Multi-modal Logistics bridging IWT connectivity for enhancing trade

Dr. Amita Prasad Chairperson

ICC Webinar, 23rd Dec. 2020

1 2 IWT is the key to boost economic growth and promoting sustainable development

Operational cost per ton per km through Inland As per 2014 US Waterway Report, moving an Waterways is INR 1.06 as compared to INR identical volume of cargo by rail generates

1.41 by rail and INR 2.28 by road.* 30% more CO2 emissions, and 1000% more CO2 emissions when done by trucks.

One horse power of energy on Inland Waterways A 2,000 DWT (deadweight tonnage) barge can can carry 25 times the load carried by roads keep 125 trucks off the road and 40 wagons off and 8 times of that carried by rail making it the railroads thereby relieving congestion off the most energy efficient mode of road and railroad.* transportation.*

*Source: World Bank 3 Inland Waterways in India are under-utilized…

11%

45% Germany Netherlands 14% China 7.5% USA 2%

India

Vietnam 18%

Modal share of Inland Water Transport globally

Source: World Bank 2017, IWT share for India derived based on cargo traffic data in Niti Aayog report Strategy for New India@75 Inland Water Transport (IWT) sector overview

 111 National Waterways, 23 (5200 km) have been

identified with potential for mechanized crafts, 17 are currently operational NW -1 NW -2  73.6 MMT traffic in FY 2019-20, 2.4 times increase since NW -16

NW -94 IBP 2015 Gujarat Waterways (NW-73, 100) NW-44  Currently Modal share of IWT against global share of 8% 2% Maharashtra NW-97 Waterways to 15% in other continents (NW-10,83,85,91)

Goa Waterways NW -4 (NW-68, 111)  MIV 2030 projects growth by 2030; 140 MMTPA

 With 14,000 KM waterways, there is ample opportunity. NW -3 5 Key interventions undertaken for development of inland waterways…

Fairway Development: Navigational Aids:

Dredging, River training and Installation of navigational aids like conservancy works, bandalling, river buoys, River Information System marking, bank protection works (RIS), DGPS, Beacon Lights etc.

Terminal Development: Other Riverine Structures: Development of Multi-modal Construction of navigational locks, terminals (MMTs), Inter Modal ship repair facilities, bunkering Terminals (IMTs) and Ro-Ro stations etc. Terminals

Vessel operations: Vessel designs and pilot runs 6 Strategies adopted by IWAI to address the challenges faced

. Shipbuilding Financial Assistance Policy (2016- . Possibilities and potential benefits being disseminated 2026) through stakeholder interactions and targeted . Ship repair facilities proposed at Sahibganj on outreach programs NW-1 and Pandu on NW-2 . Promotion of River Cruise Tourism on River Ganga, Lack of . New Inland Vessels Act 2020 proposed Brahmaputra, Goa & Kerala waterways Shortage of IWT awareness vessels and MRO . Dual registration of vessels (MS Act & IV Act) about IWT facilities National Inland Navigation Institute (NINI) set up by IWAI to be developed as CoE Lack of . Commencement of river sea movement* Integration . Online courses for Serang, Master Class, Engine adequate skill . IBP routes connectivity with sea ports like and low with Coastal drivers and other skills Challenges Kolkata, Haldia and other east coast sea ports technology Shipping and . Regular conducts of COC (Certificate of adaptation other modes of India Competency) exams in association with State Governments Lack of Fairway Operational development . Development of multimodal / intermodal terminals infrastructure & . Assess environmental and social impact . Appointment of Private O&M operators for IWAI terminals and allied Navigational logistics aids regularly to negate potential damage . Digitization of IWAI services . Regular assured depth based dredging on . Several e-initiatives in the pipeline required stretches of National Waterways Five year vision Vision: Develop a self-sustainable, economical, safe & environment friendly supplementary mode of transport for the overall economic growth of the country Initiatives taken to achieve vision

 Modal share enhancement of IWT from current 2% to 2.5% by including bulk and containerised cargo

 Develop 5,000 kms of IWT routes across states (India@75 as per NITI Aayog)

 Enhance regional connectivity with North East India & neighbouring countries (Bangladesh, Nepal, Bhutan & Myanmar) through Eastern Waterway Connectivity – Transport Grid

 Integrate IWT with Coastal Shipping and other modes

 Target passenger / Cruise Tourism on waterways by encouraging private sector

 Focussing on infrastructure and service gaps

 Introduction of e-initiatives

 Development of Vessel building, Ship Repair and Hybrid Engine.  Regional Connectivity o Vessel Demand o Cruise demand for both Coastal and River Waterways Bhairahwa BHUTAN Sadiya NEPAL Nautanwa Birgunj Phuentsholing

Raxaul Pandu Jaigaon Biratnagar Silghat Jogighopa NW-2 NW-37 Jogbani Kolkata- The Dhubri Varanasi Chilmari focal point for NW-58 integrated NW-1 Bahadurabad Patna NW-16 waterways Silchar Karimganj Sahibganj Sirajganj development Badarpur Dhulian Sultanganj Integrated Rajshahi Ghorasal Ashuganj Maia BANGLADESH waterways NW-1 Aizawl Aricha Pangaon connectivity Narayanganj Muktarpur between India Sea route Sonamura Daudkandi and Bangladesh River route in India Benapole Tribeni Gumti river Lawngtlai also opens up Petrapole River route in Bangladesh opportunities to NW-86 River route in Myanmar Khulna explore IBP Route Chattogram Road Connectivity Kolaghat Kolkata waterways Mongla MYANMAR Multimodal Terminal based trade Paletwa Existing ports of call under PIWT&T routes with Haldia NW-97 Agreed ports of call under PIWT&T Kaladan river Nepal and

Land Custom Station Bhutan Sea Port

Sittwe Towards east coast Ports Operation & Maintenance of IWAI Terminals by Private Players

NEPAL BHUTAN

Dhubri Pandu NW-2 Award of contracts for Jogighopa NW-1 following terminals: Karimganj 1. Varanasi MMT (NW-1) Varanasi Patna Badarpur MMT Sahibganj BANGLADESH 2. Sahibganj MMT (NW-1) MMT NW-16 3. Haldia MMT (NW-1) IBP 4. Gaighat, Patna (NW-1) Sonamura Routes 5. Pandu, Guwahati (NW-2)

NW-1 6. Dhubri, (NW-2) 7. Karimganj (NW-16) 7 Jetties / 8. Badarpur (NW-16) terminals in Kolkata Region

Multi-modal terminal to be given for O&M by FY 21 Haldia MMT Other IWAI terminals to be given for O&M by FY 21 Other important terminals which are operational 9 10 Opportunities for imported coal transport on NW-1

For Power Plants  11 power plants (belonging to NTPC, BSEB, WBPDCL, CESC) in the vicinity (within 10 *As per Central Electricity Authority’s annual report kms) of NW-1 in Bihar, Jharkhand and West Bengal Approx. Installed Coal imports in Coal imports in Location Distance Power # Capacity tonne tonne  Approx. 0.3-0.4 million tonne p.a. of imported coal consumed by these power plants in (State) from river producer (MW) (FY-18) (FY-19) bank (Km) last 2 years 1 Barh (Bihar) 3 1,320 NTPC 17,000 52,000

2 Bandel (W.B.) 0 335 WBPDCL 0 0

Budge Budge 3 1 750 CESC 18,000 0 (W.B.) NW-1 Barauni Varanasi MMT 4 4 470 NTPC 0 0 (Bihar) CESC Patna 5 Haldia (W.B.) 3 600 (Haldia 78,000 105,200 Energy) Sahibganj MMT Sagardighi 6 1 1,600 WBPDCL 3,000 3,300 (W.B.)

Kolaghat 7 5 (NW-86) 1,260 WBPDCL 0 0 (W.B.)

Farakka 8 1 2,100 NTPC 301,000 114,000 (W.B.)

Kahalgaon 9 10 2,340 NTPC 0 0 NW-1 (W.B.)

Garden Reach Kolkata Kolkata 10 0 135 CESC 0 0 (W.B.) (Southern GS)

Titagarh Multi-modal terminal 11 2 240 CESC 0 0 Haldia MMT (W.B.) Other IWAI terminals TOTAL - 11,150 - 417,000 274,500 Power-Plants which are operational near National Waterways 11 Opportunities for coal transport using NW-1, IBP routes, NW-2

 Approx. 1.00-1.25 million tonne of annual coal demand exists for the cement

industry in the North East and approx. 20-25% of demand is met by imported ASSAM Silghat Pandu coal coming from Haldia (KoPT) NW-2

Dhubri Jogighopa Chilmari  Possibility of supplying coal to the cement manufacturers in the region using Bahadurabad MEGHALAYA Coastal + IWT route Sahibganj NW-16 Karimganj Sirajganj Dhulian BANGLADESH Badarpur Inland vessels can now ply within 5 Sultanganj nautical miles of inshore traffic Rajshahi Ashuganj corridor under Statement of Maia Ghorasal Pangaon TRIPURA Compliance (SOC) issued by DG NW-1 Aricha Muktarpur Shipping order no. 8 of 2018 during Narayanganj Sonamura fair weather period (Bay of Bengal Daudkandi (1st December to 30th April), Arabian Gumti river sea (1st September to 31st May) WEST Legends BENGAL Tribeni Khulna River route NW-86 Kolkata 5 successful movements of imported coal from HDC to IBP Route Multimodal Terminal Kolaghat Ports of call under PIWT&T Dhubri / Pandu have been conducted in the past 2 years Mongla Sea Port MCL Coal ODISHA NW-97 Coal Mines fields Haldia Cement industry in NER

From East Rail connectivity Dhamra coast ports Waterways connectivity

Paradeep 12 Opportunities for Steel Transport through IWT mode

 The states of West Bengal, Jharkhand and Odisha have significant base of steel BHUTAN production and the manufacturers located in these states serve the demand for a Phuentsholing Gelephu variety of steel products in Northern, Eastern and North Eastern region of India Hathisar ASSAM Jaigaon Pandu Silghat as well as neighboring countries Bangladesh & Bhutan NW-2 Dhubri Jogighopa Approx. 1.5 Chilmari MMTPA Steel demand in NER  Movement of steel products from Durgapur, Burnpur, Kharagpur, Burdwan Bahadurabad MEGHALAYA NW-16 Karimganj clusters in West Bengal to the North Eastern states may be done from Kolkata/ Sirajganj Badarpur Sahibganj BANGLADESH Haldia area Dhulian Sultanganj Rajshahi Ashuganj Maia Ghorasal Legends Pangaon TRIPURA River route in India NW-1 Aricha Muktarpur JHARKHAND Narayanganj Multimodal Terminal Sonamura MIZORAM Ports of call under PIWT&T WEST Daudkandi Gumti river Land Custom Station Bokaro, Jamshedpur, BENGAL IBP Route Durgapur Tribeni Sea Port NW-86 Khulna Kolkata Kolaghat Chattogram Steel Industry Rourkela Mongla Rail connectivity Haldia Waterways connectivity ODISHA NW-97 Kalinganagar, Dhenkanal and From East coast ports – Gangavaram Angul Dhamra (RINL), Paradeep, Dhamra etc. Paradeep 13 Opportunities for Exports of other commodities using IWT mode

Sadiya 1 North East Region can explore use of ASSAM IWT for exports of Silghat PanduPandu other commodities to NW-2 NAGALAND Third Countries and Exports of 4 DhubriDhubri JogighopaJogighopa horticulture domestic trade with NW-1 Chilmari produce from Mainland via Kolkata NER to MEGHALAYA Bahadurabad Bangladesh / Haldia Ports Patna NW-16 Karimganj BIHAR Sahibganj Sirajganj Silchar Badarpur BANGLADESH MANIPUR Exports of Stone Dhulian Sultanganj 2 Aggregates from Rajshahi Ashuganj Jharkhand / N.WB Maia Ghorasal region via TRIPURA Aizawl Dhulian / Maia Pangaon NW-1 Aricha Muktarpur Exports of JHARKHAND Narayanganj Bamboo, Sonamura MIZORAMhorticulture 5 WEST Daudkandi produce from BENGAL Gumti river NER to Bangladesh via Tribeni Sonamura Khulna Exports of NW-86 Kolkata IBP Route Textiles & Project Kolaghat Chattogram Mongla Cargo from Kolkata / Haldia 3 region to Bangladesh Haldia NW-97 14 Export shipment from India to Bangladesh via IBP routes have commenced

Iron & Steel Textiles Limestone Boulder /Cement The first containerized export shipment A successful trial run for exporting A successful trial run for exporting 2 from India to Bangladesh using IBP Textiles was conducted in Sept 2020. 2 shipments of Limestone Boulder from routes was conducted in June 2020. 45 TEUs of Arvind Mills was shipped to Karimganj to Bangladesh and one TEUs (approx. 1,250 tonne) of sponge Bangladesh from GR Jetty-II, Kolkata shipment of cement from Bangladesh iron was was flagged off from HDC to using IBP routes to Karimganj was conducted in Nov. Pangaon 2020 through IBP routes.

Containers exported from HDC getting Containers with yarn fabric getting loaded at Limestone Boulder flagged-off at Karimganj discharged at Pangaon in Bangladesh GR Jetty-II Exporters can utilize IWT mode for transportation of goods in containers to Bangladesh thereby avoiding congested LCSs between the two countries. 15 “Ease of Doing Business” – Development of digital portals of IWAI

Portal for Asset and CarD (Cargo Data) Sailing Permission portal Navigational Information for IBP route (PANI)

Digital portal for providing Easy mobile & web based access Portal for Collection & compilation, permissions, agent & vessel for viewing, uploading and Analysis and Dissemination of all registration on the IBP route dissemination of Navigational the Cargo and Cruise movement information data Implemented by FY21 16 IWAI Expects  Industry to take advantage of the Waterways

 Shift a share of cargo to IWT mode

 Identify problems and communicate them for resolution

 Evolve “ Future Proof” strategy with support of all stakeholders, users and operators 17 Thank you… IWAI Services:

National Waterways Important Contacts:

 Survey IWAI HQ, Noida  Navigation, Infrastructure and Regulations Mr. A K Bansal, Director (T&L),  Fairway Development [email protected], 98681 10310  Pilotage  Coordination of IWT with other modes IWAI RO, Kolkata Mr. L K Rajak, Director, General [email protected], 98312 25872

 Advise Central Govt. IWAI RO, Guwahati  Carry out hydrographic surveys Mr. Surendra Singh, Director,  Assist State Governments [email protected], 88260 08482  Develop consultancy services  Research & Development IWAI RO, Patna  Classification of waterways Mr. Arvind, Director,  Standards & safety [email protected], 89021 59698

IWAI RO, Kochi Mr. Mathew George, Director, [email protected], 94474 65997