways, the inland waterways sector is poised to emerge as a cornerstone of India’s multimodal logistics framework, providing a greener, cost-effective alternative to road and rail transport.
With the inclusion of international partners like Rhenus, India is now positioning itself to transform inland navigation into a mainstream logistics solution, offering both environmental sustainability and economic competitiveness.
Would you like a visual diagram showing the major National Waterways and the cargo routes planned under this initiative?
