{"id":4660,"date":"2025-08-02T07:13:31","date_gmt":"2025-08-02T07:13:31","guid":{"rendered":"https:\/\/railtravels.org\/?p=4660"},"modified":"2025-08-02T07:13:31","modified_gmt":"2025-08-02T07:13:31","slug":"southern-railway-business-development-units-set-up-in-railways","status":"publish","type":"post","link":"https:\/\/www.reilsolar.com\/train\/southern-railway-business-development-units-set-up-in-railways\/","title":{"rendered":"Southern Railway-Business Development Units Set Up In Railways"},"content":{"rendered":"<div class=\"entry-content\">\n<p><strong>Business Development Units Set Up In Railways<\/strong><\/p>\n<p>The Business Development Unit of Palakkad Division of Southern Railway tasted its first sweet of success when a demand to transport packaged palm oil from Mangaluru to Lucknow was materialised last week. Within a week of forming the new Business Development Unit, the division was able to capture a demand for 42 wagons of packaged palm oil from Panamburu goods shed to Mohanlalganj near Lucknow, 2500 km away. Loaded with 2640 tonnes of packed palm-oil in covered wagons, fetched an earning of Rs.38, 55,536 for railways.<\/p>\n<p>The Business Development Unit (BDU) commenced functioning at Divisional Level as per Railway Board guidelines and is expected to facilitate new proposals for loading so as to increase volume and earnings in the freight segment.<\/p>\n<p>Divisional Railway Manager (DRM) of Palakkad Division Shri Pratap Singh Shami established the Business Development Unit and it shall work under the supervision of Additional DRM Dr. C. T. Sakkeer Hussain with Senior Divisional Operations Manager, Shri P. L. Ashok Kumar, as Convenor. The BDU committee also consists of Senior Divisional Mechanical Engineer Shri K. V. Sundaresan and Senior Divisional Finance Manager Shri A. P. Sivachander and Shri Jerin. G. Anand, Senior Divisional Commercial Manager.<\/p>\n<p>With the aim of capturing new streams of traffic, railway officials held regular interactions with industries in Baikampady industrial area adjacent to Panamburu goods shed and New Mangalore port. The proposal for loading packaged palm oil \u2018Raag Gold\u2019 of Adani Wilmar, refined at Baikampady industrial area was the first proposal formulated by the committee and sent to the zonal level. Railways is gearing up to handle more transport from Panamburu area to various destinations in the country.<\/p>\n<p>Here\u2019s a comprehensive overview of the <strong>Business Development Units (BDUs) established by Southern Railway<\/strong> to accelerate freight traffic growth across its network\u2014highlighting structure, operations, impact, and recent updates:<\/p>\n<hr \/>\n<h2>1. \ud83d\ude80 Formation &amp; Purpose<\/h2>\n<p>In July\u202f2020, following directives from the Railway Board, <strong>Southern Railway (SR)<\/strong> set up <strong>Business Development Units<\/strong> at both <strong>zonal headquarters (Chennai)<\/strong> and across all its <strong>six divisions<\/strong>\u2014including Chennai, Palakkad, Salem, Trichy, Madurai, and Thiruvananthapuram\u2014to drive freight business expansion and engagement with industry stakeholders<\/p>\n<p>Each <strong>zonal BDU<\/strong> comprises senior officials:<\/p>\n<ul>\n<li>Chief Freight Transportation Manager (Convener)<\/li>\n<li>Chief Commercial Manager (Freight Marketing)<\/li>\n<li>Financial Advisor &amp; Chief Accounts Officer\u2014Traffic<\/li>\n<li>Chief Rolling Stock Engineer<\/li>\n<\/ul>\n<p>Divisional BDUs are similarly structured, with representation across operations, commercial, finance, and mechanical departments<\/p>\n<h3>\ud83c\udfaf Mandate Includes:<\/h3>\n<ul>\n<li>Attracting <strong>non-bulk and small-consignment freight traffic<\/strong> from industry and trade.<\/li>\n<li>Facilitating swift approvals and customer support for freight proposals.<\/li>\n<li>Acting as a single point of contact for prospective customers and industries<\/li>\n<\/ul>\n<hr \/>\n<h2>2. \ud83d\ude9b Early Successes &amp; Cargo Streams Captured<\/h2>\n<ul>\n<li><strong>Palakkad Division\u2019s BDU<\/strong> successfully secured a cargo booking of <strong>42 wagon-loads<\/strong> of refined <strong>palm oil<\/strong> (RAAG Gold brand) from <strong>Mangaluru to Lucknow<\/strong>, generating over \u20b93.8 crore in revenue, within its first week of operation<\/li>\n<li>The <strong>Thiruvananthapuram Division<\/strong> also initiated its own BDU to support non-bulk commodity logistics, including industrial and agricultural consignments<\/li>\n<\/ul>\n<hr \/>\n<h2>3. \ud83d\udcc8 Freight Growth Impact<\/h2>\n<p>As of FY 2021\u201322:<\/p>\n<ul>\n<li>SR loaded <strong>30.56 million tonnes<\/strong> (14% growth), earning <strong>\u20b92,744 crore<\/strong> from originating freight (~27% rise) compared to the previous year<\/li>\n<li>Incremental growth included <strong>2.19 million tonnes<\/strong> of new commodity traffic\u2014such as automobiles, edible oil, construction machinery, fertilizer, steel coils, pulses, crushers, and more\u2014brought in through BDU efforts, earning \u20b9190 crore<\/li>\n<li>Average speed of goods trains improved from <strong>28\u202fkm\/h (2019\u201320)<\/strong> to <strong>49.4\u202fkm\/h by March 2022<\/strong>, enhancing wagon turnaround and reliability<\/li>\n<\/ul>\n<hr \/>\n<h2>4. \ud83e\udde9 Technology &amp; Customer Tools<\/h2>\n<ul>\n<li>The <strong>Chennai Division<\/strong> launched a mobile app called <strong>\u201cFreight Seva\u201d<\/strong>\u2014a one-stop portal offering information on:\n<ul>\n<li>Incentive schemes<\/li>\n<li>Wagon types and goods permitted<\/li>\n<li>Goods shed facilities<\/li>\n<li>Tariff schedules and parcel rates<\/li>\n<li>Booking guidelines and documentation<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<p>This digital initiative helps bridge communication gaps and simplifies freight onboarding for businesses.<\/p>\n<hr \/>\n<h2>5. \ud83d\udc65 Interaction &amp; Industry Engagement<\/h2>\n<p>BDUs in each division maintain <strong>regular interaction<\/strong> with trade bodies, FPOs, industries, and logistics partners, facilitating customized freight plans and easing red tape around approvals and infrastructure access<\/p>\n<p>The overall objective aligns with Indian Railways\u2019 broader target: <strong>doubling freight volumes by 2025<\/strong>, with a sharp emphasis on <strong>non-bulk parcel, export-oriented, and industrial traffic<\/strong>.<\/p>\n<hr \/>\n<h2>\ud83d\udccb Summary Table<\/h2>\n<table>\n<thead>\n<tr>\n<th>Component<\/th>\n<th>Details<\/th>\n<\/tr>\n<\/thead>\n<tbody>\n<tr>\n<td><strong>Zone-wide BDU Launch<\/strong><\/td>\n<td>July 2025, Zonal HQ (Chennai) + 6 Divisional BDUs<\/td>\n<\/tr>\n<tr>\n<td><strong>Structure<\/strong><\/td>\n<td>CFTM convenor; commercial, finance &amp; mechanical team members<\/td>\n<\/tr>\n<tr>\n<td><strong>Initial Success<\/strong><\/td>\n<td>Palakkad: 42 wagon-load palm oil export traffic booked from Mangaluru to Lucknow<\/td>\n<\/tr>\n<tr>\n<td><strong>Freight Growth 21\u201322<\/strong><\/td>\n<td>30.56 MT loaded, \u20b92,744 Cr revenue, 14\u201327% YoY growth<\/td>\n<\/tr>\n<tr>\n<td><strong>New Traffic Streams<\/strong><\/td>\n<td>Auto rakes, edible oil, machinery, chemical, exports, container, industrial goods<\/td>\n<\/tr>\n<tr>\n<td><strong>Speed &amp; Efficiency<\/strong><\/td>\n<td>Avg. freight speed improved to ~49.4 kmph, better wagon turnaround<\/td>\n<\/tr>\n<tr>\n<td><strong>Digital Tool<\/strong><\/td>\n<td>\u201cFreight Seva\u201d app for customers in Chennai Division<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<hr \/>\n<h2>\u2705 Bottom Line<\/h2>\n<p>Southern Railway\u2019s <strong>Business Development Units<\/strong> are playing a strategic role in expanding rail freight beyond traditional bulk flows. Through focused customer engagement, flexible tariff models, and tech-enabled support, SR\u2019s BDUs have made freight booking more accessible and profitable\u2014supporting national freight targets and fostering new cargo streams.<\/p>\n<hr \/>\n<p>Would you like help with:<\/p>\n<ul>\n<li>Contact details for divisional BDUs in Chennai, Salem, Palakkad, etc.;<\/li>\n<li>Information on routing\/export commodity corridors facilitated;<\/li>\n<li>Or guidance on engaging BDUs with a freight proposal?<\/li>\n<\/ul>\n<p>Let me know\u2014happy to assist further!<\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>Business Development Units Set Up In Railways The Business Development Unit of Palakkad Division of Southern Railway tasted its first sweet of success when a demand to transport packaged palm oil from Mangaluru to Lucknow was materialised last week. Within a week of forming the new Business Development Unit, the division was able to capture [&hellip;]<\/p>\n","protected":false},"author":102,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[7,55],"tags":[6,54],"class_list":["post-4660","post","type-post","status-publish","format-standard","hentry","category-railway","category-southern-railway","tag-railway","tag-southern-railway"],"_links":{"self":[{"href":"https:\/\/www.reilsolar.com\/train\/wp-json\/wp\/v2\/posts\/4660","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.reilsolar.com\/train\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.reilsolar.com\/train\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.reilsolar.com\/train\/wp-json\/wp\/v2\/users\/102"}],"replies":[{"embeddable":true,"href":"https:\/\/www.reilsolar.com\/train\/wp-json\/wp\/v2\/comments?post=4660"}],"version-history":[{"count":0,"href":"https:\/\/www.reilsolar.com\/train\/wp-json\/wp\/v2\/posts\/4660\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.reilsolar.com\/train\/wp-json\/wp\/v2\/media?parent=4660"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.reilsolar.com\/train\/wp-json\/wp\/v2\/categories?post=4660"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.reilsolar.com\/train\/wp-json\/wp\/v2\/tags?post=4660"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}