CONCOR set to hand over Mulund depot to Railways from December 31

CONCOR is ready to hand over Mulund depot to Railways with the process commencing on December 31. Container Corp. of India (CONCOR) is a Government of India Undertaking under the Ministry of Railways. Due to commercial and business viability considerations, Container Corporation of India Ltd has decided to surrender its ICD, Mulund (NGSM) terminal of the Company which is built on the land taken on lease from the Railways.

As per the Company’s assessment, the handover of the terminal to the Railways will not impact the business of the Company materially. The turnover from this terminal for FY 2019-20 was Rs.47.63 crores, net fixed assets amounting to Rs.5.45 crores. Shares of Container Corp of India was last trading in BSE at Rs.387.85 as compared to the previous close of Rs. 380.35. The total number of shares traded during the day was 69306 in over 2397 trades.


From April 1, the Railway Ministry had decided to collect the land licence fee at the rate of 6 per cent per acre of the market value of land of the terminal’s location. The license fee would rise by 7 per cent annually on previous year’s value. The New Mulund ICD added to the list of 15 terminals built on Railways land that were surrendered by CONCOR to the Ministry since April this year. CONCOR has also handed over the empty container parks at its Tughlakabad terminal — New Mineral Siding Okhla, Power Cabin and the New Power Cabin near Tughlakabad Railway Station — to the Indian Railways. “As per the company’s assessment, the above demand is not as per the Railways’ extant policy. The matter is being suitably represented to the Ministry of Railways. However, an amount of ₹233.31 crore has been estimated and provided by the company by the applying extant policy of the Railways as LLF for all terminals built on Railway land for the period ended September 30,” CONCOR said on 9th November. The new land license fee calculation has further disrupted the process of privatising CONCOR, which was approved by the Union Cabinet in November last year.