Concor bolsters EXIM and domestic growth with strategic shipping line tie-ups and major corporate contracts with Vedanta, Jindals, UltraTech

For FY25, the company is aiming a 10 per cent growth in EXIM and a 20 per cent growth in domestic business
| Photo Credit:
The Hindu

Railway PSU Container Corporation of India (Concor) has tied up with 20 shipping lines as it looks to shore up on EXIM (export import) trade. It is also eyeing exclusive long term logistics contract with Indian corporates that include the likes of Vedanta, JK Group Jindals, Tata and SAIL.

Introduction of tank containers for bulk cement movement is likely to start soon, with the company securing tie-ups with My Home and UltraTech.

For FY25, the company is aiming a 10 per cent growth in EXIM and a 20 per cent growth in domestic business. Overall guidance (outlook), “combined EXIM and domestic”, for the fiscal is around 13-odd per cent. EBITDA margins targeted are in the 24–25 per cent range.

“As far as EXIM is concerned, almost 20 shipping lines have signed the agreement. This is very big and they cover almost the entire volume,” Sanjay Swarup, Chairman and Managing Director, Concor, said during a recent investor call.

“As far as domestic is concerned, we are in talks with big corporate customers like Vedanta. We have already signed an agreement. We are going to sign an agreement with Jindal very soon and are in talks with JK Group We are going to approach Tata…. we aso met SAIL. We’ll get good volumes,” he added.

Bulk Cement Movement

According to Swarup, Concor witnessed “teething troubles” in the procurement of containers for bulk cement movement.But it is expected to be resolved soon with the segment like to be a “big driver of growth”. Securing containers for bulk cement movement is expected “by first week of June” when “it should streamline and stabilise”.

Swarup said, on bulk cement front, the company has signed agreement with two leading cement-makers, UltraTech Cement and My Home. Each of them have been given 2 acre land at Concor’s Dronagiri terminal, off Mumbai, where they and will be setting up silos.

“They are procuring bulk tank containers on their own. My Home cement have procured 200 containers already. So they are constructing a silo,” he said.

New Terminals

Concor will also be commissioning four new terminals ”quite quickly”, which is expected to drive volumes and take its tally to 100. The first will be in Salawas, near Jodhpur (Rajasthan). Concor will be able to run double-stack trains from Mundra Port to this terminal, thereby diverting business from road to rail.

The second terminal will be at Pathri, near Haridwar (Uttarakhand), where the company had no previous presence. “We have had talks with various stakeholders…going to get a lot of domestic traffic there.”

The Mandalgarh (Rajasthan) one, targeting Bhilwara, Kota and nearby areas, will be for stones and fabrics. And the fourth is at Chunar is near Varanasi (Uttar Pradesh) for tapping into the carpet industry.

FY25 volumes

In January–March period (Q4FY25), originating volume for EXIM, was 557,670 TEUs (20 equivalent units) and for domestic was 121,789 TEUs. The total originating volume for the quarter was 679,459 TEUs.

Overall, volumes grew by 8.25 per cent y-o-y for the quarter, that included an EXIM growth of 12 per cent, while domestic volume growth declined by 2.6 per cent y-o-y.

Concor’s throughput (volume handled) was at 5.09 million TEUs, witnessing a growth of around 8 per cent in FY25. This included EXIM growth of 7 per cent and domestic growth of 12 per cent.

Published on May 30, 2025