The Indian dredging market has witnessed significant growth, driven by ambitious development and expansion projects, including the construction of new greenfield ports, maintenance and expansion of existing ports, and development of inland waterways. Offshore exploration and upcoming land reclamation projects are also contributing to the increased demand for dredging services.
The Indian maritime sector is steering much of this growth, with plans to expand port capacity to an impressive 10,000 million tonnes by 2047. Dredging is essential for helping ports sustain business operations, support the economy and protect the environment. To this end, the Inland Waterways Authority of India (IWAI) is undertaking several initiatives.
Established in 1986, IWAI is the primary body responsible for developing a self-sustainable, economical, safe and environment-friendly inland water transport system. Its core mandate is to promote this supplementary mode of transport, thereby decongesting road and rail networks and contributing to overall economic growth. IWAI’s key responsibilities include fairway development, installation of navigational aids, terminal construction and vessel design.
Advancing dredging and waterway projects in the NER region
The Ministry of Ports, Shipping, and Waterways (MoPSW) has approved a comprehensive plan to develop and maintain fairways in the north-eastern region (NER), with the Dredging Corporation of India (DCI) appointed for project execution on a deposit basis. To this end, an MoU was signed on April 9, 2024. The project covers key stretches on National Waterways (NW) 2 and 16, with the primary objective of ensuring a minimum navigational depth for vessels. For NW-2, DCI is tasked with maintaining an assured depth of 2.5 metres on two stretches: Bangladesh border to Jogighopa (108 km) and Jogighopa to Pandu (147 km). On NW-16, a 2 metre assured depth will be maintained on its 10.5 km Bhanga to Badarpur stretch.
Contracts for these projects have been awarded, with work already under way on key sections. The MoPSW awarded the NW-2 stretches on September 30, 2024 to Dharti Dredging and Infrastructure Limited for a combined cost of Rs 1.35 billion. Dredging on the Bangladesh border-Pandu stretch commenced on December 5, 2024, with work progressing steadily. To ensure quality and transparency, the National Technological Centre for Ports, Waterways and Coasts (NTCPWC) was appointed as an independent survey agency on December 20, 2024. NTCPWC conducts weekly random inspections on 20 per cent of the dredged area to verify compliance with the required depth and dredging quantity. For the NW-16 stretch, a contract was awarded to Knowledge Marine and Engineering Works Limited, on November 7, 2024, with dredger mobilisation currently in progress.
Funds have been released in phases for these projects. An initial Rs 0.13 billion was disbursed to DCI to cover the early stages of the NW-2 work. Additionally, a mobilisation advance of Rs 0.03 billion was disbursed for the NW-16 dredging project on January 3, 2025.
Another key initiative is the Jal Marg Vikas Project on the Ganga river (NW-1), funded by the World Bank. Spanning Uttar Pradesh, Bihar, Jharkhand and West Bengal, the project aims to maintain a consistent depth of 2.2-3 metres for navigation. Contracts for the project have been awarded based on both quantity and assured depth dredging methods. Similar development work is under way on the Brahmaputra river (NW-2).
IWAI has appointed DCI to undertake dredging activities on the Brahmaputra river. The dredging work is concentrated on two primary stretches: Bangladesh border to Guwahati and Guwahati to Dibrugarh. For the Bangladesh border to Guwahati stretch, DCI has been tasked with maintaining an assured depth, with mobilisation and dredging operations currently under way based on an existing contract. Meanwhile, for the Guwahati to Dibrugarh stretch, dredging is being conducted using IWAI’s own departmental dredgers. These dredgers are strategically deployed at various locations to perform dredging as required, specifically to facilitate the movement of river cruises.
Navigating dredging headwinds
Despite progress, the sector is fraught with significant challenges. A key obstacle is channel alignment, which is constantly altered by heavy siltation, a persistent issue in Indian rivers. The ongoing erosion in upstream hilly regions, mainly in states such as Himachal Pradesh and Uttarakhand, further compounds this problem by depositing vast quantities of silt into the channels.
Another key challenge is the availability of suitable dredgers. Many dredgers currently in use have been redeployed from projects in canals, lakes and dams, and are not ideally suited for the fast-flowing, silt-heavy environment of rivers. Furthermore, the specialised nature of riverine dredging requires extensive training for the crew.
To address these issues, authorities have adopted a flexible dredging strategy. For low-traffic stretches, dredging is conducted as required using locally available dredgers, an economical and effective method for ensuring vessel movement. In contrast, for high-priority contracts with an assured depth requirement, dredging agencies often perform extra work to minimise the need for frequent returns, as a significant portion of dredged channels can fill up with silt within 15-30 days.
In sum
Looking ahead, IWAI is exploring innovative solutions to transfer the risk of dredging. A key proposal is to entrust dredging responsibilities to terminal operators, particularly in public-private partnership projects. While this model may not be immediately feasible, the government is considering providing viability gap funding or managing complete operations on select stretches to incentivise private sector participation and promote inland water transport as a viable, eco-friendly alternative. The long-term vision is that increased vessel movement will naturally help maintain channel alignment, potentially reducing the need for extensive dredging over time.
Currently, IWAI is undertaking large-scale dredging across major rivers. This effort requires a range of equipment, including both old and new dredgers. The authority is actively increasing its fleet of dredgers to meet the growing demand for fairway maintenance and development. Notably, the number of national waterways has increased significantly from just five to 111 over the past decade.
To mitigate any potential impact on the environment and secure the marine ecosystem, the ministry is promoting the uptake of sustainable dredging practices, reuse of dredged materials, and better monitoring systems and technologies. Overall, the long-term outlook for the Indian dredging industry remains optimistic.
(Based on a presentation by an IWAI representative at a recent
Indian Infrastructure conference)
