Private freight terminal at Timmapur likely

South Central Railway (SCR) will now introduce private freight terminals (PFTs), a move aimed at improving its participation in the overall transport chain. This rail division, which currently holds the fourth position in freight movement among 16 divisions in the country, hopes to improve its freight figures with this private partnership terminal model.

The SCR has recorded a 13.3 per cent growth in its freight earnings in the April-June period in 2011 compared to its earnings for the corresponding period last year. For the same period, SCR’s freight earnings stood at Rs 1,347 crores, out of its total revenue collection of Rs 1,916 crores. As a whole, the freight earnings constitute approximately 70 per cent of total SCR’s earnings.

Officials on Tuesday said that the first such private terminal at Timmapur is nearing completion and that it would work as a model to attract private investments to such terminals. A second such proposal is also in the pipeline at Nagolepally, officials said. “We have traditionally allowed private players to only handle their own traffic but here they would also be able to handle third party cargo and even collect user charges,” said an official. The revenue generated from PFTs would be shared between SCR and the private player.

“We are opening up huge business potential for the industry, and for railways, it would mean great growth prospects and penetration of freight services,” said Sunil K Agarwal, chief operations manager, South Central Railways, adding that the end customer would also be benefited with novel aspects like door delivery of goods, quality packaging and so on.

http://epaper.timesofindia.com/Default/Scripting/ArticleWin.asp?From=Archive&Source=Page&Skin=TOINEW&BaseHref=TOIH/2011/07/13&PageLabel=5&EntityId=Ar00502&ViewMode=HTML