Challenges and strategies in bulk cargo transport
RAILWAYS & METRO RAIL

Challenges and strategies in bulk cargo transport

The Indian Railways, historically a cost-effective means of transporting bulk cargo, faces challenges that demand strategic policies and initiatives. The Government of India recognises the need for reduced logistics costs and eco-friendly transport options. To address these issues, two key policies have been formulated: the PM GatiShakti (PMGS) policy for a National Master Plan (NMP) and the National Logistics Policy (NLP).

The PMGS aims to create a seamless multi-modal transport network in India, utilising technology and IT tools for coordinated infrastructure planning. The NLP focuses on building a national logistics portal and integrating platforms of various ministries. While specific details on PMGS remain scarce, initiatives within the Indian Railways have been introduced. These include relaxed rules for bulk cargo movement, the introduction of mini rakes, private freight terminals (PFTs), and collaboration with freight operators to invest in specialised wagons.

Despite these efforts, the IR's share in bulk cargo transport has declined. Factors such as decentralised production and high costs associated with railway sidings have contributed to this decline. Smaller industries find it challenging to manage rail sidings, leading to increased logistics costs and a preference for alternative transport modes. To address this, common-user facilities need to be developed at cargo aggregation and dispersal points, requiring collaboration between the IR and state governments.

Additionally, environmental concerns pose constraints on IR's operations. Commodities like fly ash, with vast potential for transport, have been underutilised due to the lack of loading facilities at power plant sidings. The IR must proactively address this issue and liberalise wagon designs to accommodate new commodities efficiently.

Furthermore, recent regulations mandating environmental clearance for rail loading/unloading facilities have imposed additional costs, leading some users to opt for road transport. To level the playing field, regulations should be mode-agnostic and based on the quantity of cargo loaded and the potential for environmental impact.

In conclusion, enhancing the IR's role in bulk cargo transportation requires comprehensive policies, collaboration with state governments, proactive measures to tap into new commodity potentials, and mode-agnostic environmental regulations. By addressing these challenges, the Indian Railways can optimise its services, reduce logistics costs, and contribute significantly to sustainable and efficient transportation in the country.

Redefine the future of urban mobility! Join us at the Metro Rail Conference 2025 to explore groundbreaking ideas and insights. 👉 Register today!

The Indian Railways, historically a cost-effective means of transporting bulk cargo, faces challenges that demand strategic policies and initiatives. The Government of India recognises the need for reduced logistics costs and eco-friendly transport options. To address these issues, two key policies have been formulated: the PM GatiShakti (PMGS) policy for a National Master Plan (NMP) and the National Logistics Policy (NLP). The PMGS aims to create a seamless multi-modal transport network in India, utilising technology and IT tools for coordinated infrastructure planning. The NLP focuses on building a national logistics portal and integrating platforms of various ministries. While specific details on PMGS remain scarce, initiatives within the Indian Railways have been introduced. These include relaxed rules for bulk cargo movement, the introduction of mini rakes, private freight terminals (PFTs), and collaboration with freight operators to invest in specialised wagons. Despite these efforts, the IR's share in bulk cargo transport has declined. Factors such as decentralised production and high costs associated with railway sidings have contributed to this decline. Smaller industries find it challenging to manage rail sidings, leading to increased logistics costs and a preference for alternative transport modes. To address this, common-user facilities need to be developed at cargo aggregation and dispersal points, requiring collaboration between the IR and state governments. Additionally, environmental concerns pose constraints on IR's operations. Commodities like fly ash, with vast potential for transport, have been underutilised due to the lack of loading facilities at power plant sidings. The IR must proactively address this issue and liberalise wagon designs to accommodate new commodities efficiently. Furthermore, recent regulations mandating environmental clearance for rail loading/unloading facilities have imposed additional costs, leading some users to opt for road transport. To level the playing field, regulations should be mode-agnostic and based on the quantity of cargo loaded and the potential for environmental impact. In conclusion, enhancing the IR's role in bulk cargo transportation requires comprehensive policies, collaboration with state governments, proactive measures to tap into new commodity potentials, and mode-agnostic environmental regulations. By addressing these challenges, the Indian Railways can optimise its services, reduce logistics costs, and contribute significantly to sustainable and efficient transportation in the country.

Next Story
Infrastructure Energy

Orb Energy Achieves Rs 3 Bn Milestone in Solar Financing Success

Orb Energy, a vertically integrated solar energy solutions provider, has achieved a significant milestone by surpassing Rs 3 billion in financing disbursements through its in-house finance facility that requires no collateral or down payment. This accomplishment underscores its dedication to supporting small and medium enterprises (SMEs) and micro, small, and medium enterprises (MSMEs) in India in transitioning to cost-effective solar energy solutions. The company has installed approximately 350 MW of solar photovoltaic systems nationwide, with a strong foothold in southern and western India...

Next Story
Infrastructure Energy

90% Defaulters Yet to Settle Rs 3.17 Bn Power Dues in Noida

Out of a total of 1.31 lakh defaulters in Noida, only 13,500 consumers availed of the one-time settlement (OTS) scheme during its first phase. The Uttar Pradesh Power Corporation (UPPCL) launched the scheme in three phases, from December 15, 2024, to January 31, 2025. These consumers cleared dues amounting to Rs 300.40 million out of a total Rs 3.47 billion owed. Officials emphasized that stricter enforcement of the scheme would be implemented in the coming phases. During a recent weekend meeting with the technical team of the power department, the Noida zone's chief engineer instructed that..

Next Story
Infrastructure Energy

NER Invites Bids for 10 MW Rooftop Solar Projects in Uttar Pradesh

The Varanasi division (electrical) of Northeastern Railway has recently issued four tenders for a total of 10.4 MW on-grid rooftop solar systems to be installed at various buildings in Gorakhpur, Uttar Pradesh. The tenders include different project capacities, with submission deadlines set between January 31 and February 3, 2025. Bidders are required to submit earnest money deposits (EMDs) ranging from Rs 0.89 million to Rs 1.2 million depending on the tender, with the expected project costs varying between Rs 148 million and Rs 174.08 million. The selected contractors will be tasked with sup..

Hi There!

"Now get regular updates from CW Magazine on WhatsApp!

Join the CW WhatsApp channel for the latest news, industry events, expert insights, and project updates from the construction and infrastructure industry.

Click the link below to join"

+91 81086 03000