Western Railway Awards 35-Year Khakharechi Cargo Terminal Contract
Western Railway awards a 35-year contract to Emirates Logistics for a new Gati Shakti Cargo Terminal in Morbi, Gujarat.
Western Railway is set to supercharge its freight capabilities in Gujarat. In a major move to modernize logistics, the Ahmedabad Division has officially awarded a 35-year contract for the development of the new Khakharechi Gati Shakti Cargo Terminal (GCT) in the Morbi district.
Zero Capital Expenditure for Indian Railways
The contract has been awarded to Emirates Logistics India Private Limited, marking a significant step under the Railway Board’s Gati Shakti Cargo Terminal Policy 2026 (Schedule-II). The project involves the utilization of 80,413 square metres of railway land. Notably, the entire terminal will be developed through private investment, meaning Indian Railways will incur no direct capital expenditure for this project.
This partnership is structured to provide consistent financial returns to the railways. The agreement includes an annual land license fee projected to exceed ₹15 lakh, alongside a revenue-sharing mechanism designed to boost long-term earnings.
Expanding Freight Capacity in Morbi
The new terminal is expected to be a game-changer for regional commerce. Ved Prakash, the Divisional Railway Manager (DRM) for Ahmedabad, stated that the Khakharechi terminal will significantly expand freight transportation capacity. By providing local industries and commercial entities with advanced infrastructure, the terminal will streamline the movement of goods and improve overall logistics efficiency across the region.
Ahmedabad Division's Growing Freight Success
The Khakharechi facility joins an already high-performing network within the Ahmedabad Division, which currently operates eight Gati Shakti Cargo Terminals. The division has seen massive growth in freight handling recently:
- Freight Volume: Between April and October 2026, these terminals processed approximately 2.3 million tonnes of goods.
- Key Commodities: The facilities handle a diverse range of products, including salt, bentonite, cement, sugar, pulses, fertilizers, and containerized goods.
- Revenue Impact: These operations contributed more than ₹330 crore in revenue to the railways during the same period.