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Indian Railways Unveils ₹2 Lakh Cr Plan for Three New Dedicated Freight Corridors Spanning 4,300 Km

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Construction 08 Apr 2024 06:11 PM IST The Hindu BusinessLine

Indian Railways is considering plans to develop three new specialised goods corridors, representing a significant expansion of the country's logistical infrastructure. These corridors are designed to expedite freight traffic and ease congestion on the current tracks, improving passenger rail services. These corridors, spanning 4,300 km and costing ₹2,00,000 crore, will serve certain commodities and critical locations across the country.

Prime Minister Narendra Modi inaugurated the DFC network on 12 December 2020, hailing it as a game changer for India in the 21st century and a catalyst for rapid national development. The DFC project is strategically integrated with the National Rail Plan, which aims to increase India's railway modal share from 28% to 44% by 2051.

Crucially, the DFC is not just a railway project; it's a linchpin of the National Logistics Policy, aiming to reduce logistics costs from the current 15% of GDP to a more sustainable 8% by 2030.

The proposed East Coast corridor, stretching approximately 1,200 kilometres from Kharagpur, West Bengal to Tenali, Andhra Pradesh, aims to optimise freight transport along mineral-rich states such as Bengal and Odisha. Initially intended to terminate at Vizag port, the route extension to Tenali promises enhanced connectivity, benefiting coal, fertilisers, and iron ore industries.

The North-South corridor, spanning 1,000-1,200 kilometres from Itarsi, Madhya Pradesh to Tenali, Andhra Pradesh, is set to bolster connectivity across four states — Madhya Pradesh, Maharashtra, Telangana, and Andhra Pradesh. This corridor will facilitate the transportation of various commodities, including coal, cement, fertilisers, and petroleum products, with future plans to integrate it with existing freight corridors.

In addition, plans are underway for an East-West corridor linking Andal, West Bengal with Palgarh, Maharashtra, traversing through five states. Spanning approximately 2,100 kilometres, with additional spur lines totalling 300 kilometres, this corridor aims to streamline the transportation of coal, iron ore, steel, and other vital commodities across regions.

The Dedicated Freight Corridor Corporation of India Ltd. (DFCCIL) is currently preparing all three network alignment reports. Two reports have been submitted, and the third is slated for completion by the end of this month. Railway officials emphasised the significance of these corridors in optimising freight movement, enhancing port connectivity, and facilitating economic growth across regions.

Final decisions regarding funding, alignment, and project execution are pending and are subject to further discussions within the Ministry of Railways. These Dedicated Freight Corridor projects will unlock economic potential and play a critical role in decongesting the already saturated road network. By promoting the shift of freight transport to the more efficient rail transport system, these corridors will significantly reduce highway congestion.