Finance & Economy | News & Insights

Uttar Pradesh Govt Harnesses River Network for Efficient Cargo Transportation

Published: November 19, 2023
Author: TANVI_MUNJAL

The Uttar Pradesh government is set to utilize its extensive network of rivers as a means of low-cost transportation for passengers and cargo, aiming to achieve merchandise exports worth Rs 3 trillion in the next 2-3 years. Officials believe that leveraging the inland waterway terminals, which are conveniently linked to seaports and dry ports, will significantly boost the export of perishable and non-perishable goods at reduced costs.

Out of the 111 inland waterways in India, Uttar Pradesh possesses around a dozen waterways, including major rivers like the Ganga, Yamuna, Saryu, Betwa, and Chambal. Presently, the Varanasi-Haldia inland waterway, operated by the Inland Waterways Authority of India (IWAI), is operational in Uttar Pradesh.

With an aim to enhance the export of agricultural and dairy products, as well as items from micro, small, and medium enterprises (MSME), the Yogi Adityanath government is keen on exploring the potential of cargo movement through inland waterways. These waterways offer cost-effective routes for intrastate and interstate transportation with minimal investment.

To facilitate the movement of cargo, and passengers, and promote water sports and tourism, the Uttar Pradesh government plans to establish the UP Inland Waterways Authority. Chief Minister Yogi Adityanath stated that this authority would not only boost trade and water transport but also provide a viable medium for exporting the state’s products to other states and countries. A proposal for the establishment of this authority will be presented before the state legislature in the forthcoming Assembly session.

In recent years, inland waterway cargo movement in India has seen a significant rise from 16 million tonnes (MT) in 2016 to 109 MT in 2021-22. The operational cost of waterways is much lower compared to train and road transport, making it an economically and ecologically favorable option. In line with its goal to become a $1 trillion economy by 2027, Uttar Pradesh has allocated Rs 55,000 crore for transportation infrastructure projects, including roads, expressways, and metro rails in the year 2023-24.

As the state envisions becoming a multimodal logistics hub, Uttar Pradesh aims to capitalize on its extensive network of roads, expressways, airports, dry ports, logistics hubs, and industrial corridors for overall development. With the soon-to-be-completed Ganga Expressway and existing expressways like the Yamuna Expressway, Agra-Lucknow Expressway, Purvanchal Expressway, and Bundelkhand Expressway, Uttar Pradesh is well on its way to solidifying its position as a key player in this transport revolution.

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