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Govt approves Rs 156 crore freight village in Varanasi

Press Trust of India  |  New Delhi 

The government Thursday said it has given its nod to develop a Rs 156 crore freight village in adjoining the on that will boost the logistics industry in the holy city.

"The has approved the development of a Rs 156 crore freight village in adjoining the on River Ganga," the ministry said in a statement.

A freight village is a designated area where facilities for various modes of transportation, distribution of goods and other logistics are available in a synchronised manner on a large scale.

The freight village will be developed by the Inland Waterways Authority of (IWAI), it said.

The freight village "will serve as a cargo hub, and a centre for aggregation and value addition. It will also provide support to stimulate development of a professional logistics industry in Varanasi," the statement said.

A pre-feasibility study has found Varanasi to be a for the freight village.

The city is located strategically and is a focal point in the logistics chain of Eastern Transport Corridor of the country where the National Waterways-1, Eastern Dedicated Freight Corridor (EDFC), National Highway-7 and National Highway-2 pass through.

The volume of traffic on inland waterway to Varanasi is expected to increase with the commissioning of the multi-modal terminal being built under the Jal Marg Vikas project.

Varanasi freight village is proposed to be developed over a land area of about 100 acres, which will be acquired in two phases -- 70 acres in the first phase and 30 acres in the second phase at a total estimated cost of Rs 120 crore.

Another pre-investment cost of Rs 45 crore is expected to be incurred on soft aspects of the projects such as procurement of consultancy service and operation of project management unit.

In a separate statement, the said will be witness to a new landmark in India's inland water transport sector with "16 TEUs of container cargo belonging to PepsiCo and from Kolkata reaching the city's on next week."

IWAI's vessel MV RN Tagore sailed from Kolkata's Jetty on Thursday with the PepsiCo and Emami Agrotech products.

"It will reach the at in 6-7 days after an 815 kms long voyage on (National Waterway-1)," the statement said.

(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

First Published: Thu, December 06 2018. 20:45 IST
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