INDIA's private container train operators continue to seek stable rail rates to make the best of their contracts take from the former state monopolist, the Container Corporation of India (CONCOR).
Of the 14 private companies to take licences following the 2006 deregulation, all have been stymied by the signing of concessionary agreements in 2007 with India Railways, the only hauler of multi-car units called rakes, that includes a twice yearly charge increase without transit-time guarantees.
Small victories for the private operators now include assured transit time (ATT) service and the use of common rail terminals (CRTs) for freight handling by the India Railways. But these do not cover a lack of state support for land acquisition of Inland Container Depots (ICDs) and domestic container terminals (DCT) to prevent over reliance on CONCOR's 59 ICDs network.
The private sector has weathered a shortage of rolling stock and overcapacity during the economic crisis but ongoing hefty spikes in haulage rates coupled with a slow-up in the long awaited freight corridor between NCR and JNPT could damage the sector just when capital investments are needed most.
Private licensees have increased with the addition of two of Kribhco and Arshiya International from the 14 who first joined, they being: Adani Logistics Ltd, Boxtrans Logistics India Services Ltd, Container Corporation of India (CONCOR), Central Warehousing Corporation, Container Rail Road Services Pvt Ltd, Delhi Assam Roadways Corporation Ltd, Emirates Trading Agency, Gateway Rail Freight Pvt Ltd, Hind Terminals Pvt Ltd, India Infrastructure & Leasing Pvt Ltd, Innovative B2B Logistics Solutions Pvt Ltd, Pipavav Railway Corporation Ltd, Reliance Infrastructure Engineering Pvt Ltd and SICAL Logistics.