Question : Transportation between India and Bangladesh

(a) whether the use of inland waterways are more safe, economical and a less polluting means of transportation and if so, the details thereof;
(b) whether the transportation of commercial cargos between India and Bangladesh has started through inland waterways and coastal shipping as per the Standard Operating Procedure and if so, the details and the present status thereof;
(c) the extent to which the transportation cost of goods is likely to come down as a result thereof;
(d) whether both the countries have relaxed certain restrictions to facilitate the said transportation smoothly and if so, the details thereof; and
(e) the extent to which both the countries are likely to benefit as a result thereof?

Answer given by the minister

MINISTER OF STATE IN THE MINISTRY OF SHIPPING
(SHRI PON RADHAKRISHNAN)
(a) Inland Water Transport (IWT) mode is recognized as a cost effective, fuel efficient, environment friendly and safe mode of transport in various countries, specially for hazardous goods and over dimensional cargo. As per a Report produced by RITES in 2014 on “Integrated National Waterways Transportation Grid”, the cost of movement of freight (Rs. per Tonne Km.) after taxes is Rs. 2.58 by highways, Rs. 1.41 by railways and Rs. 1.06 by IWT.


(b) Three vessels from the Bangladesh i.e., MV Harbour-1 (w.e.f. 17.02.2016 to 16.02.2017), MV KSL Gladiator (w.e.f. 30.03.2016 to 29.03.2017) and MV KSL Pride (w.e.f. 30.03.2016 to 29.03.2017) have been permitted to operate under the India – Bangladesh agreement on coastal shipping under the Standard Operating Procedures (SOPs), which are in place. MV Harbour-1 visited Krishnapatnam Port, Andhra Pradesh in March-2016.


(c) The promotion of coastal shipping between India and Bangladesh is expected to bring down the cost of cargo transportation and to enhance bilateral trade between the two neighbouring countries.

(d) Yes, Madam. Only River Sea Vessels (RSV) of Type-III & IV category of both the countries have been permitted to operate under the agreement, whereas normally the seagoing ships are allowed to undertake voyages to foreign ports. RSV vessels have comparatively lower technical and manning standards vis-à-vis foreign going vessels and are more cost-effective, without compromising on the safety of the vessels.

(e) The coastal shipping agreement and SOP, besides improving seaside and allied roadside connectivity access, are likely to provide more competitive freight rates, enhance cargo, especially the transhipment cargo currently being routed through Singapore and Colombo ports and offers an alternative route for the transportation of EXIM cargo, as well as transit cargo to the North Eastern parts of India.
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