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The Railways is being required to move empty rakes to the ports of Paradip and Visakhapatnam for loading imported coal, for power houses and steel plants. Inquiries reveal that about 10 empty rakes are being moved to Visakhapatnam and about four to five rakes to Paradip everyday. This is costing the Railways dear. The situation is ideal for the Railways when there is enough traffic in both directions, which was the case till recently. Earlier, the rakes transported iron or e for exports to the ports and on unloading, the exports were backloaded with the imported coal for their return journey. Not anymore. Not many rakes with iron ore exports are moving into the ports as exports have slumped following crash in international price of the ore. Reports have it that the spot international price of iron ore having dropped to around $60 a tonne, not a single rake was loaded for exports in Orissa’s iron ore-rich Nayagarh area between September 23 and October 3. While the Railways expect the coking coal import to rise from the middle of this month, there is no firm indication as yet about the probable rise in the international price of iron ore. Also, the price must rise to certain minimum level. For example, unless the international price of ore in more than $100 a tonne, the exports through Visakhapatnam, it is felt by many, may not be viable. Which means, the Railways has reasons to feel worried as the present mismatch, in all likelihood, will persist for some time.

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