Railways parcel business to get boost, Amazon roped in to transport goods

The railways parcel business is all set to get a boost with the national transporter roping in e-retail giant Amazon to transport its goods by train.

According to a Railway Board letter issued earlier this month, as a pilot project the railways will give Amazon space in two of its premium trains - the Sealdah Rajdhani and the Mumbai Rajdhani for a period of one month, which could be extended to three months depending on the feedback received.

According to the agreement, zonal railways will earmark a space of 2.5 tonnes in the parcel van of the trains for loading/unloading of Amazon India consignments and the remaining space of 1.5 tonnes will be for railways.

Amazon will, however, pay freight charges equivalent to the highest lease rate on the same train on pro-rata basis.

One month advance freight charge will be levied on the e- commerce company by the railways.

However, the news of Amazon India being given the task of loading and unloading parcels has irked workers unions, with the Bhadatiya Railway loading, unloading workers union, alleging that it would cost them their livelihood.

The union has called for a two-day strike on July 31 and August 1.