New Delhi: Balmer Lawrie & Co. Ltd., a Miniratna I Public Sector Enterprise under India’s Ministry of Petroleum and Natural Gas, has signed an agreement with GATX India Pvt. Ltd., the largest private railcar lessor in India. This partnership will see GATX leasing three BFNS 22.9-ton capacity rakes to Balmer Lawrie to transport finished steel products from Steel Authority of India Limited (SAIL), specifically the Rourkela Steel Plant (RSP), over 1,000 kilometers.
The signing ceremony, held on November 11, at Balmer Lawrie’s headquarters in Kolkata, was attended by Balmer Lawrie’s Chairman and Managing Director (CMD) Adhip Nath Palchaudhuri, along with other company directors and senior officials. Representing GATX were Robert Clair Lyons, President and CEO of GATX Corporation, and Saurabh Sood, President and Managing Director of GATX India Pvt. Ltd.
This agreement is part of Balmer Lawrie's recent move into rail logistics, with its initial agreement with SAIL signed in September 2024. By partnering with GATX, Balmer Lawrie aims to capitalize on the growing demand for rail-based logistics services in India. The new rail rakes will facilitate the efficient transportation of steel products and support Balmer Lawrie’s entry into the rail freight market under the Liberalized Special Freight Train Operator (LSFTO) Scheme of Indian Railways.
“This is a strategic milestone in our journey toward becoming a Rs 6,000 crore company by 2030,” stated Palchaudhuri, Chairman and Managing Director of Balmer Lawrie. “The addition of these rakes will allow us to offer more streamlined, cost-effective logistics solutions for our valued customer SAIL, while also contributing to our sustainability goals by reducing both costs and carbon emissions.”
The company also plans to expand into the transportation of caustic soda and other bulk chemicals as part of the National Rail Plan 2030, which aims to increase rail's share in India's freight transport to 45%. This venture will add value to Balmer Lawrie’s logistics offerings, reinforcing its commitment to sustainable and efficient transport solutions in India’s evolving logistics sector.
(PSU Watch– India's Business News centre that places the spotlight on PSUs, Bureaucracy, Defence and Public Policy is now on Google News. Click here to follow. Also, join PSU Watch Channel in your Telegram. You may also follow us on Twitter here and stay updated.)