Making way for waterways
At the National Maritime Conclave 2017, held on January 24, 2017, the PHD Chamber of Commerce laid emphasis on the current scenario of the maritime sector.
The Chamber pressed on the investment potential, fund raising and technological transformation. “Inland Waterways Authority of India (IWAI) will raise ` 1,000 crore from market in the month of February and March 2017 in two parts with ` 500 crore each to part fund the expansion of India’s inland waterways through government serviced bonds,” disclosed, Amitabh Verma, IAS, Chairman, IWAI.
“In addition, the authority is anticipating a budgetary support as well extra budgetary allocations of about ` 4,000 crore for the aforesaid purpose in the forthcoming budget for fiscal 2017-18,” added Verma.
Giving the breakup of ` 4,000 crore of budgetary support and extra budgetary allocations, Verma pointed out that ` 2,500 crore could come to IWAI by the government introducing an amendment to Central Road Fund Act latest by monsoon session if not in the Union Budget session.
“The amendment would make way for the government to apportion five per cent of money out of highways and roads funds away to IWAI to enable it raise additional resources to undertake its waterways development which approximately works out to be ` 2,500 crore in fiscal 201718 alone,” said Verma, exuding an optimism that the budget for 2017-18 could also have a provision of ` 1,000 to ` 1,500 crore of money in terms of extra budgetary allocations.
Gopal Jiwarajka, President, PHD Chamber, said, “The waterways development should be one of the top priorities of the government because it makes an economic sense with sufficiently addressing the issues relating to environment and pollution.” Focusing on the railway sector, Manish Puri, MD, IndiaLinx, said, “If one look at the rail sector, between 2005-06 to now, this sector has gone from being an excess demand market to an excess supply market, which is a good thing as far as final customer is concerned. Tarun Kalra, VP – North, MSC Agency (India), emphasised on why does not cargo move through the mode which suit its best? “The broader objective is, we as transportation industry need to provide connectivity to our hinterland in the most efficient and economical manner. Being a logistician, it is our job to look at more viable ways,” he said.