Amazon, Inland Waterways Authority of India sign MoU to promote cargo movement

New Delhi [India], November 22 : A memorandum of understanding (MoU) was signed on Wednesday between the Inland Waterways Authority of India (IWAI) and e-commerce company Amazon to promote cargo movement and transportation of customer shipments and products via inland waterways using river Ganga through National Waterway 1.
On the occasion, the MoU was signed in the presence of Union Ports and Shipping Minister Sarbananda Sonowal along with Secretary TK Ramachandran and IWAI chairman Sanjay Bandopadhyaya among other senior officials.
Shipping Ministry said that the collaboration between IWAI and Amazon marks a significant stride in advancing the transportation of e-commerce cargo along our Inland Waterways.
"This partnership seeks to harness the efficiency and sustainability of water transport to optimize logistics, diminish environmental footprints, and promote economic development. According to a World Bank Report, rail and road transport consume 18.5 per cent and 91.6 per cent more fuel than water transport, making it the most environmentally friendly mode of transportation," the ministry said.
Speaking on the occasion, Union Minister Sonowal said, "This marks another important leaf in the growth story of India's waterways. Under the dynamic leadership of Prime Minister Narendra Modi, the waterways have always been given special attention to enable it to become a wider and more popular form of transportation."
"The Government is working tirelessly towards the realisation of this vision of Modi ji to enable the waterways to become the rejuvenated conduit of growth as India moves ahead to become an Atmanirbhar Bharat. This partnership would be an important step towards enhancing the movement of e-commerce cargo through our Inland Waterways," he added.
Sonowal said that the aim of this partnership is to leverage the efficiency and sustainability of water transport to streamline logistics, reduce environmental impact and foster economic growth.
"With the beginning of this service, the artisans, the entrepreneurs and the traders of India's hinterland will find an opportunity to sell their products in the wider market, both nationally and internationally, reasonably, easily at an affordable cost via an efficient mode of transportation. The maiden ship with e-commerce cargo will be flagged off from Patna to Kolkata soon," he said.
Ministry said that Amazon will be able to utilize all possible modes of transport in the country, including Rail, Air, Water, and Surface, to ensure faster, cost-effective, sustainable and more reliable delivery of customer packages and provide a wider reach to its millions of sellers.
"This partnership will not only benefit Amazon by lowering their transportation cost but also open up new possibilities for all e-commerce companies to leverage the extensive inland waterways in India," an official statement said.
The shipping Ministry further stated that it aims to increase inland water transport volumes by more than 200 MMT by 2030 and achieve the target of more than 500 MMT by 2047.