News / New reefer block train service a 'game-changer' for India's cold chains

Container lines serving Indian trades are firing all the ‘customer service’ weapons in their arsenals to boost cargo volumes as growth remains muted amid geopolitical tension.

Turkey’s Arkas Line, a relative newcomer to the market, with direct Red Sea coverage, has set up customised rail services for hinterland reefer cargo in partnership with Container Corporation of India (Concor), the largest container rail logistics solutions provider in India with a countrywide ICD network.

The new offering — involving double-stack block trains — connects Dadri in the north, one of the busiest ICDs in India, to Mundra port.

“The double-stack reefer block train will deliver a game-changing advantage for cold chain logistics in India, offering customers enhanced efficiency, reduced transit times and an environmentally sustainable logistics solution,” said the two operators.

One Delhi-based freight forwarder told The Loadstar the new service would be “a boon to perishable cargo moving from the interior to the gateway port”.

“Reefer cargo handling has inherent challenges, so integrated inland services like this can save valuable first-mile time in the supply chain,” the source added.

India exports large volumes of agricultural products to the Mediterranean region, so ocean carriers offering specialised and efficient logistics solutions have the edge. Arkas’s reefer-only train service seems to suggest that sales strategy.

With rail container dwell times improving and service network reach expanding, shippers are increasingly shifting freight from trucks to the intermodal train mode.

Concor continues to expand its offerings to tap into that trend. Early next month it will launch a dedicated weekly container train service from the Tondiarpet ICD in Chennai to the Sanathnagar ICD in Hyderabad.

The operator is targeting growing Asian imports moving via Chennai port into the Hyderabad region, which has allowed truck operators to hike haulage rates substantially – a concern often raised by importers and customs house agents during trade meetings.

Another Turkish liner entrant into the Indian market is Turkon.  With Arkas, both carriers have made significant inroads into market share in the India-Mediterranean trade, traditionally controlled by mega-carriers, with aggressive sales efforts and pricing strategies as well as better transits.