On Amazon’s Horizon: Inland Waterways Set to Redefine E-commerce Delivery

In a strategic move towards sustainable logistics, Amazon India has inked a groundbreaking deal with the Inland Waterways Authority of India (IWAI) to revolutionize its delivery network. The e-commerce juggernaut is set to explore the vast potential of inland water transport, aiming to leverage its efficiency while minimizing environmental impact.

According to a statement by Sarbananda Sonowal, the Minister of Ports, Shipping, and Waterways, the inaugural journey of an Amazon cargo vessel is slated to kick off from Patna to Kolkata in the near future. The collaboration’s key objective is to tap into the effectiveness and sustainability of water transport, positioning it as an eco-friendly alternative to conventional modes of transportation.

Water transport, as highlighted in the statement, has proven to be significantly more environmentally friendly, with lower fuel consumption compared to rail and road transport—18.5% and 91.6% higher fuel consumption, respectively. Sonowal emphasized that the partnership is designed to optimize logistics, reduce ecological footprints, and drive economic development.

“With the commencement of this service, the craftsmen, entrepreneurs, and traders from India’s inland regions will have a chance to conveniently and affordably sell their goods in a broader market, both domestically and internationally, through an efficient means of transportation,” said Sonowal.

Under the Sagarmala project, the Indian government has initiated 113 projects worth ₹7,030 crore to accelerate water transportation. Of these, 15 projects totaling ₹1,100 crore have been successfully completed, while 32 projects worth ₹3,900 crore are currently underway. The collaboration between IWAI and Amazon is expected not only to optimize the e-commerce giant’s transportation costs but also to open doors for other players in the sector to capitalize on India’s extensive inland waterways.

The statement also indicates the willingness of IWAI and Amazon to explore and implement innovative solutions to meet the evolving demands of the e-commerce sector, contributing to the creation of an environmentally friendly and robust logistics ecosystem.

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