Indian Railways Extend Freight Adjustments for Short Lead Goods Traffic

Ministry of Railways (Govt. of India) had floated a freight rate circular on 13 Jul’16 in which adjustments were made in base freight rates for short leads goods traffic. Minimum distance for charge was reduced from 125 kms to 100 kms and concessions in charging of freight for all traffic booked up to 100 kms was also stated in the circular. The revised freight concessions came into force w.e.f 15 Jul’16 and remained valid up to 15 Sep’16.

SteelMint had earlier reported Freight Adjustments for Short Lead Goods Traffic Makes Transportation Cheaper.

In the latest circular issued, Ministry of Railways stated that the matter has been reviewed and it is decided that the concessions in charging of freight for all traffic booked up to 100 kms shall continue to remain in force from 16 Sept’16 to 31 Mar’17.

Concessions in charging of freight for all traffic booked up to 100 kms are as follows:

Link to the latest freight rate circular on short lead goods traffic

Short lead good traffic concessions are beneficial if the mines and consumption points are located at short distances. It is also helpful for the consignees who promise long term traffic commitment.