Pakistan Railway has been taking several steps to make the organization a profitable entity over the last four years. It has focused its attention towards the freight sector which is a relatively profitable venture.
An official from Ministry of Railways said that an agreement was signed between the Ministry and Pakistan State Oil for annual transportation of two million tons of fuel.
The official continued that Freight Deposit Account agreements were signed with Maple Leaf Cement. Additionally MoUs with Awan Trading Co, the Chishtian Logistics, Jam and Sons, Agro Trade and Best Way Cement for transportation of coal were also signed.
He said that commercial management of the Cargo Express train between Karachi Badami Bagh/Lahore, and Karachi-Faisalabad via Multan, was outsourced on a daily basis. Apart from that, planning of international ECO Container train on Islamabad Zahidan-Istanbul route is also underway.
In 2013, 80 percent of Pakistan Railway’s revenue came from passengers whereas only 11 percent of it came from freight. But now the cargo section is being given more importance in allotment of operational assets.
55 new freight trains of 4,000 to 4,500 horsepower units have been added to the current system during teh past few years that will help improve cargo income.
To cut down on loading and unloading times, installation of modern loading and unloading facilities is also being planned. 1,405 high capacity/high speed Hopper Trucks were added for swift transportation of coal.
The official from Pakistan Railways said that because of these developments, 12 cargo trains are presently starting from Karachi Port. The train availability has grown multi fold as compared to 2013, when available locomotives were said to be less than one, now it’s around 100 trains every day.
Despite all this, Pakistan Railways is still in the red and needs government funds to operate. Let’s hope there’s some improvement in the future.
Waiting for LOCAL TRAIN Services Launch in Karachi :
One revenue stream, on which Railway should immediately focus on is advertisements on railway platforms as well as inside and outside the trains through hoardings and digital screens. Hundred and thousands of people travel daily using this medium hence a very good exposure for product advertisements of different companies.