SECUNDERABAD: South Central Railway (SCR) signed Long Term Tariff Contract (LTTC) agreements with M/s The Ramco Cements Limited and M/s Zuari Cements Ltd., today i.e., 26th April, 2018 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.
In a brief ceremony held today at SCR’s Head Quarters, Rail Nilayam, Secunderabad, Shri M.G.Sekharam, Principal Chief Commercial Manager of South Central Railway and Shri N. Ravi Shankar, President, Marketing of M/s The Ramco Cements Limited and Shri V.V.L. Narasimha Rao, President, Marketing of M/s Zuari Cements Ltd., signed the agreements for a period of five years and three years respectively.
Prior to this, SCR has already signed the LTTC Agreements with M/s Ultra Tech Cements Ltd., M/s The India Cements Limited, M/s Orient Cements Limited and M/s Kesoram Industries Limited.