PM Gati Shakti Expansion: Railways Nationwide Plan for 200 Multi-Modal Cargo Terminals

Indian Railways, in an encouraging development, is set to meet the target of building 100 Gati Shakti Cargo Terminals (GCTs) ahead of schedule.

About 60 terminals are already operating in Public-Private Partnership (PPP) mode; The remaining 40 are expected to be completed by the end of the current financial year.

“The target for Gati Shakti Terminals will subsequently be elevated to 200 terminals once the initial 100 are fully operational,” Disclosed by senior official.

A target of building 100 Gati Shakti terminals was set in the Union Budget 2022-23; Five years were given for its implementation.

These ambitious efforts are closely linked to the broader strategy to promote containerization of domestic cargo, thereby facilitating greater cargo movement through railways. Notably, Rs 5,374 crore has already been invested in setting up operational Gati Shakti cargo terminals.

While discussing the freight priorities of Indian Railways, the official stressed the need to give more priority to bulky goods like coal and cement over bulkier goods like electronics and clothes.

“The Railways aims to incentivize containerization of volumetric cargo to streamline handling processes and enhance operational efficiency,” the official added, reports Economic Times.

At present, heavy freight is mainly run with dedicated freight trains, while heavy freight is often run with fewer passengers.

However, a new era of efficiency and productivity in freight logistics will begin, as the envisaged shift towards widespread containerization of Indian Railways will enable it to efficiently transport large volumes of freight through carefully planned services.

What are Gati Shakti Terminals?

Gati Shakti Terminal is an important location for bulk cargo handling by corporate entities having strong ties with Indian Railways. These terminals, established exclusively for non-passenger commercial purposes such as freight transportation, aim to take advantage of vacant railway land for monetization.

Indian Railways has introduced simplified procedures for approving Railway Connectivity Terminals. These measures include waiving off departmental fees, land license fees, and commercial staff expenses.

The Railways will create and maintain common-user traffic facilities. Terminals with major outbound traffic will get a 10 percent discount in freight charges. Except on specific lines, the Railways pay the maintenance expenses. It retains the right to provide connectivity to other terminals. These steps are aimed at promoting efficient terminal operations and expediting approvals.