"We don't know yet why the boat broke up," Commander Dramane Diallo, from the rescue services, told AFP.
"Investigations are under way. The boat broke at the stern" in a branch of the river near the village of Koubi and 210 passengers survived the accident, he said.
Diallo said the large dugout was also loaded with goods. No further details were immediately available.
The governor of Mopti said the Malian rescue services were assisted by residents of Koubi.
"This is what allowed for 20 bodies to be recovered. The search and rescue operation is ongoing," Ibrahima Hama Traore said on public television.
He said that accidents were not uncommon on the river but that the human loss from Friday's disaster was "extremely unusual".
Traore said consultations would be undertaken with river transport companies to regulate traffic and prevent overloading.
Those rudimentary canoes are the main means of transportation for residents of Mali's central and northern regions travelling to the towns dotting the Niger, the main river in West Africa.
The Niger is more than 2,500 miles long. It connects landlocked Mali's arid north to the more fertile south.
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