23 November 2016

New Initiatives of Indian Railways in Freight Sector And Its Outcome

The percentage revenue from Coal on Indian Railways during the year 2015-16 (provisional) was 46.20%. As per available record, earnings from Coal and total Freight earnings during 2015-16 were Rs. 49377.56 crore and Rs.106940.55 crore respectively.

 Two Schemes viz, (1) Special Freight Operator (SFTO) and (2) Automobile Freight Train Operator Scheme (AFTO) have been launched to improve Railways share in the market. The details are as under:-

(1)Special Freight Operator Scheme (SFTO)- SFTO provides investments for procurement of High Capacity and Special Purpose wagons for specific commodities like molasses, fly ash, edible oil, caustic soda, chemical, petrochemicals, alumina & bulk cement.

(2)Automobile Freight Train Operator Scheme (AFTO)- AFTO provides procurement and operation of special purpose wagons for transportation of automobile i.e. two /three -wheelers, cars and tractors etc.

 With a view to interacting with the customers for freight booking, 'Key Customer Managers' have been nominated for each commodity and to establish liaison with major customers/stakeholders and Zonal Railways.



(d): Outcome of new initiatives by Railways are as under:-

1. Under SFTO, 3 rakes have been procured and also running on Railways Network since November-2015.



2. Under AFTO, 9 rakes of BCACBM wagons have been procured and are running on Indian Railways.

3. Increasing the axle load for carrying additional traffic per wagon. Length of freight trains has also been increased to carry more traffic per train.



4. Use of extensive computerization in freight operations to improve monitoring and to improve utilization of assets.

5. Deployment of higher capacity locomotives and higher capacity wagons.

6. Improvement in maintenance practices of wagons and locomotives resulting in increased availability of rolling stock for traffic use.

7. Improvement in track and signaling to carry the high volume of traffic.

8. Freight rates for Coal traffic have been rationalised.

9. Rationalisation of Merry-Go-Round (MGR) system w.e.f. 01.04.2016.

10. Withdrawal of Port Congestion Charge from 13.04.2016.

11. Extension of Automatic Freight Rebate scheme for traffic loaded in traditional empty flow direction w.e.f. 13.04.2016.

 12.Withdrawal of Busy Season Charge for traffic loaded in BCN group and BCNHL wagons w.e.f. 01.05.2016 till 30.06.2016.

13.Withdrawal of dual freight policy for iron ore w.e.f. 10.05.2016.

14.Re-introduction of short lead concession and reduction of minimum distance for charge from 125 km to 100 km w.e.f. 15.07.2016.

15.BCN group permitted for two point booking and mini rake w.e.f. 15.03.2016.

16.Distance for mini rake increased from 400 km to 600 km w.e.f. 15.03.2016.

17.A liberalised policy with delegation of power to Zonal Railways introduced for two point booking of covered wagons in which any two stations within a distance of 200km in busy season and 400km in lean season have been permitted for two point booking w.e.f. 22.07.2016.

18.Proliferation of Roll-on Roll-off (RORO) service on Indian Railways.

19. Permission to notify Group I and Group II station/ goods sheds as CRTs for lift on-lift off operations w.e.f. 12.07.2016.

20. Charging of commodities for transportation by containers has been liberalised. 43 additional commodities de-notified for charging at FAK rates.

21. Guidelines for Station to Station Rate policy issued.

The percentage revenue from Coal on Indian Railways during the year 2015-16 (provisional) was 46.20%. As per available record, earnings from Coal and total Freight earnings during 2015-16 were Rs. 49377.56 crore and Rs.106940.55 crore respectively.

 Two Schemes viz, (1) Special Freight Operator (SFTO) and (2) Automobile Freight Train Operator Scheme (AFTO) have been launched to improve Railways share in the market. The details are as under:-

(1)Special Freight Operator Scheme (SFTO)- SFTO provides investments for procurement of High Capacity and Special Purpose wagons for specific commodities like molasses, fly ash, edible oil, caustic soda, chemical, petrochemicals, alumina & bulk cement.

(2)Automobile Freight Train Operator Scheme (AFTO)- AFTO provides procurement and operation of special purpose wagons for transportation of automobile i.e. two /three -wheelers, cars and tractors etc.

 With a view to interacting with the customers for freight booking, 'Key Customer Managers' have been nominated for each commodity and to establish liaison with major customers/stakeholders and Zonal Railways.



(d): Outcome of new initiatives by Railways are as under:-

1. Under SFTO, 3 rakes have been procured and also running on Railways Network since November-2015.



2. Under AFTO, 9 rakes of BCACBM wagons have been procured and are running on Indian Railways.

3. Increasing the axle load for carrying additional traffic per wagon. Length of freight trains has also been increased to carry more traffic per train.



4. Use of extensive computerization in freight operations to improve monitoring and to improve utilization of assets.

5. Deployment of higher capacity locomotives and higher capacity wagons.

6. Improvement in maintenance practices of wagons and locomotives resulting in increased availability of rolling stock for traffic use.

7. Improvement in track and signaling to carry the high volume of traffic.

8. Freight rates for Coal traffic have been rationalised.

9. Rationalisation of Merry-Go-Round (MGR) system w.e.f. 01.04.2016.

10. Withdrawal of Port Congestion Charge from 13.04.2016.

11. Extension of Automatic Freight Rebate scheme for traffic loaded in traditional empty flow direction w.e.f. 13.04.2016.

 12.Withdrawal of Busy Season Charge for traffic loaded in BCN group and BCNHL wagons w.e.f. 01.05.2016 till 30.06.2016.

13.Withdrawal of dual freight policy for iron ore w.e.f. 10.05.2016.

14.Re-introduction of short lead concession and reduction of minimum distance for charge from 125 km to 100 km w.e.f. 15.07.2016.

15.BCN group permitted for two point booking and mini rake w.e.f. 15.03.2016.

16.Distance for mini rake increased from 400 km to 600 km w.e.f. 15.03.2016.

17.A liberalised policy with delegation of power to Zonal Railways introduced for two point booking of covered wagons in which any two stations within a distance of 200km in busy season and 400km in lean season have been permitted for two point booking w.e.f. 22.07.2016.

18.Proliferation of Roll-on Roll-off (RORO) service on Indian Railways.

19. Permission to notify Group I and Group II station/ goods sheds as CRTs for lift on-lift off operations w.e.f. 12.07.2016.

20. Charging of commodities for transportation by containers has been liberalised. 43 additional commodities de-notified for charging at FAK rates.

21. Guidelines for Station to Station Rate policy issued.