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Dated: 13.12.2019

 

DFCCIL – Private Rail Siding Connectivity Policy

 

Introduction

Dedicated Freight Corridors (DFC) presently comprising of Eastern Dedicated Freight Corridor and Western Dedicated Freight Corridor, have been conceived as Railway Freight Expressways whose commissioning will provide a quantum jump in rail capacity for transportation of freight traffic. It will create a paradigm shift in the freight transport logistics and services. The commissioning of DFC will revolutionise the freight movement scenario facilitating speedier & reliable services, providing impetus for industrial growth, and help diversify logistics options.

With planning of industrial corridor along the DFC line, development of business and industries will get impetus. To cater to the rail transport requirement of the industries falling in DFCCIL influence zone, availability of policy guideline for setting up rail connectivity to Private Siding is necessary.

 Objective of the policy

  1. To facilitate first mile or/and last mile rail connectivity to rail users
  2. Reduction in logistics cost to rail user leading to diversion of traffic from road to rail system

 

Applicability of Policy

  1. The policy will be applicable to Industrial Sidings, Container Terminals set up by licensed Container Train Operator (CTO) seeking connectivity with DFC but will exclude PFTs (Private Freight Terminals)
  2. This policy is also applicable to those existing Private Sidings (PS), which are connected from Indian Railways but also intending to get connected as PS with DFC network
  3. A prospective entity, company etc. willing to set up a Private Siding (PS) will hereafter will be termed as PSO (Private Siding Owner). PSO will have to apply for setting up rail connectivity with a Private siding in accordance with terms and conditions of the DFCCIL’s Policy
  4. There will be no discrimination in providing rail connectivity to applicants seeking rail connectivity from DFCCIL. Efforts will be made by DFCCIL to provide connectivity to as many eligible applicants as possible and ensure that connectivity is not denied to an eligible applicant unless there are compelling technical and operational reasons

 

Documents Required

An application for setting up a PS will include following documents:-

  1. Feasibility Report of the Proposed PS connectivity including Concept sketch / Drawing / Lay out of the siding indicating rail connectivity with DFC including pattern of movement traffic and operational requirements
  2. Document in support of approval for setting up of the Industry
  3. Projections of anticipated business volumes.

Application Fee

  1. Applicants of PS will be required to deposit Rs. 5 Lakhs as ‘Application Fee’ (non-refundable) at the time of applying for setting up rail connectivity of PS. The Application Fee is to be deposited through NEFT/RTGS/Demand Draft or any other mode prescribed by DFCCIL
  2. At the time of final approval of PS, the Application fee will be adjusted against the D&G charges

 

Download the PRS Policy Document Here:

Private Rail Siding Policy-DFCCIL

 

Source: Indian Railways

In case you face any issues related to Indirect Tax-Customs, GST, Foreign Trade Policy (FTP), Arbitration matters and Central Licensing and related advisory matters in India then please feel free to get in touch with SJ EXIM Services. We offer Legal advice and litigation support in matters related to Indirect Tax-Customs, FTP, other Indirect Tax matters & Arbitration law, all sorts of Central licensing and related matters. Come and explore the new way of doing business with us!

CONTACT UNDERSIGNED FOR SEEKING SUPPORT ON THE Private Rail Siding POLICY & FACILITATION UNDER DFC PROJECT

@ Team S J EXIM SERVICES, New Delhi, IN

CP: Ms. Shubhra Jha

WEB: www.sjexim.services

EMAIL: operations@sjexim.services | shubhra@sjexim.services

TEL NO: +91-9999005693

 

DISCLAIMER: 
  1. The views are of the Author based on his/her interpretation of the relevant information/documents, applicable law, and government policy and there is no assurance that a court or tribunal or regulatory body or other governmental authority may not interpret it differently.
  2. We are not responsible for updating or revising this article on account of any change in law or interpretation thereof or a change in events or circumstances informed or occurring after the date of this article unless specifically requested for it.
  3. Our advice should not be taken or used out of context or reproduced for any other purpose or transaction. Views expressed in this update are strictly personal, based on our understanding of the underlying law. We are not responsible for any injury, loss or cost arising to any person who refers to this update and acts or refrains from any act accordingly. We would suggest that detailed legal advice must be sought before relying on this update.

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