The Hindu Business Line : Container operators demand lower haulage charges

New Delhi, Sept. 26 Container train operators have reiterated their demand with Indian Railways seeking a lower level of haulage charge that would render the rail container operations attractive.

They have also sought a higher quality of service from Indian Railways in terms of providing transit time guarantees.

Haulage costs are charges that container operators pay to Indian Railways for using the Railways’ infrastructure facilities such as tracks, signalling systems and locomotives to haul the flat wagons and containers.

Review meeting

This happened in a recent meeting held between officials of Indian Railways and container train operators. The meeting was the first review meeting of a committee set up by the Railway Ministry to monitor the progresses made in container operations and evaluate demands of container operators.

“We have requested Indian Railways to consider lowering the haulage charges particularly for lower weight, high value goods,” said sources adding that the container operators have also submitted details to Indian Railways wherein they have compared the cost of transporting containers by road and by trains.

With 15 players acquiring licence to offer containerised train services during the last one and a half years since the Railways opened up the sector, the Railways needs to attract more containerised cargo from roads. This can only happen when the total cost of end-to-end container transportation by rail is lower than road.

“To improve services to our customers, we need to ensure that we deliver the goods in a stipulated time. In this backdrop, since our container wagons are pulled by the Indian Railways’ locomotives within their systems, we require some level of transit time guarantees,” said sources.

Incidentally, the Railway Minister, Mr Lalu Prasad, has stated that the Railways would extend transit guarantees to operators only after completion of the Railways dedicated freight corridor. The corridor project would take at least the targeted five years from now for completion. The funds are yet to be tied up for the project and project construction has also not commenced as yet.

Fifteen players including the incumbent Concor, Adani Logistics, Central Warehousing Corporation (CWC), Gateway Distriparks, ETA Engineering, Hind Terminals (MSC Group), Reliance Infrastructure, SICAL Logistics, J.M. Baxi Group, Pipavav Rail Corporation Ltd and Kribhco have received approval from the Railways to offer containerised services.

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