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Amendment to ‘Comprehensive Parcel Leasing Policy’— ‘short-term/temporary leasing of parcel space in SLRs/VPs’ - reg

FREIGHT MARKETING CIRCULAR No. 24 of 2021
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Circular numberFREIGHT MARKETING CIRCULAR No. 24 of 2021
File numberNo. 2021/TC(FM)/10/11
TypeFreight Marketing Circular
Topicparcel
DirectorateTraffic Commercial (Freight Marketing)
CurrencyCurrency not verified

Summary

Amendment to ‘Comprehensive Parcel Leasing Policy’— ‘short-term/temporary leasing of parcel space in SLRs/VPs’ - reg Parcel Vans — Parcel Vans (VPHs/VPs/VPUs/VPRs/LVPHs etc.) shall be leased out on round trip

Text of the circular

FREIGHT MARKETING
CIRCULAR No. 24 of 2021

भारत सरकार GOVERNMENT OF INDIA
रेल मंत्रालय MINISTRY OF RAILWAYS
(रेलवे बोर्ड RAILWAY BOARD )

No. 2021/TC(FM)/10/11 New Delhi, Dated: ) 6 .11.2021

The General Managers,
All Zonal Railways.

(Amendment No. 14 to ‘Comprehensive Parcel Leasing Policy’)

Sub: Amendment to ‘Comprehensive Parcel Leasing Policy’— ‘short-term/temporary
leasing of parcel space in SLRs/VPs’ - reg.

Ref: i. FM Circular No. 06/2014, Board’s letter No. 2013/TC(FM)/10/02, dtd. 15.04.2014.
ii. FM Circular No. 05/2016, Board’s letter No. 2015/TC(FM)/10/06, dtd. 15.06.2016.
iii. Board’s letter no.2020/TC(FM)/10/13, dtd. 18.09.2020.
iv. Board’s letter no. 2020/TC(FM)/11/29, dtd.21.09.2020.

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Attention is invited to paras 7.1 and 7.2 of the CPLP, issued vide Board’s FM Circular 6/2014

(further modified vide FMC — 5/2016) which stipulate provisions for duration and mode of leasing of _
parcel space in SLRs/VPs.

2. The matter has been deliberated upon, and with a view to liberalize the Policy it has been

decided to modify paras 7.1, 7.2, 41.1, 41.2 of the FM Circular No. 05/2016, and para 49.1 of
the FM Circular No. 06/2014 as under:

Para 7.1 —

SLR -— For leasing of parcel space of the compartment of Brakevans (SLRs), there will be four types
of lease, depending on the duration of the leasing contract. These are classified as follows:

Mode of lease

Period of lease

S.No. | Type of lease

Long term lease Open tender

Open tender

30/60/90/ days at a time Quotation basis

Quotation basis

li Short term lease

Temporary lease

Day to day lease | Maximum 10 days at a time

Long term lease shall be awarded for a period of 05 (five) years. There would be no escalation during
the first three years in lumpsum leased freight. An annual escalation of lumpsum leased freight at the
rate of 10% per annum on the lumpsum leased freight of the immediate preceding year shall be
applicable from the fourth year onwards.

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CIRCULAR No. 24 of 2021

Para 7.2 —

Parcel Vans — Parcel Vans (VPHs/VPs/VPUs/VPRs/LVPHs etc.) shall be leased out on round trip
basis. There will be three types of lease, depending on the duration of the leasing contract.
These are classified as follows:

Type of lease Period of lease Mode of lease

Long term lease 5 years Open tender

Short term lease | 2 years Open tender

ili Temporary lease | 30/60/90/ days at a time Quotation basis

Long term lease contracts shall be leased out for a period of 5 (five) years. There would be no
escalation in first three years in lumpsum leased freight. An annual escalation of lumpsum leased
freight at the rate of 10% per annum on the lumpsum leased freight of the immediate preceding year
shall be applicable from the fourth year onwards.

Para 41.1 -

There will be three types of lease, depending on the duration of the leasing contract for leasing of
parcel space of the compartment of Brakevans (SLRs). These are classified as follows:

Type of lease Period of lease Mode of lease
Long term lease _ | 5 years Open tender
Short term lease | 2 years Open tender

30/60/90/ days at a time

S.No.

Quotation basis

Temporary lease

Day to day lease | Maximum 10 days atatime | Quotation basis

Para 41.2 —

Open tender for leasing of parcel space in Brakevans (SLRs) will be invited for a period of 5/2 years.
Offers received below reserve price shall not be accepted irrespective of mode of lease. Reserve price
for lease contracts for any duration shall be governed by para 42.2 of this Policy (further modified
vide FM Circular No. 01/2018).

Para 49.1 —

Parcel space of the Parcel Vans (VPHs/VPs/VPUs/VPRs/LVPHs etc.) will be leased out on round
trip basis, on long/short term contracts by inviting bids through open tenders. Leasing of Parcel
Vans will also be permitted on temporary basis, through quotation, for 30/60/90 days.

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FREIGHT MARKETING
CIRCULAR No. 24 of 2021

3; These instructions shall come into force wi

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