Putting in place a key element of its ambitious dedicated freight corridor project, the railway ministry has now invited expressions of interest for multi-modal logistics parks. To be set up along the two arms of the corridor, the parks will provide integrated logistics facilities to the industrial hubs that are expected to come up on the route, in particular those on the adjacent Delhi Mumbai Industrial Corridor.
The logistics parks will be constructed on the public private partnership route, with railways and state governments providing about 300 to 400 hectare of land for each of the parks. The Rail Board had earlier asked zonal railway divisions to identify suitable land for the purpose. States such as Punjab and Haryana had also indicated their willingness to provide land for such parks.
Railways is hoping to rope in logistics service providers, realty companies, warehousing investors, industrial houses as well as financial institutions for the project. Companies with a net worth of over Rs 50 crore and a turnover of at least Rs 100 crore will be eligible for the project.
The ministry is looking at constructing at least eight such parks at a distance of 400 kilometre on the freight corridor. Each of the parks is estimated to cost about Rs 500 crore.
Once the contracts are awarded, location specific special purpose vehicles will then be set up to develop common services and utilities such as water, electricity and inter-modal facilities. The private players will have to pitch in with funds and expertise.
End- to- end logistics solutions such as rail and road connectivity and cargo handling, trans-shipment, warehousing and banking services will be offered in the logistics parks to companies that move their goods by railways.
But apart from providing logistics support, the private companies can also develop real estate on the land by building office and commercial space, hotels and restaurants, residential accommodation, trade pavilions and conference facilities.