The Union Minister for Railways, Information & Broadcasting, and Electronics & Information Technology, Shri Ashwini Vaishnaw, today unveiled major reforms in the cement logistics sector by announcing the rationalization of rates for bulk cement in containers and a comprehensive policy framework for bulk cement terminals. The reforms, launched at Rail Bhawan, form a crucial part of the government’s broader push for Railways Reforms for Cement Transportation.
A Game Changer for Affordable Housing
Calling the move “a game changer,” the Minister said the rationalized rates will help reduce cement prices, directly benefiting middle-class and economically weaker families building homes.
Under the new structure, the earlier distance and weight slabs have been completely removed. Freight will now be charged at a flat rate of ₹0.90 per tonne per kilometre, calculated on Gross Tonne Kilometre (GTKM).
Standardised Tank Containers for Efficient & Clean Logistics
Shri Vaishnaw emphasized that tank containers will serve as an end-to-end pollution-free logistics solution for bulk cement transportation.
Key Features of Tank Containers
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Make in India product
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Standard dimensions: 20 ft × 8 ft × 8.5 ft
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Payload capacity: 26 tonnes
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Gross weight: 31 tonnes
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Fast operations: Loading/unloading in 25–30 minutes
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Designed for seamless multimodal transport (train ↔ trailer ↔ train)
The Minister also highlighted India’s growing railway capabilities, stating that the country is now the world’s second-largest freight carrier, surpassing the USA. Daily rail network expansion has increased from 4 km/day (2004–14) to 12–14 km/day, and the broad-gauge network is nearly 100% electrified. Additionally, more than 1,300 Amrit Stations are under development.
Rationalised Freight Structure for Bulk Cement
The new policy simplifies freight calculations by basing the charges solely on actual tonnage and distance travelled, eliminating the earlier complex slabs.
This rationalized rate system is expected to:
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Improve ease of doing business
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Provide cost-effective rail transport
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Encourage large-scale adoption of tank containers for cement logistics
New Policy to Develop Bulk Cement Terminals
To strengthen India’s cement supply chain, the Railways announced a dedicated policy for building Bulk Cement Terminals near consumption centres.
Features of the New Terminal Policy
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Terminals to be constructed, operated, and maintained with direct railway connectivity
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Facilities to include:
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Hoppers
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Silos
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Bagging plants
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Mechanized loading & unloading systems
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Supports smooth movement, storage, and distribution of cement
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Enables transportation of large volumes in a single consignment
Environmental and Economic Benefits
The policy promotes shifting cement transportation from roadways to railways—offering substantial advantages such as:
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Lower transportation costs
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Reduced carbon emissions
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Less road congestion
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Minimal packaging requirements
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Reduced spillage and material loss
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Faster turnaround times
These reforms mark a significant step toward enhancing India’s cement logistics sector, aligning with national goals of sustainable infrastructure, multimodal connectivity, and reduced logistics cost.