News CONCOR Out of ACTO (Association of Container Train Operators)
The Logistics Headlines, New Delhi, 9th Feb 2017: In the yearly general body meeting by ACTO (Association of Container Train Operators) held on Feb 8, 2017- a prime member of the association, CONCOR (Container Corporation of India) ultimately left the organization. The step was taken by CONCOR because of ongoing differences with ACTO over its regulations. Private container train operators (CTOs) were given a representation at Railway Board to allow their trains to enter CONCOR facilities. The latter is mainly built on the railway land and for maintaining a level playing field private operators are looking access in these terminals.
The above-mentioned intention of ACTO was not on par with the interests of CONCOR, which eventually stopped responding to ACTO’s regulations, and thus left out of association following the discussions in the general body meeting. The state owned CONCOR has been a leader player in the container-rail operator industry, with a total of 70% market share.
How Has the Relation Between CONCOR and ACTO Been So Far?
The CONCOR as a company did build multimodal logistics support for the nation’s domestic and international containerization and trade. It also has a fair share in road services and offers to perform door-to-door logistic services globally, apart from its concentric railway transportation ventures. Being a clean performer in CTO sector, it was but, natural for CONCOR to enter as a member with ACTO.
Every container train operators are proud members of ACTO. It acts as a consultative support for the Indian Railways and relevant Government Agencies/Departments for laying down policies that would benefit the CTOs. Though it was founded for protecting and promoting the collective interests of its member, the recent decisions taken by the association dealt the final blow, where CONCOR opted to walk away.
Why is CONCOR looked Upon as Role Model for CTO Players?
CONCOR has been servicing reliable logistic solutions for many years now. It has many facilities to boast about, recording as the largest network of 66 ICDs/CFSs in India. The Container Corporation of India also manages air cargo complexes, ports, and establishment of cold-chain. With modern rail wagon fleet, it has taken containerization in India to the next level assimilating Information Technology and commercial practices.
Other than breaking up with ACTO, the future of CONCOR seems to be bright with recent schemes announced in Union Budget 2017. Three Railway public sector undertakings or PSUs are to be listed on the stock exchanges, including CONCOR.
What is next for ACTO and CONCOR?
ACTO also works to provide comfortable CTO environment to facilitate Indian Rail infrastructure due to which many players in container train operators joined hands with it. ACTO is demanding from Govt. for introduction of Rail regulator and allowing access to private operator to different CONCOR terminals. DLI & Fourcee are other two CTO who are not part of ACTO and with CONCOR stepping out, we can say that ACTO may have lost a very important member it had on-board. However, such a step by a leading member may provoke the Association of Container Train Operators to dig deep into its objectives and strengthen the existing fellowships.