Answer: 

India has about 14,500 km of navigable waterways which consist of rivers, canals, backwaters, creeks, etc. About 55 million tonnes of cargo is being moved annually by Inland Water Transport (IWT), a fuel - efficient and environment -friendly mode. Its operations are currently restricted to a few stretches in the Ganga-Bhagirathi-Hooghly rivers , the Brahmaputra, the Barak river, etc. 

• Can help bring down Logistics Costs and increase Export- Logistics cost in India is around 13% of GDP, much higher than in other countries. Inland waterways, the cheapest mode can make Indian goods cost-effective and more competitive.

• Employment potential: As per National Transport development policy committee, every Rs 1 lakh investment would generate 33.6 persons of employment.

• Connectivity to the North-East region will be improved, which does not have very efficient connectivity due to its geographical position and rail/road transport passing through the ‘chicken neck.’ E.g., Brahmaputra NW-2, River Barak NW-1

• Connecting resource-rich regions: Waterways will enhance connectivity in states like Bihar, UP where industrial development is lagged despite being resources rich by bringing ease of doing business.

• Act East with northeast development through various initiatives including Inland navigation. India will have alternative connectivity to the northeast region via- 

• Kaladan Multimodal project with Myanmar 

• MoU with Bangladesh to use Chattogram and Mongla ports for movement of goods to and from India

• Unexplored transport system: In India, Inland Waterways account for only 0.4% of trade, which can be explored more.

• Infrastructure: Insufficient port and terminal facilities, navigation aids, and maintenance infrastructure hinder smooth waterway operations.
• Outdated Technology: The use of outdated vessels, equipment, and navigation systems limits efficiency and safety.
• Environmental Concerns: Developing waterways can impact aquatic ecosystems, leading to concerns about biodiversity loss, habitat destruction, and water pollution.
• Regulatory Complexity: Navigating through a complex regulatory framework involving multiple government agencies and varying laws can slow down development projects.
• Maintenance and Dredging: Frequent dredging is necessary to maintain proper water depth, but it's resource-intensive and can raise environmental concerns.
• Interstate Coordination: Many waterways traverse multiple states, necessitating effective coordination and agreements among states for seamless navigation.
• Investment Needs: Developing waterway infrastructure requires substantial financial investment, which can be a challenge to secure, especially given competing priorities. 

• Proper and environment-friendly dredging of rivers and proper measures for year-around navigation 
• Building new ports, and multimodal connectivity through Sagarmala Project.
• A proper river information system, digital GPS, and necessary infrastructure for night navigation

Policy measures for the participation of the private sector