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The Role of Dedicated Freight Corridors in Transforming India's Freight Transport

Enhancing Efficiency and Sustainability in Indian Freight Movement

The Role of Dedicated Freight Corridors in Transforming India's Freight Transport

  • 15 Nov, 2024
  • 232

Introduction to Dedicated Freight Corridors

Dedicated Freight Corridors (DFCs) are specialized rail networks exclusively designed to handle freight transportation. These corridors aim to streamline cargo movement across India by facilitating faster and heavier freight trains. As a result, the efficiency of supply chains, especially for industries involved in large-scale import-export activities, has seen significant improvement.

The Need for Dedicated Freight Corridors in India

The establishment of DFCs in India was driven by two main factors:

  • Overutilization of Passenger Rail Network: The existing rail infrastructure was predominantly utilized for passenger services. Despite covering only 16% of the rail routes, it managed over 50% of passenger and freight traffic, leading to congestion and inefficiencies.
  • Decline in Freight Share: Railways' share in freight traffic witnessed a decline. To meet the National Rail Plan's goal of increasing rail freight to 45% by 2030, dedicated corridors were essential to reduce reliance on road transport.

Key Dedicated Freight Corridor Projects

India has embarked on two major DFC projects:

  • Western Dedicated Freight Corridor (WDFC): Spanning 1,506 km from Jawaharlal Nehru Port Terminal (JNPT) in Maharashtra to Dadri in Uttar Pradesh, this corridor caters to the industrial and port areas of Gujarat and Maharashtra.
  • Eastern Dedicated Freight Corridor (EDFC): Extending 1,337 km from Sonnagar in Bihar to Sahnewal in Punjab, it connects coal mines and thermal power plants with key industrial zones.

Additional corridors are in the planning phase, including the east coast corridor (Kharagpur to Vijayawada), east-west corridor (Bhusawal to Dankuni), and north-south corridor (Vijayawada to Itarsi).

Economic Impact of Dedicated Freight Corridors

A study by the University of New South Wales reveals that DFCs have contributed to a 2.94% revenue growth for Indian Railways between FY 2022-23 and FY 2018-19. By lowering freight costs and reducing travel time, DFCs have decreased goods' prices by up to 0.5%, benefiting both businesses and consumers. These corridors offer faster and reliable freight services, enhancing economic productivity.

Efficiency Improvements in Freight Transportation

The DFC trains operate on exclusive lines, supporting double-stack container trains and longer formations, which significantly boost cargo capacity. This setup reduces congestion on regular passenger routes, minimizes delays, and enhances the reliability of freight services. DFCs now manage approximately 10% of Indian Railways' total freight load, marking a shift towards more efficient transportation.

Current Operational Status and Future Plans

Currently, 325 trains operate daily on the DFC network, utilizing around 60% of its designed capacity. The Western Corridor is nearing completion at 93%, while the Eastern Corridor is fully operational. By December 2025, complete DFC operations are expected, further expanding the network's capabilities.

Looking forward, additional DFC projects are planned to cover the east, west, north, and south regions, connecting major industrial and port cities. These expansions aim to enhance the efficiency of India's freight network, aligning with the National Rail Plan's objectives.

Environmental Benefits of Dedicated Freight Corridors

By shifting more freight to rail, DFCs help reduce road congestion and emissions while minimizing fuel usage, supporting sustainable transport goals. These corridors align with India’s commitments to reducing greenhouse gas emissions, promoting greener logistics solutions.

In conclusion, efficient transport systems like DFCs are crucial for economic growth, linking people, markets, and opportunities.

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