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SCR enters into Long Term Tariff Contract (LTTC) with M/s Penna Cement Industries

South Central Railway (SCR) signed Long Term Tariff Contract (LTTC) agreements for a period of five years with M/s Penna Cement Industries today i.e., 29th March, 2019 at Rail Nilayam, Secunderabad to transport freight traffic at fixed rates. This Scheme gives long term stability and certainty in the freight tariff rates to corporate freight customers of Indian Railways.

Once a customer enters into this LTTC Contract with Railways, the freight tariff rate will remain fixed for o­ne year. This gives predictability and stability in freight rates and helps the customers to plan their logistics for that year, without worrying about change in rates. The Scheme gives incentives to freight customers in the form of freight discounts, if the customer exceeds the previous year’s freight contribution. It is a growth linked incentive wherein, higher the freight contribution over the preceding year, higher the discount eligible for customers.

Shri N. Madhusudana Rao, Principal Chief Operations Manager, Shri Brajendra Kumar, Principal Financial Advisor, Shri K. Siva Prasad, Principal Chief Commercial Manager, Dr. B.S. Christopher, Chief commercial Manager (Freight Services), South Central Railway and Shri Krishna Srivastava, Director (Marketing) of M/s. Penna Cement Industries Limited have signed this agreement.

M/s Penna Cement Industries Limited is the eighth company to sign such agreement, While M/s UltraTech Cements Ltd, M/s. Orient Cement Ltd, M/s. Kesoram Industries Ltd, M/s My Home Industries Ltd, M/s Ramco Cement Ltd, M/s Zuari Cement Ltd and M/s Bharathi Cement Ltd are the other companies that have already signed such LTTC agreement with South Central Railway.

          Shri Gajanan Mallya, General Manager, SCR expressed his happiness and opined that it would be more beneficial to freight customers and major Cement manufacturing companies to enter into such agreement to avail the freight concession as well as fixed tariff rate for the goods being transported by Rail.

(Ch. Rakesh)
Chief Public Relations Officer

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