News Brief
Odisha Inks Rs 12,200 Crore MoU To Develop Two National Waterways For Sustainable Freight Transport
The collaboration focuses on the development of National Waterway-5 and 64
The Odisha government has signed a Memorandum of Understanding (MoU) for the development and operation of two key national waterways, as a major step towards integrating the state’s river systems into India’s multimodal freight network.
The agreement, finalised during India Maritime Week 2025 in Mumbai, was signed among the Inland Waterways Authority of India (IWAI), the Odisha government, Paradip Port Authority (PPA) and Mahanadi Coalfields Ltd (MCL),
The collaboration focuses on the development of National Waterway-5 (NW-5) and National Waterway-64 (NW-64), with a combined investment of around Rs 12,200 crore.
The initiative aims to enable seamless cargo movement, particularly coal and other bulk commodities, from the Talcher coalfields to Paradip and Dhamra ports, through efficient inland water routes.
NW-5 passes through Odisha and parts of West Bengal, linking the Talcher–Dhamra stretch of the Brahmani River, the Matai River, the East Coast Canal, and the Mahanadi delta, while NW-64 covers the Mahanadi stretch from Paradip to Cuttack.
Implementation will be carried out through a newly formed Special Purpose Vehicle (SPV) — the Inland Waterways Consortium of Odisha Ltd (IWCOL).
The IWAI will oversee project planning, obtain necessary statutory approvals, and develop key infrastructure such as terminals, navigation systems, and barrages.
Highlighting the state’s maritime vision to expand total port handling capacity to 500 million tonnes by 2047, Majhi noted that the upcoming ports at Astaranga, Jatadhari Muhan, Subarnarekha and Bahuda will complement Paradip, Dhamra and Gopalpur in fuelling industrial growth.
Key among the new MoUs, the Paradip Port Authority (PPA) and Odisha Maritime Board (OMB) will jointly develop a mega shipbuilding cluster at Kendrapara with an investment of Rs 22,700 crore.
Another agreement between PPA, OMB and Sagarmala Finance Corporation envisions an all-weather satellite port at Bahuda Muhana in Ganjam district worth Rs 21,500 crore.
Additionally, the Odisha Commerce and Transport Department and the Indian Ports Association will develop a cruise terminal at a cost of Rs 500 crore, while PPA and OMB plan an international cruise terminal at Puri with similar investment.
