Archive · 19 Aug 2026
AP Chambers Seeks Integrated Freight System to Increase Rail Share
Business leaders in Andhra Pradesh want more goods to travel by train.
They say trains are useful for large and long-distance shipments.
Small and medium-sized businesses often find rail difficult to use.
Their problems include small shipments, poor connections to railway terminals and a lack of nearby storage and container facilities.
The group wants centres that combine many small shipments into larger ones.
It also wants Mini Inland Container Depots and terminals near industrial areas.
A study by IIM Bangalore and South Central Railway is looking for goods that could move from roads to trains.
The goal is to make freight transport easier and less expensive for businesses.
AP Chambers urged an integrated road-rail-port logistics ecosystem to increase rail’s freight share and reduce industry costs.
An IIM Bangalore–South Central Railway study is examining freight patterns and cargo that could shift from road to rail.
The federation said MSMEs face inadequate freight aggregation, weak first- and last-mile links and limited rail-linked facilities.
It proposed freight aggregation centres, Mini Inland Container Depots and rail-linked terminals near industrial hubs.
AP Chambers called for reliable transit times, transparent pricing, digital tracking and coordinated logistics services to make rail freight more competitive.
- Who
- The Andhra Pradesh Chambers of Commerce and Industry Federation, an IIM Bangalore delegation and South Central Railway.
- What
- A proposal for an integrated freight system and a study of cargo that could shift from road to rail.
- When
- The proposal was made during a meeting; the articles do not specify a date.
- Where
- Vijayawada, Andhra Pradesh.
- Why
- To increase rail’s share of freight, reduce logistics costs and address barriers faced by MSMEs.
- Proposal
- Integrate railways, roads, ports, warehouses and Multimodal Logistics Parks.
- Main barriers
- Inadequate freight aggregation, weak first- and last-mile connectivity, limited rail-linked facilities and difficulty moving small consignments.
- Suggested facilities
- Freight aggregation centres, Mini Inland Container Depots and rail-linked freight terminals.
- Potential cargo
- Industrial, agricultural, containerised and export-import cargo.
- Study partners
- IIM Bangalore and South Central Railway.
- Study focus
- Identifying commodity- and corridor-wise shiftable freight and recommending infrastructure and policy measures.
- Service improvements
- Reliable transit times, transparent pricing, digital tracking, flexible services and stronger first- and last-mile connectivity.
