The Government of India has reaffirmed its commitment to strengthening coastal shipping and inland waterways as key pillars of the country’s multimodal logistics network, with an ambitious target of increasing their modal share from the current 6% to 12% by 2047.
In a written reply to the Rajya Sabha, Union Minister for Ports, Shipping & Waterways, Sarbananda Sonowal stated that the proposed Coastal Cargo Promotion Scheme, announced in the Union Budget 2026, is designed to accelerate the movement of cargo through environmentally sustainable and cost-effective coastal and inland water transport.
The Minister highlighted that the scheme will be supported by a combination of policy reforms, infrastructure development, and enhanced coastal connectivity, creating a stronger ecosystem for cargo movement across India’s coastline and inland waterways.
The initiative forms part of the Government’s long-term vision to build an integrated multimodal logistics network that reduces logistics costs, decongests road and rail transport, and promotes greener transportation solutions. By expanding coastal shipping and inland waterways, the government aims to improve supply chain efficiency while supporting India’s growing trade and manufacturing sectors.
The Coastal Cargo Promotion Scheme is expected to complement ongoing investments in port modernisation, inland waterway infrastructure, multimodal logistics parks, and last-mile connectivity, reinforcing India’s position as a globally competitive logistics hub.
Industry stakeholders believe the initiative will encourage greater modal shift from road to waterways, enhance cargo movement between ports, and contribute significantly towards achieving the country’s Viksit Bharat 2047 vision through sustainable and efficient freight transportation.
