Indian Railways has introduced a significant policy change aimed at encouraging the transport of bulk cement through tank containers. By reducing freight charges, the railways hope to make rail logistics more attractive for cement manufacturers and logistics operators while reducing dependence on road transportation.
Under the revised freight structure, haulage charges have been reduced from 90 paise to 85 paise per tonne per kilometre on a Gross Tonne Kilometre (GTKM) basis. The decision is expected to lower transportation costs for cement companies and improve the competitiveness of rail freight in comparison to road transport. Additionally, incentives such as discounts on empty return trips to the originating terminal have also been introduced to further promote the use of tank containers.
The move has already begun generating interest among cement manufacturers, many of whom are exploring the possibility of shifting their bulk transportation requirements to rail. Container logistics operators are also supporting the initiative by enabling infrastructure such as silo installations at terminals to facilitate efficient bulk handling.
Transporting cement through tank containers offers multiple operational advantages. It minimizes handling losses, ensures faster loading and unloading and reduces packaging costs associated with bagged cement. Moreover, increased reliance on rail-based logistics can significantly reduce fuel consumption and carbon emissions, contributing to more sustainable transportation practices.
By simplifying freight calculations and lowering costs, Indian Railways aims to strengthen bulk cargo movement and position rail transport as a preferred logistics solution for industries such as cement.
