Union cabinet approved Dissolution of Central Inland Water Transport Corporation Limited

The Union Cabinet has given its approval to proposal for dissolution of Central Inland Water Transport Corporation Limited (CIWTC).

Why this was necessary?

Due to inherent limitation and infrastructure bottle necks, the operations of CIWTC have never become viable and company has been incurring losses since inception. The Company has only five employees at present. Hence, it has been decided to dissolve the company.

Background:

This decision is in line with the decision of the Government to revitalize sick CPSUs wherever possible or to wind up irretrievable cases.

Significance of this move:

This would free up the assets for better utilization and for the benefit of the people. A number of assets would be taken up by Inland Waterways Authority of India to provide services on Brahmputra River (NW-4).

About CIWTC:

Central Inland Water Corporation Limited (CIWTC LTD) was incorporated in May 1967 as a Govt. of India Undertaking after taking over the business from a loss making erstwhile sterling company, namely River Steam Navigation & Co. (RSN & Co.). It is under the administrative control of Ministry of Shipping (MOS).