DP World and India’s Reliance Industries have collaborated to launch an intermodal logistics solution for the petrochemicals industry. The companies are working together to shift product transport from road to rail. Commercially the project is beneficial to both parties, while also significantly cutting carbon emissions.
The new rail-based solution connects Reliance Industries’ Jamnagar plant in Gujarat to DP World’s inland container depot (ICD) in Ahmedabad and onward to the port of Mundra, the largest container port in India. Previously, the Mundra-Jamnagar-Mundra round trip involved a 700km road journey. That route around the Gulf of Kutch will now be undertaken by rail.
Leveraging multimodal assets and expertise
The partners have agreed that the modal shift to rail has many benefits. “This transition eliminates the environmental and operational challenges associated with long-distance road transport while maintaining the same coverage,” said a statement from DP World. “The integrated rail service enables the transport of up to 1260 tonnes of cargo and consolidates up to 45 containers in a single movement, streamlining logistics and reducing the need for multiple trailers and drivers.”
“This service exemplifies DP World’s ability to solve complex logistics challenges for leading companies like Reliance Industries,” said Ganesh Raj, Global Chief Operating Officer, DP World Marine Services. “By leveraging our multimodal assets and expertise, we have delivered a cost-effective alternative to road transport that enhances supply chain reliability, streamlines operations, and reduces environmental impact.”
Shift from road to rail
India’s extensive rail network is crucial to the operation. The port at Mundra has relied heavily on rail facilities for its success. “The shift from road to rail has streamlined our operations, reduced carbon emissions, reduced road exposure by eliminating 45 road trailer movements,” said Ravikumar Nair, Head SCM Operations, Reliance Industries Ltd – Petchem. Ravikumar Nair said the modal shift aligns with Reliance’s sustainability commitments. “[It] also ensures greater efficiency, seamless coordination, and timely exports to support their growing operational demands.”
Inspire more businesses to adopt multimodal. Although only just moving to rail, this collaboration is already ten years old. Reliance Industries Ltd has been working with Unifeeder, a DP World company, which acts as their primary logistics service provider. “The new rail service is part of a long-term contract, with plans to expand capacity and offer more flexibility to meet Reliance’s growing logistics needs,” said DP World.
Modal shift around the world
Customers in other parts of the world will be familiar with DP World’s tangible support of rail operations. The modal shift incentive at Southampton, for example, has encouraged shippers to move inbound containers by rail. “We are committed to providing customers with integrated solutions that make supply chains resilient and sustainable,” said Adhendru Jain, Vice President of Rail and Inland Terminals, DP World Subcontinent.
“The newly flagged coastal-rail integrated service not only fulfils Reliance Industries’ efficiency requirements but also ensures sustainable cargo movement, added Adhendru Jain. “We are confident that this multimodal solution will drive significant value for Reliance Industries and inspire more businesses to adopt a multimodal approach towards making their supply chains agile, reliable, and sustainable.”