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Amazon India and IWAI Partners to Pioneer Inland Waterways Shipping
Amazon India has signed a memorandum of understanding (MoU) with the Inland Waterways Authority of India (IWAI), which operates under the Ministry of Ports, Shipping, and Waterways, to introduce a novel method of transporting customer packages via inland waterways. This pioneering move aims to utilize containerized cargo movement and create a network for cargo shipment through the country's inland waterways, as per Amazon India.
As a part of a strategic partnership, Amazon India and IWAI will collaborate to explore the integration of inland waterways into Amazon's supply chain. The e-commerce giant plans to launch a pilot run on the Patna to Kolkata waterway, on the National Waterway 1, with the support of IWAI and its carriers. According to government statistics, India has 111 notified national inland waterways, covering approximately 20,275.5 km and enabling the transport of nearly 55 million tonnes of cargo annually.
Minister of Ports, Shipping, and Waterways, Sarbananda Sonowal, commended the collaboration, stating, "This MoU with Amazon India marks a significant step towards harnessing the potential of India's inland water transport." He emphasized the government's focus on enhancing cargo movement through river systems as a more sustainable and economical mode of transport.
The initiative comes nearly a year after Amazon launched its air cargo network, Amazon Air, in India, utilizing the complete cargo capacity of a Boeing 737-800 aircraft for expedited deliveries. Abhinav Singh, VP of Operations at Amazon India, expressed enthusiasm about the waterways initiative, calling it a transformative offering that opens up new possibilities for all ecommerce companies to leverage India's extensive inland waterways.
Singh emphasized Amazon's commitment to revolutionizing logistics on a global scale. Amazon plans to utilize India's rivers, canals, and other waterways to boost logistics and transportation efficiency in the Indian ecommerce industry. This step will further strengthen Amazon India's logistics network, which already includes land and air transportation. Additionally, the company is striving to increase its export capability from India, with a goal of achieving exports worth $20 billion by 2025.
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