In a landmark moment for India's automotive sector, Prime Minister Narendra Modi virtually inaugurated the country's maiden automobile in-plant railway siding project, pioneered by Maruti Suzuki. The inauguration took place on March 12 in Gujarat's Mehsana district at Hansalpur, with PM Modi officiating the ceremony from Ahmedabad.
The event also marked the launch and initiation of railway projects worth Rs 85,000 crore, including the introduction of 10 new Vande Bharat trains, from the Sabarmati area in Ahmedabad. Additionally, PM Modi visited the Operational Control Centre of the Dedicated Freight Corridor (DFC).
The pioneering project, a key initiative under the PM Gati Shakti mission, is a collaborative effort involving Maruti Suzuki India Limited (MSIL), the Gujarat government, and Indian Railways. With an investment of Rs 976 crore, this venture signifies a significant stride as it marks the first instance in India where an automobile manufacturer has established an in-plant railway siding.
Rahul Bharti, MSIL's Executive Officer for Corporate Affairs, underscored the significance of this development, highlighting the partnership with Bahucharaji Rail Corporation Limited (BRCL). BRCL, a special purpose vehicle comprising Gujarat Railway Infrastructure Development Corporation (GRIDE), Gujarat Industrial Development Corporation (GIDC), and MSIL, has equity stakes of 49%, 29%, and 26%, respectively.
Of note, GRIDE, a collaboration between the Gujarat government and the Ministry of Railways, played a pivotal role in this endeavor. Maruti Suzuki solely financed the construction of the railway line within the Bahucharaji plant, investing Rs 105 crore.
This initiative aims to boost rail transportation efficiency, with Maruti planning to increase the use of railways for dispatching finished cars from 26% to 40% annually. Such a transition is estimated to save 50,000 truck trips, 35 million liters of fuel, and curtail 1,650 tonnes of carbon emissions per year.
A spokesperson for Maruti Suzuki emphasized the positive impact on the environment, highlighting the company's commitment to reducing its carbon footprint and fostering sustainable practices within the automotive industry.
The newly inaugurated railway siding boasts the capacity to dispatch 300,000 cars annually, with parking facilities initially accommodating 800 cars, expandable to 3,000 cars. As of February, Maruti Suzuki had already transported approximately 1.8 million cars via railways.
The shift towards rail transportation is expected to alleviate traffic congestion and streamline goods movement, further contributing to environmental sustainability and operational efficiency, the spokesperson concluded.
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