Railways reduces Haulage charges

NEW DELHI: The Railways has reduced the haulage charge payable on transportation of certain commodities like cement , steel, sugar, chemical manures and petroleum products. Haulage charge is the fee charged to private container trains operators for availing rail lines and signalling systems of the Railways. The reduction in this levy, a significant 70-75 % of their operating costs, will help bring down the overall transportation charge.

The Railways will provide a 15% concession instead of the prevailing 10% rebate on the applicable rate for carrying these commodities, a circular issued on February 14 said. The change will be effective March 1 and be valid till the end of August. “The move is too little, too late,“ said Akhileshwar Sahay, president (transport) Feedback Ventures. He added that while the move may give some relief to private train container operators, it will not have a significant impact.

The Railways had increased haulage charge by 170%- 200% for the movement of commodities like cement, stone other than marble, iron and steel, alloys, and petroleum products, by container train operators. The quantum of increase varied based on the commodity , distance and size of the container.