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Under the policy, freight rates for bulk cement transportation have been standardized at a uniform rate of 90 paise per tonne per kilometre, replacing the previous system of distance and weight-based slabs. The ministry said the simplified structure is expected to make cement transportation more efficient and cost-effective.
The policy also seeks to promote the use of tank containers – a new category of wagons designed for bulk cement – which enable seamless multi-modal movement from production centers to consumption centres. “This new innovation will support cleaner, more sustainable transportation at significantly lower cost, as cement bags will no longer be required,” Vaishnav said at the launch.
Indian Railways has developed a logistics solution using tank containers that can run through train-trailer-train mode, making long-distance cement logistics more flexible, officials said. The Railways will also facilitate the construction of bulk cement terminals across the country, especially near consumption centres, to support the new transportation model.
Industry representatives welcomed the policy, calling it a game-changer for the sector. Cement Manufacturers Association general secretary Aparna Dutt Sharma said the reforms are in line with the industry’s expectations. Speaking to reporters, he said bulk cement currently accounts for 18-20% of the total consumption, while only 8-9% is transported by rail. He said with 60-65% of the cement market being located within 300 km of manufacturing units, the policy “will prove to be a game changer”.
Manufacturers pointed out that transportation of bagged cement often incurs high secondary costs due to handling, storage and last mile movement. “The new bulk policy will eliminate many secondary charges, including handling and transportation costs,” said a manufacturer. He said bulk terminal locations would be developed in consultation with the industry.