Content:
- Rejuvenation of Inland Waterways
- From Farm to Retail: Make in India’s push for Food Processing Excellence
Rejuvenation of Inland Waterways
Enhancing India’s inland water transport through strategic investments, infrastructure development, and policy measures for economic and environmental benefits.
Relevance : GS 3 (Infrastructure & Economy)
Investment and Expansion of National Waterways
- Government Investment: ₹6,434 crores allocated (2014-15 to 2023-24) for the development of National Waterways (NWs).
- National Waterways Act, 2016: Declared 111 NWs, providing a legal framework for inland water transport (IWT).
- Increase in Cargo and Passenger Traffic:
- Cargo movement rose from 18 MTPA (2013-14) to 133 MTPA (2023-24).
- Passenger movement reached 1.61 crore in 2023-24.
- Future Targets:
- 200 million MT by 2030.
- 500 million MT by 2047.
Ongoing and Sanctioned Projects
- Jal Marg Vikas Project (JMVP-I & II) (NW-1):
- Varanasi-Haldia stretch (Ganga-Bhagirathi-Hooghly River).
- Comprehensive Development of NW-2 (Brahmaputra) & NW-16 (Barak River).
- New Developments:
- Approach Road to NH-27 from Pandu Port Terminal (NW-2).
- Ship Repair Facility at Pandu, Guwahati (NW-2).
- Development of 23 NWs (Phase-1) across 9 states (Kerala, AP, Odisha, Goa, WB, UP, Bihar, Maharashtra, Assam).
- Integration of inland waterways with Indo-Bangladesh Protocol Route.
Policy Measures to Boost Inland Water Transport
- 35% Incentive Scheme for Cargo Owners:
- ₹100 crore allocated for 3 years.
- Aims to shift 800 million tonne-km of cargo to IWT.
- Scheduled cargo services between Kolkata-Varanasi/Pandu planned.
- Tonnage Tax for Inland Vessels:
- Announced in Budget 2025.
- Lowers taxation burden for vessel owners, making IWT more competitive.
- National Waterways (Construction of Jetties/Terminals) Regulations, 2025:
- Allows private sector participation in IWT infrastructure.
- Integration with Ports:
- Kolkata Port linked to NW-1 for multi-modal connectivity.
- Digitalisation for Ease of Business:
- Centralised portal for vessel and crew registration.
- Cargo Aggregation Initiatives:
- Freight Village in Varanasi and Logistics Park in Sahibganj for cargo hubs.
- Rail connectivity for 3 Multi-Modal Terminals (MMTs) assigned to Indian Port and Rail Company Ltd.
- Indo-Bangladesh Protocol Route Operationalization:
- Routes 5 & 6 (Maia-Sultanganj) trial run completed, awaiting Bangladesh’s approval.
- Shift of Cargo by PSUs:
- Over 140 Public Sector Units (PSUs) approached for shifting cargo to IWT.
- Ministries like Steel, Coal, Fertilizer advised PSUs to earmark cargo for waterways.
Infrastructure Development Measures
- Navigation and Fairway Maintenance:
- Dredging, channel marking, hydrographic surveys for maintaining navigation depth (2-3 meters) in key NWs.
- Key Terminal Developments:
- NW-1 (Ganga River): 49 community jetties, 20 floating terminals, 3 MMTs, 1 IMT.
- NW-2 (Brahmaputra): 12 floating terminals, MMTs at Pandu, Jogighopa, terminals at Bogibeel and Dhubri.
- NW-3 (West Coast Canal, Kerala): 9 Permanent IWT terminals, 2 Ro-Ro terminals.
- NW-4 (Krishna River, AP): 4 tourist jetties.
- NW-110 (Yamuna, Mathura-Vrindavan): 12 floating jetties.
- Goa (Mandovi, Zuari Rivers – NW-68 & NW-111): 3 floating concrete jetties installed.
- NW-73 (Narmada), NW-37 (Gandak): Additional jetties planned.
Economic and Environmental Benefits of IWT Development
- Economic Benefits:
- Lower logistics cost: IWT is 30-40% cheaper than road and rail transport.
- Boost to trade: Improved connectivity enhances regional trade and cross-border commerce.
- Employment generation: Expanding IWT infrastructure creates jobs in construction, vessel operation, and logistics.
- Environmental Benefits:
- Lower carbon emissions: IWT has less than 1/4th the carbon footprint of road transport.
- Reduces congestion: Diverts cargo from overloaded road and rail networks.
- Eco-tourism boost: Promotion of river cruises, houseboats, and heritage tourism.
Challenges and Way Forward
- Challenges:
- Seasonal fluctuations in river water levels affect navigability.
- Inadequate cargo aggregation along water routes.
- Limited awareness and trust among cargo owners.
- Need for greater private investment in IWT infrastructure.
- Way Forward:
- Increase depth through systematic dredging and river training works.
- Develop dedicated cargo hubs near NWs to facilitate industrial integration.
- Strengthen Indo-Bangladesh water transit agreements for seamless cargo movement.
- Expand Ro-Ro (Roll-on/Roll-off) services for vehicle transport.
Conclusion
The rejuvenation of inland waterways is a strategic move towards sustainable and cost-effective transport in India. By implementing policy incentives, enhancing infrastructure, and integrating multimodal transport, the government aims to significantly expand cargo and passenger movement. Overcoming navigability and investment challenges will be key to achieving long-term growth in the sector.
From Farm to Retail: Make in India’s push for Food Processing Excellence
Introduction: Food Processing – A Growth Catalyst
- India’s food processing sector is a vital link between agriculture and industry, leveraging its vast agricultural output.
- It plays a crucial role in enhancing value addition, reducing wastage, and boosting farmer incomes.
- Supported by Make in India, the sector is witnessing robust investments and policy interventions.
- India leads globally in the production of fruits, vegetables, millets, tea, food grains, milk, and livestock.
Relevance : GS 3 (Economy, Agriculture & Infrastructure)
Government Initiatives and Infrastructure Development
(a) Mega Food Parks & Infrastructure Support
- Mega Food Parks are being set up in agriculturally rich regions to provide common processing facilities and utilities.
- Recognized under Harmonized List of Infrastructure Sub-sectors (HLIS), ensuring better financial access.
- Investor Facilitation Portal helps streamline investments, approvals, and partnerships.
- Budget Boost: 2024-25 budget saw a 30.19% increase to strengthen food processing infrastructure.
(b) PM Kisan Sampada Yojana (PMKSY)
- Approved in 2017, extended till 2026 with an outlay of ₹4,600 crore.
- 1608 projects sanctioned:
- 41 Mega Food Parks
- 394 Cold Chain Projects
- 75 Agro-processing Clusters
- 536 Food Processing Units
- 61 Backward & Forward Linkages Projects
- 44 Operation Greens Projects
- Impact of PMKSY:
- Enhances food processing levels, reducing agricultural wastage.
- Creates employment, especially in rural areas.
- Strengthens exports of processed foods.
Key Schemes Under Food Processing Sector
(a) PLISFPI – Production Linked Incentive Scheme for Food Processing Industry
- Launched in 2021 with an outlay of ₹10,900 crore, spanning 2021-27.
- Key components:
- Category I: Ready-to-Cook/Eat (RTC/RTE), processed fruits & vegetables, marine products, mozzarella cheese.
- Category II: Organic & innovative food products (SMEs).
- Category III: Branding & marketing abroad for Indian food brands.
- PLISMBP: Special focus on millet-based products.
- Progress as of Feb 2025:
- 171 food processing firms approved for incentives.
- ₹1155.296 crore disbursed, including ₹13.266 crore for MSMEs.
- Investment of ₹8,910 crore across 213 locations.
- Employment generation: 2.89 lakh jobs.
(b) PMFME – Pradhan Mantri Formalisation of Micro Food Processing Enterprises Scheme
- Launched in June 2020, extended till 2025-26.
- Outlay: ₹10,000 crore, aims to formalize 2 lakh enterprises.
- Adopts One District One Product (ODOP) approach to promote local food products.
- Focus on MSMEs, credit-linked subsidies, and capacity expansion.
Boosting Innovation, SMEs & Market Expansion
- Supporting MSMEs:
- PLISFPI & PMFME actively promote MSMEs, encouraging modern infrastructure & market access.
- 70 MSMEs directly enrolled, 40 supporting as contract manufacturers.
- Global Branding & Export Support:
- Under PLISFPI, 50% reimbursement for branding & marketing abroad.
- 73 Indian companies availing branding incentives globally.
- Encouraging food entrepreneurship through R&D, cold chains, and formalization.
Recent Developments in Food Processing
- March 2025: 100 NABL-accredited food testing labs to be set up.
- January 2025: Punjab Agricultural University (PAU), Punjab Agro, and Hindustan Unilever Limited (HUL) collaborating for tomato paste production.
World Food India 2024 – Showcasing India’s Food Processing Strength
- Hosted in September 2024, bringing global leaders in food processing, packaging, logistics, and technology.
- Aims to position India as a global food hub, enhancing investment opportunities.
- Focuses on value addition, supply chain efficiency, and market expansion.
Conclusion: Future of India’s Food Processing Sector
- Strategic government policies, increasing investment, and infrastructure development are propelling India’s food processing sector.
- Key benefits:
- Enhanced farmer incomes through better value realization.
- Employment generation, particularly in rural areas.
- Reduction in post-harvest losses through efficient cold chains & storage.
- Boost in exports, strengthening India’s position as a global food processing leader.
- Aligned with Make in India, the food processing industry is a major driver of economic growth, ensuring food security, innovation, and sustainability.
