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Rationalization of freight Rates for Parcel Traffic – discount in empty direction

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Rationalization of freight rates for Parcel traffic - discount in empty direction (B.) The discount on piece-meal Parcel Vans shall not be applicable on the

Text of the circular

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भारत सरकार /GOVERNMENT OF INDIA Ya मंत्रालय /MINISTRY OF RAILWAYS Yaa बोर्ड /RAILWAY BOARD

No. TC-II/2046/2020/Parcel policy-Pt.(3)(3367027) New Delhi, 22.11.2021

The General Managers, All Zonal Railways.

Sub: Rationalization of freight rates for Parcel traffic - discount in empty direction.

Ref: (i) FM Circular No.19 of 2020, issued vide letter No.

TC-II/2046/2020/ Parcel policy dated 05.10.2020.

(ii) Railway Board’s letter No.TC-II/2046/2020/Parcel policy dated

25.11.2020

Instructions have been issued vide FMC-19/2020 (ref-i), authorizing Zonal Railways to grant discount (up to 30%) on Parcel traffic under certain conditions. Further, Northeast Frontier Railway has been authorized to grant discount on time-tabled Parcel Special trains (vide letter under ref-ii).

2. On the basis of feedback received and a request received from NF Railway, the matter has been examined further and it has been decided that the Zonal Railways may grant a discount on applicable scale, as mentioned below, on indented Parcel trains and indented (piece-meal) Parcel Vans, for distance not more than 1,500 km -- provided the utilization of Parcel Vans (either piece- meal Parcel Vans or part of indented Parcel trains), returning to other Railways after unloading on the Zonal Railway, has been below the stipulated threshold.

Discount Utilization

Up to 30% (thirty percent) Below 40% but not less than 25%, during last three

03)months three(03) months

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Note:

(A.) No discount shall be applicable on Luggage Rates for luggage booking.

(B.) The discount on piece-meal Parcel Vans shall not be applicable on the Parcel Vans attached to trains being charged at S-scale.

(C.) No other discount, including volume-based discounts, shall be applicable along with this discount in empty direction.

3. The powers to grant these discounts shall rest with Principal Chief Commercial Manager of the Railway, who shall exercise these powers in consultation with the Principal Financial Advisor of the Railway.

4. The discount shall be applicable on experimental basis initially upto

31.12.2022, and thereafter shall be reviewed every six months by the Zonal Railway. Depending on the utilization of Parcel space during the previous six months, The Principal Chief Commercial Manager of the Railway, in consultation with Associate Finance, may decide to extend the discount for further six months; or to reduce the discount in a graded manner; or to remove the discount completely.

5. These instructions shall be effective with immediate effect.

This issues with the concurrence of Finance Directorate of Ministry of

Railways. ः Sy - insie o Pandey) Director Freight Marketing

Railway Board

No. TC-II/2046/2021/Parcel policy-Pt.(3)(3367027) New Delhi, 22 11.2021

Copy to:- .

1. Dy. Comptroller & Auditor General of India (Railways),Room No.224, Rail Bhavan, New Delhi.

2. PFAs, All Zonal Railways.

3. Principal Directors of Audit, All Zonal Railways.

for lis /Finance, Railways No.TC-II/2046/2021/Parcel policy-Pt.(3)(3367027) New Delhi, 2:2..11.2021

Copy forwarded for information & necessary action to:

1. CRB&CEO, M (O&BD), Member Finance, Railway Board,2 bF Lc&PP P

2. Managing Director Konkan Rail Corporation Ltd, Navi Mumbai

3. MD/CRIS, Chanakyapuri, New Delhi for information and necessary action.

कर bye Av

(Anshoo Pandey)

Director Freight Marketing

Railway Board

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