Inland Water Freight Transport Market Size (2024 - 2029)

Inland Water Freight Transport Market Analysis

The Inland Water Freight Transport Market size is estimated at USD 14.5 billion in 2024, and is expected to reach USD 17.29 billion by 2029, growing at a CAGR of greater than 3.73% during the forecast period (2024-2029).

• The inland water freight transport market is on the cusp of significant growth, driven by the escalating demand for bulk goods transportation. Inland water transport, well-suited for handling large volumes, is gaining traction as companies seek more economical and eco-friendly shipping solutions. Bulk transportation involves moving large quantities of goods or materials, making inland water freight an ideal choice for industries requiring substantial volume handling.
• Water freight is often lauded for its affordability, especially for heavy items. It calculates its rates based on the cubic meter of a standard container. This contrasts with air transport, where the charged weight considers cargo size and weight. The cost-effectiveness of water freight stems from the lower fare pricing compared to other shipping methods, making it a preferred option for transporting heavy and bulky items.
• One notable trend in the inland water freight market is the rise of IT platforms for streamlined vessel management. These platforms cover a range of functions, from customer and warehouse management to fuel optimization and performance monitoring. Information technology is utilized on ships for various purposes, including customer relationship management, queuing systems, and document recognition from scanned copies and images, enhancing overall operational efficiency.
• Highlighting the industry's shift toward sustainability, in May 2023, Future Proof Shipping (FPS) unveiled the H2 Barge 1, the world's first hydrogen-powered inland container ship, in Rotterdam, the Netherlands. This zero-emission vessel represents a significant step toward greener shipping solutions, addressing the growing environmental concerns within the industry.
• The Suez Canal, a vital trade route, saw a significant dip in trade volume, down by 42% over two months, according to UNCTAD estimates. This decline, coupled with disruptions in oil and grain trades due to the conflict in Ukraine, has reshaped global trade patterns. The Suez Canal, connecting the Mediterranean Sea to the Red Sea, handled approximately 12% to 15% of global trade in 2023, underscoring its critical role in international commerce.
• Notably, grain shipments in 2023 traveled longer distances than ever before. Despite Ukraine resuming grain exports in 2022, several importing nations, influenced by the Black Sea Initiative, diversified their sources. This shift in trade routes highlights the adaptability of the global supply chain in response to geopolitical events.
• The World Bank emphasizes the economic benefits. In India, waterways offer a more cost-effective cargo transport than road and rail. This affordability, especially for heavier cargo, is a key driver for the inland water freight market. Waterways in India provide a lower-cost alternative for transporting goods, contributing to the overall efficiency of the supply chain.
• Also, the industry is witnessing a surge in technological adoption. For instance, Gazonor Béthune, a La Française de l'Energie subsidiary, introduced 'La Bethune,' the world's first hydrogen-fuel cell-powered river barge. With a 200 kW fuel cell system, it aims to slash carbon emissions by up to 40% compared to traditional diesel-powered barges. This innovation reflects the industry's commitment to reducing its environmental footprint through advanced technology.

Inland Water Freight Transport Industry Segmentation

Any transportation of goods made with inland waterways vessels and completed entirely or in part on navigable interior waterways is referred to as inland water freight transport. Inland waterways transport refers to the transportation of goods made entirely on navigable inland rivers employing seagoing vessels.

A complete background analysis of the inland water freight transport market, including the assessment of the economy and contribution of sectors in the economy, market overview, market size estimation for key segments, and emerging trends in the market segments, market dynamics, and geographical trends, and the COVID-19 impact, is covered in the report.

The inland water freight transport market is segmented by type of transportation (liquid bulk transportation and dry bulk transportation), vessel type (cargo ships, container ships, tankers, and other vessel types), and geography (North America, Europe, Asia-pacific, Latin America, and Middle East and Africa). The market sizes and forecasts are provided in terms of value (USD) for all the above segments.