CONCOR shifts to Gati Shakti Cargo Terminal scheme to reduce land licence fees significantly.
Container Corporation of India (CONCOR) has announced a strategic shift to the Gati Shakti Cargo Terminal (GCT) scheme for its terminals located on Indian Railways land. This move is poised to substantially decrease CONCOR’s annual land licence fee (LLF) by approximately ₹120 crore, reducing it to less than ₹300 crore.
With the endorsement of its board, CONCOR has submitted an application to the Ministry of Railways, seeking to transition its inland container depot at Tughlakabad New Delhi to the new Railway land management policy under the Gati Shakti Cargo Terminal scheme. This scheme was ratified by the Union Cabinet in September 2022.
The Chairman and Managing Director has communicated with the Ministry of Railways regarding the switch to the GCT scheme, and it is currently under review,” stated Finance Director Manoj Dubey during the fourth-quarter earnings call on May 17. The Tughlakabad depot, spanning 195 acres in Delhi, serves as CONCOR’s flagship terminal.
The decision to migrate to the GCT scheme is expected to alleviate a significant portion of the financial burden associated with the land licence fees, enabling the state-run rail transporter to allocate resources more efficiently.
