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PSA Chennai – Hyderabad rail reconnected: Reconnection for better Logistics utilization

As PSA India hit record highs in terms of rail utilization, railway connecting Hyderabad and PSA's Chennai terminal has been reestablished to further support trade in the regions.

Chung Tong Duc by Chung Tong Duc
19/05/2020
in Blog
PSA Chennai – Hyderabad rail reconnected: Reconnection for better Logistics utilization

Chennai-Hyderabad railway: 3-year gap and reconnection

Reconnection of rail transport between PSA’s Chennai terminal and Container Corporation (CONCOR) of India’s Hyderabad ICD was reestablished after 3 years shutting down. The first direct shipment took place on the 11th this month, carrying 32 export containers of sunflower seeds to bound for Manila on ONE’s “Xin Pu Dong” vessel and 2 other containers of PVC boards for loading on a service operated by APL at PSA’s Chennai terminal.

To support exporters in Hyderabad, 90 empty containers of ONE possession also recently departed the PSA Mumbai’s railyard for CONCOR’s Hyderabad ICD on May 8, after being tolled to PSA Mumbai from nearby depots.

PSA’s achievement

Since the 2019 trade meet held by PSA India in Hyderabad, there witnessed an increase in rail shipment originating from this city. In April 2020, railway cargos arriving and departing hit record highs in terms of growth: 23.2% for PSA Chennai, 10.8% for PSA Kolkata and 21.5% for PSA Mumbai.

Rail utilization

Mr. V. Kalyana Rama – CONCOR Chairman and Managing Director stated: “All CONCOR Terminals functioned without any interruption during the lockdown period which not only helped EXIM trade but also the movement of essential commodities across India. Extension gates at Chennai and Mumbai, a new concept, which started during this period with the support of Customs, Ports and Railways, not only kept ports fluid but also increased rail share… One more good achievement is the starting of Hyderabad-Chennai service after a long gap of more than 3 years. This will help exporters and importers of Hyderabad region.”

During this time of crisis, railways has proved its importance in maintaining the smooth flow of cargos across India when the availability of trucks and labours was on the low. Emphasizing rail utilization at a higher level is prioritized regarding the pricing of rail container haulage, Extension Gate solutions, which would encourage a more permanent modal shift.

PSA India Managing Director, Mike Formoso, said, “All our terminals are operating normally, with added safety precautions in place to protect our staff and port users. Storage utilization remains within limits: there are no delays in vessel berthing nor in handling of outside transport”.

By: KC

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