CHENNAI: Chennai Port Authority is stepping up efforts to strengthen rail-based EXIM connectivity with key hinterland markets, as it seeks to expand its container business and offer exporters and importers more efficient links to global trade routes.
A significant step in this direction is the commencement of container rail movement between Hyderabad and Chennai Port in association with CONCOR and OOCL, opening an additional rail-linked gateway for cargo originating from one of South India’s important industrial and commercial markets.
The Port Authority believes greater utilisation of rail for EXIM cargo can play a transformative role in strengthening cargo aggregation, enhancing connectivity for shipping lines and reducing dependence on road transportation. Increased rail movement can also contribute to a more efficient and environmentally sustainable logistics network.
To accelerate the development of rail-linked cargo opportunities, Chennai Port Authority has constituted a dedicated Rail Connectivity Cell. The Cell will work closely with trade bodies, logistics service providers, CONCOR, shipping lines and other stakeholders to identify and develop new rail-linked opportunities across Hyderabad, Pollachi, Mysore and other hinterland markets.
The initiative is aimed at creating a stronger connection between production and consumption centres in the hinterland and the maritime gateway, enabling cargo to move more seamlessly towards international markets.
Chennai Port Authority is also exploring appropriate commercial support mechanisms to encourage the growth of rail-linked cargo and make rail transportation a more attractive option for EXIM stakeholders.
The Port’s strategy comes as it looks to scale up its container business and strengthen its role as a gateway for India’s growing trade. The emphasis is not only on increasing cargo volumes but also on ensuring that the benefits of container growth extend across the wider logistics ecosystem, including port and terminal operators, shipping lines, Container Train Operators (CTOs), logistics providers, exporters and importers.
The development of dedicated rail connectivity could provide shipping lines and cargo owners with greater flexibility in planning inland transportation while helping to create more efficient cargo aggregation models.
With the Hyderabad–Chennai rail movement marking an important beginning, Chennai Port Authority is now looking to build a wider network of rail-linked hinterland connections.
The broader objective is clear: connect more cargo, move more freight by rail and bring more markets within the reach of Chennai Port.
By strengthening the link between the hinterland and the high seas, Chennai Port is positioning rail connectivity as a key component of its strategy to support the next phase of India’s EXIM trade growth.
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