Rlys to set up ECRTs to tap domestic freight movement

 

 

Trying to emerge as dominant player in movement of goods, inward as well as outward cargo, Indian Railways is further concentrating on development of new container terminals in the country. For the same, Railways has identified specific locations including Nagpur, for setting up Exclusive Container Rail Terminal (ECRT). Nagpur is among 23 locations that the Board has shortlisted to further consolidate its position on lucrative container transportation market. The stations that are chosen for new container terminals also showcase Railways focussing on strong agricultural zones as majority of farm produce is still moved through road. So far, container traffic was limited to shipping of products to offshore destinations but now Railways is trying to fight its way into transportation of products within the country, trying to encash the booming demand and equally buoyant agricultural production. As country’s economy takes rapid strides, more set-ups are coming up with innovative products that is finding market in other countries and for the same Railways has drafted comprehensive policy for tapping its vast land bank for container terminals.

 

Apart from Nagpur, the other stations identified for ECRT are Bhusaval, Chinchwad, Miraj and ICD Mulund, all coming under Central Railway jurisdiction. From the time of British rule, Nagpur and Bhusaval have vast land stretches that Railways feels can suit its purpose of setting up terminal that can be exclusively used for transportation of container cargo. As to Chinchwad, it is close to Pune and surrounding areas where industry base is quite strong. As to Miraj in Sangli district and Mulund in Mumbai Metropolitan Region, the railway is trying to expand its footprint in newer regions. The stepping up in container cargo is part of Railways target of reaching 3000 Metric Tonnes goods transport as it fights increasing competition from road transport in inland movement of goods, said officers privy to development of the new model.

 

In neighbouring Madhya Pradesh, Railways have zeroed in on Ratlam and in Andhra Pradesh at Vishakapatnam. As to the policy, Board left it to Operating and Commercial Heads to take call on declaring existing Goods shed as ECRT. The existing ICDs can also be used for domestic movement of containers ensuring that outbound cargo moves smoothly. The new policy allowing dual usage of ICDs would ensure optimum usage of the existing facilities and ensure better returns as for Railways these are capital intensive projects. As per the Railways circular, customers would have to pay Rs 35/TEU (Twenty-foot equivalent unit) for storing containers at these ECRTs. Further rate for one Forty-feet equivalent unit (FEU) will be two times of TEU and in case there is 2-20 feet boxes in double layer, the charges will be Rs 70 for same area. In case they are stored in 3-layers, the charges will be Rs 105 for land area occupied. A period of 12 days is provided for moving out the containers and if they remain beyond this period then charges will be doubled. However for the transporters it should provide respite that Railways has decided not to levy wharfage charges at ECRTs. But Detention or Demurrage charges will apply as per extant policy.