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EquityWireAim to double use of railway freight svcs in next 2-3 yrs, says RIL official
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Aim to double use of railway freight svcs in next 2-3 yrs, says RIL official

This story was originally published at 14:39 IST on 6 March 2025
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Informist, Thursday, Mar. 6, 2025

 

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--RIL official: Lack of secondary packaging hindering rail loading, unloading
--CONTEXT: RIL official speaking at CII conference on supply chain, logistics
--RIL official: Lack of fast loading, unloading hinder use of rail freight
--RIL official: Slip sheets, other secondary packaging can ease rail freight
--RIL official: Need better wagon design for non-core goods rail freight
 

 

By Rajesh Gajra

 

NEW DELHI – Reliance Industries Ltd. aims to double the use of railway freight services in the next 2-3 years, Arun Salvi, head of supply chain-petrochemicals at the company, said on the sidelines of a Confederation of Indian Industry-organised conference on responsive supply chain for Indian manufacturing. The company is currently using railways to move petrochemical products quite significantly, and the increased use going ahead will be for both finished goods and raw material, Salvi said.

 

Speaking at the event, Salvi said large companies understand the road logistics in almost every aspect, but the intricacies of railway logistics are not that well understood. Barring established efficiencies in railway freight in core sectors such as oil, cement, metals, coal, and fertilisers, companies from other sectors find lack of faster loading and unloading as a major hindrance, he said.

 

While primary packaging elements are already in place in railways freight, secondary packaging elements such as slip sheets, and wooden pallets, which companies from fast-moving consumer goods sector and other sectors need, are currently not in place, according to the Reliance Industries official. Anything that aids faster loading and unloading will ease and facilitate the use of railway freight services by large companies, Salvi said. Better design of railway wagons for manufacturing companies in non-core sectors is another requirement of large companies, he said.

 

The infrastructure in logistics and last-mile reach in the country is another equally important part, Salvi said. India is a country of 720-plus districts and most large companies want to reach customers in every district, the RIL official said.

 

The government is currently carrying out a detailed survey among companies and stakeholders on the issue of logistics, Sagar Kadu, director-logistics, Department for Promotion of Industry and Internal Trade, Ministry of Commerce and Industry, said at the event. The survey will detail the problem areas, scope of improvement in efficiencies, costs, and regulatory aspects, Kadu said.

 

Salvi said a better understanding of multimodal transportation in domestic logistics is key for companies. Commercial aspects, operations on the ground, and safety aspects determine the expertise areas for each of the mode of transportation for companies, he said. There is a lot of scope to increase the share of railways in domestic goods movement, according to the RIL official.  End

 

Edited by Ashish Shirke

 

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