Economy
Logistics

How containers can boost railways’ freight revenue, and why it’s good news for congested roads

How containers can boost railways’ freight revenue, and why it’s good news for congested roads

An Indian labourer takes a break after loading coal onto trucks at the Kankaria Railway Yard in Ahmedabad.

Synopsis

The dependence on coal freight might prove to be a big risk for the railways in the long run. Containerised transportation can play a role in expanding railways’ freight basket. It will also help move freight from road to rail, decongest roads, and reduce pollution. However, industry insiders say rail container transportation is yet to see a major policy push.

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7 mins read, Last Updated:
Indian logistics loves its roads. So much so that 65% of the freight in the country is moved by road. This has led to congestion, pollution, and high logistics costs. But the story may change, as the government is targeting to increase the share of the railways in freight movement from the current 27% to 45% by 2030. Industry experts believe a major push can come from the Indian Railways’ efforts to increase its market share in container

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