Chennai Port Announces Waiver Of Port-Rail Charges
CHENNAI: In a move to consolidate the gains on container traffic to Bengaluru, Chennai Port has announced its decision to waive port rail charges (haulage @ Rs 125 per TEU and Terminal handling charges @ Rs 22.97 per ton) to the State owned Container Corporation of India (CONCOR) for their container train operations between Chennai Port and Bengaluru sector.
This waiver will come into effect from the date of issuance of the Trade Notice by CONCOR indicating their proportional reduction in their rail tariff and is valid up to March 31st next year (2017).
The minimum approximate reduction would in the range of Rs 450 per TEU. A study conducted by the US based Boston consulting group had assessed that there is potential to target 2.5 lakh TEUs that could be converted to rail from road mode in the long term in this sector, CONCOR has been running regular container trains from the Chennai Port to Bengaluru for quite some time.
The services are popular and the State owned company runs five to six container trains from Chennai Port to Bengaluru.
Earlier this year a private company has started container train service from Chennai Port to Bengaluru.
The Port release issued by the Traffic Manger B Vimal said the port shall extend this waiver to all the container train operators subject to them passing on the benefits to the trade. It is expected that the container train operators, importers and exporters will come forward to avail this facility. In the long run it will reduce the carbon footprint, road congestion and delays the release said.
It may be recalled that the Chennai Port had announced similar waiver for the Chennai Bengaluru sector from March 16 this year for a period of three months on a trial basis. Based on the concession offered by the Port administration, CONCOR had announced a waiver of Rs 160 per TEU towards haulage and Rs 22.07 per ton in terminal handling charges for the Chennai Port Bengaluru sector during this period and the same was passed on to the trade.