Optimizing Dry Port Locations Using Hub And Spoke Network Design - A Conceptual Framework For Inland Water Ports In Assam

Abstract

The Indian Freight and Logistics market is estimated to grow at 8.8% annually to USD 484.43 bn by 2029. This exponential rise in demand has to be supported by adequate investments across all modes of transport. However, only a miniscule 0.5% of freight movement within India occurs via waterways and this mode of transport is largely unutilized despite having over 15000 kms of navigable river systems. In recent years, with due diligence to cheaper, greener and efficient modes of transport, developed nations across the world have focused on building river transport infrastructure systems for proliferation of internal trade and commerce. Policymakers in India also are focusing on river connectivity improvement projects on the key waterways. It is significant to note that, under the ambit of Act East Policy, key investments are underway to connect South East Asian economies via Northeast India. The waterways of the region hold immense potential in terms of establishing efficient trade connectivity with neighboring countries; the key challenge lies in establishing a robust, resilient and effective water transport infrastructure system. To address this challenge, apart from developing inland water ports and port townships along major waterways, it becomes important to complement conventional transport infrastructure with intermodal capabilities at strategic locations for the switchover between rail, road and water mode of transport. In this context, the paper introduces the concept of dry ports as one of the means for intermodal capabilities and discusses the key considerations associated with a hub-and-spoke network design model for locating dry ports vis-à-vis key inland water ports along the two major waterways-Brahmaputra and Barak of the Northeastern region. Key contribution of the work lies in establishing key design considerations for the proposed hub-and-spoke design and providing a conceptual for optimizing the river transport infrastructure system.