Adani eyes on Coimbatore for rail-linked container depot
The Adani Group has set up Inland Conware, which is going to invest around Rs 940 crore in setting up 14 rail-linked inland container depots across India for global as well as domestic trade. Another group company Adani Logistics will be investing about Rs 300 crore to undertake container train operations. Inland Conware’s project will be funded with a 2:1 debt-equity ratio and Mundra Port and SEZ will be pumping in Rs 156 crore for a 50% equity share in it, according to company sources. The remaining stake is held by the promoters and a foreign/domestic partner may be brought in, in the future.In the initial phase of development, the company plans to create a network of seven inland container depots in the northern hinterland of upper West coast ports of India — Patli, Palwal and Noli in the National Capital Region, Chawapail and Kila Raipur in Ludhiana and Kishangarh in Rajastan.The next development phase would involve development of additional inland container depots in important cargo centres like Ahmedabad, Mumbai, Kolkata, Chennai, Bangalore, Coimbatore and Nagpur in India. Construction work has already started for seven depots and the first container depot is likely to be operational before the end of this calendar year. Each inland container depot would be an enclosed area comprising of rail siding, container stacking area, warehouses, container handling equipment such as reach stackers and forklifts, administrative buildings and gatehouses. All the inland container depots will be located in close proximity to the existing broad gauge rail network.
Adani Logistics has got a license to operate container trains in India on category-I routes — from JNPT/Mumbai Port to locations in the National Capital Region and other locations that can be reached through the National Capital Region. It has also entered into a concession agreement with the Indian Railways for the operation of the container trains. This agreement is valid for 20 years and grants a non-exclusive right to operate its container trains and determine and collect fees from its customers. Adani Logistics proposes to acquire 20 rakes initially. The estimated cost of the project is in the range of Rs 320 crore and will be funded through a mixture of debt and equity in the ratio of 2.3:1 according to company sources.
