DFCCIL invites tender for development and operation of multimodal logistics park at New Kanpur under Gati Shakti policy through private investment

Dedicated Freight Corridor Corporation of India Limited (DFCCIL) has invited open e-tenders, in Single Stage Two Packet System for Expression of Interest (EOI) for construction/ development and operation of multimodal logistics park in DFCCIL land at New Kanpur (EDFC) under Gati Shakti policy through private investment.

  • Tender Reference Number: HQ-OPBD0BD(DT)17 12022
  • Name of Work: Expression of Interest (EOI) for construction/ development and operation of multimodal logistics park in DFCCIL land at New Kanpur (EDFC) under Gati Shakti policy through private investment.
  • Document Download / Sale Start Date: 26th October, 2022
  • Document Download / Sale End Date: 15th November, 2022
  • Bid Submission Start Date: 26th October, 2022
  • Bid Submission End Date: 15th November, 2022

General:

  • Dedicated Freight Corridor (DFCs) is a mega infrastructure project of approximately 3300 kms of track length between JNPT – DADRI (Western DFC route) and Kolkata to Ludhiana (Eastern DFC route). It is fast progressing towards its completion, with about 47% of it already commissioned.
  • A few mega Multimodal Logistics parks (MMLPs) are planned at selected locations along the DFCs to reduce the overall logistics cost and increase freight modal share of rail.
  • This E01 intends to identify the interested parties willing to participate in development of MMLP and to obtain feedback/suggestions. Logistics services providers, Real Estate Developers, Third Party Logistics players, Warehousing investors. Container Train operators.
  • Financial institutions, Industrial houses etc may respond along with essential information regarding concept plan, revenue model, estimated cost of project, traffic projection, value added services and type/segment of logistics business to be developed etc.

Background:

  • Globally, Indian Railways is the fourth largest Railway System both in terms of the Railway Network and Freight Traffic Carried. The rapid growth of the Indian economy has created demand for additional capacity for rail freight transportation.
  • With the aim to generate sufficient capacity to meet the increasing demand for freight traffic, in the year 2006, a Special Purpose Vehicle “Dedicated Freight Corridor Corporation of India Limited (DFCCIL)- was constituted by the Ministry of Railways for construction, operation, and maintenance of Dedicated freight corridors.
  • The alignment of the freight corridor is from Ludhiana to Sonnagar (which will be eventually extended up to Dankuni) forming the Eastern corridor, and from Dadri to JNPT forming the Western corridor of the alignment.
  • Over 47% of the total corridor has been commissioned. Train operations from New Rewari to New Mehsana on Western corridor and Khurja-Bhaupur, Rooma-Shujatpur & DDU-Sonnagar on Eastern corridor have commenced. 

Objective & Location:

  • Indian Railways undertook a complete review of its existing policies with the objective to boost industry investment in development of freight terminals for handling rail cargo; and has subsequently issued the ‘Gati-Shakti Multi-modal Cargo Terminal (GCT)’ policy in December 2021 in supersession of then-extant PFT and Private siding policies.

Purpose & Details of Expression of Interest (EOI):

  • Through this EOI, DFCCIL intends to identify interested developers/Logistics Service Providers willing to participate in the development of Multimodal logistics park on DFCCIL land at Kanpur.
  • The details/inputs which the interested parties need to provide for participation in this EoI include, but not limited to:
  • Concept plan/layout indicating rail infrastructure, value added services & road connectivity to National Highway (NH).
  • Details of Value added services planned to be set-up by the developer
  • Estimated/projected Traffic in terms of annual tonnage/rakes
  • Commodities to be handled as well as restricted commodities, if any.
  • Infrastructure required at Multimodal Logistics Park
  • Tentative expenditure with breakup of rail infrastructure and value added services
  • Proposed Business model and Revenue sharing model, in case any deviation from the GCT’2021 Policy of IR is suggested.

About DFCCIL:

  • The Indian Railways’ quadrilateral linking the four metropolitan cities of Delhi, Mumbai, Chennai and Howrah, commonly known as the Golden Quadrilateral.
  • And its two diagonals (Delhi-Chennai and Mumbai-Howrah), adding up to a total route length of 10,122 km comprising 16% of the route carried more than 52% of the passenger traffic and 58% of revenue earning freight traffic of IR.
  • The existing trunk routes of Howrah-Delhi on the Eastern Corridor and Mumbai-Delhi on the Western Corridor were highly saturated, line capacity utilization varying between 115% to 150%.
  • Railways lost the share in freight traffic from 83% in 1950-51 to 35% in 2011-12.
  • The growth of the Indian economy has created demand for additional capacity of rail freight transportation, and this is likely to grow further in the future.
  • This burgeoning demand led to the conception of the dedicated freight corridors along the Eastern and Western Routes.
  • Minister for Railways, made this historic announcement on the floor of the House in the Parliament while presenting the Railway Budget for 2005-06.
  • This led to the establishment of “Dedicated Freight Corridor Corporation of India Limited (DFCC)”, to undertake planning & development, mobilization of financial resources and construction, maintenance and operation of the dedicated freight corridors.
  • DFCC was incorporated as a company under the Companies Act 1956 on 30th October 2006.

The Tender document can be downloaded from IREPS website www.ireps.gov.in and DFCCIL’s website www.dfccil.com


Source: DFCCIL- Tender | Image Credit (representational): DFCCIL