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BIRLA INSTITUTE OF MANAGEMENT AND TECHNOLOGY 1 | a g e

Summer Project Report



On

To find out the Potential Customer for HTPL at ICD Dadri and
Find out their Preferences and satisfaction level at Different CFS
and Rail Operators










Corporate Guide

Mr. Jugal K Vasisht
Manager- Marketing & Product
Development
Hind Terminals Private Limited, Delhi.

Submitted By:
Paras Jain
Roll No. 66
PGDM
BIMTECH

Academic Guide:

Prof G.N. Patel
Faculty Operations
BIMTECH

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TO WHOMSOEVER IT MAY CONCERN

This is to certify that Mr. Paras Jain, student of Birla Institute of
Management Technology has successfully completed his Summer Project titled
To find out the Potential Customer for HTPL at ICD Dadri and Find out
their Preferences and satisfaction level at Different CFS and Rail Operators
during their stay of 8 weeks in the company.
This is his original work to the best of my knowledge.


Jugal K Vashist
Manager- Marketing & Product Development
Hind Terminals Pvt. Limited, Saket
Date:




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vnnc vnnc vnnc vnnc To]c. (ci{i.vc To]c. (ci{i.vc To]c. (ci{i.vc To]c. (ci{i.vc

This is to certify that Mr. Paras Jain Roll No.066 a student of PGDM has worked on
summer project titled To find out the Potential Customer for HTPL at ICD
Dadri and Find out their Preferences and satisfaction level at Different CFS
and Rail Operators At Hind Terminals Pvt. Ltd. after trimester-III in partial
fulfillment of the requirement for the program. This is his original work to the best
of my knowledge.


DuLe: - SIgnuLure


SeuI: Nume oI ucuILy

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Declaration

The work presented in this report entitled To find out the Potential Customer for
HTPL at ICD Dadri and Find out their Preferences and satisfaction level at
Different CFS and Rail Operators is carried out by me and is true to the best of
my knowledge.


Paras Jain
PGDM- 066
2007-2009
BIMTECH










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Acknowledgement

Nothing concrete can be achieved without an optimum combination of
inspection and perspiration. Like all the other studies, this work-piece is also a
denouement of the interaction of a number of corporate brains that directly or
indirectly are responsible for the impeccable contributions for effectuating this
project.

I am extremely thankful to Mr. G.N. Patel, faculty Operations at
BIMTECH who consented to the guide me in spite of his tight schedule and
provide support to the successful completion of this project.

A of gratitude is due to Mr. Jugal Vashist, Market & Product Development
Manager, Hind Terminals Private Limited whose guidance, motivation and
invaluable support resulted in the successful completion of this project. I feel
greatly indebted to him for giving me this wonderful opportunity to work on this
project.
Sincere and appreciative thanks to all the staff members at Hind Terminals for
their excellent inputs, support and feedback on the progress of the project.
I would also like to thank the staff members at Container Corporation of
who helped me a lot in the making of this project and took time out of their busy
schedule and provide me with relevant information.
Last but not least, I would like to thank my family and all my friends for their
support and feedback on the project.


Paras Jain
PGDM 066
2000-09
Operations




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Table of Contents
Executive Summary ..01
Objective and Scope...03
Chapter1. Introduction
Company Background.....04
Rail Operation..04
Container Freight Stations...06
Transportation..07
Freight Market in India....08
Key Factors in Rail-Road Mode Choice in India10
Key Factors for Customer Needs and Preferences..........................11

Chapter2. Indian Railways
Role of Indian Railways .14

Chapter3. CONCOR
Role of Concor17

Chapter4. Dadri Terminal-A Tour
Rail Operations....24
CFS Operations...30
SWOT Analysis.......32

Chapter5. Market Research
Marketing Research Process34

Chapter6. Results and Findings
Secondary Data Findings...40
Primary Data Findings...49

Chapter7. Limitations...56

Chapter8. Recommendations....57
Appendix1. Questionnaires....58
Appendix 2.Bibliography...60




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Table of Figures

Figure 1: Group companies of HTPL....04
Figure 2: Rail Operations...05
Figure 3: Rail Network of HTPL...05
Figure 4: Container Freight Station...06
Figure 5: Transportation Service at HTPL.07
Figure 6: Graph of Multimodal Transport.09
Figure 7: Graph of Total Throughput of TEUS.10
Figure 8: Operators in 10 Crore Slab.14
Figure 9: Operators in 50 crore Slab..15
Figure 10: Growth of Containers Handling...18
Figure 11: EXIM break-up at Dadri in 2007..19
Figure 12: % break up of business of different Rail Operators at dadri20
Figure 13: Break-up of cargo clearance at Dadri...20
Figure 14: Road Connectivity to ICD Dadri..21
Figure 15: Rail Linkages to ICD Dadri.22
Figure 16: Import Flow Cycle23
Figure 17: Flow Chart for Rail Operations....26
Figure 18: Functional Structure of Container Freight Station...30
Figure 19: Flow chart Of Activities within CFS31
Figure 20: Graph for Stuffing Mode wise export..40
Figure 21: Graph of Commodity wise export....41
Figure 22: Graph of Destination wise break-up....43
Figure 23: Graph of Port of Loading wise break-up..43
Figure 24: Container wise break-up...44
Figure 25: Shipping Line wise break-up....45
Figure 26: percentage response to the ranks for the various factors..49
Figure 27: Customers satisfaction rating for services at Private vis--vis Concor CFS51
Figure 28: percentage response to the ranks for the various factors in rail operation...53
Figure 29: satisfaction rating for services at Private vis--vis Concor Rail Operations54
Table 1 : Current Services04
Table 2 : Break up of Multimodal Container Transportation..08
Table 3 : Growth of Foreign Trade..09
Table 4: Importance of Key Factors..11
Table 5: Satisfaction of Customers with Mode Performance....12
Table 6: Total EXIM at dadri.........19
Table 7: Total Volume of Export at HTPL....25
Table 8: Rail Tariff ...25
Table 9: Idle Time Taken By Different Activity...27
Table 10: Stuffing Mode wise Break-up40
Table 11: Commodity wise export.41
Table 12: Destination wise break-up.42
Table 13: Port of Loading wise break-up..43
Table 14: Percentage Break-up for types of containers.....44
Table 15: Shipping line wise data..45

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Executive Summary

The objective of this project is to do analysis of customers at ICD Dadri which encompasses their
profile analysis, understanding their behavior in choosing a particular service and finally coming
to conclusions. I have also tried to focus on the operational aspect where I have tried to
understand the core operations/ procedures at ICD Dadri.
The secondary data on export traffic of Dadri for the year 2007 was provided to me by the
company. The next step was to analyze that data and extract findings on the following basis:

Shippers
Shipping line
Commodity
Region
Port of Loading
Stuffing mode
Volume
Types of Containers

After analyzing the data my job was to find out customers who were using those shipping lines
that are nominated to HTPL at Dadri i.e. whose cargo it is allowed to transport. The next step was
to take a sample of 50 shippers and find out their detailed profile i.e. stuffing mode, shipping
lines, total export etc. For the purpose of this research, it was absolutely imperative for me to find
out what the shippers want from Rail & CFS operators at Dadri. I conducted a primary survey of
those 50 shippers located in the catchment areas of Dadri over a period of 3 weeks. Findings have
been extracted after these questionnaires were analyzed. The primary survey helped me to draw
inferences about the following important points:-

Validation of Secondary data
Factors shippers consider in choosing Concor/private trains to transport their containerized
cargo and their level of satisfaction.
Factors shippers consider in choosing Concor CFS/private CFS to transport their
containerized cargo and their level of satisfaction.

Meanwhile, I studied core operations at ICD Dadri i.e. Rail operations which the company is
currently dealing in. I visited ICD Dadri and studied the CFS/ICD operations in detail, the process
flow of documents. I also studied Concor vis--vis private rail operators and its role in their
operation. I even tried to focus on challenges that a rail operator is likely to face, took a brief idea
of the shipping industry, the export/import cycle, the emerging trends and certain other key
aspects that are essential in understanding the companys business as well as the psyche of a
shipper in choosing various services Dadri.

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Important Recommendations that were suggested are:

1) Dadri has huge volumes of reefer cargo (11500 Teus/year) being exported all of which is
railed out on Concor (2-3 trains per week) thus leading to huge pendency of containers.
HTPL should therefore venture into movement of reefer trains.

2) To achieve a sustainable growth the company should target middle/lower segment
customers until the time it establishes its own infrastructure.

3) Focus on market penetration strategy so as to increase its customer base. Profit maximization
should after that be a matter of concern.































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Objective:-

To find out the Potential customer for HTPL
To analyze why customers prefer CONCOR/HTPL (private) for transporting containerized
cargo by rail and compare their services.
To analyze why customers prefer private container freight stations (CFS)/CONCOR CFS for
clearing out their containers cargo and compare their services.
To understand core operations at terminal Dadri.



Scope

To carry out the study for the collection of information; both primary as well as the secondary
research methods will be used.

The data on export traffic of Dadri Terminal was provided to us by the company which is a one
year data (2007).

A total sample size of 50 customers is taken that belong to the catchment areas of Dadri i.e. Greater
Noida, Noida, Sahibabad Ghaziabad, Surajpur, Dadri, Khurja, Sikendrabad,Bulandshahar.

I will focus on core operations at ICD Dadri, its export and industrial areas around Dadri.



















BIRLA INSTITUTE OF MANAGEMENT AND TECHNOLOGY
INTRODUCTION
Company Background:-

Hind Terminals Private Limited is part of Sharaf Group, a strong and well known business
conglomerate in Dubai with interests









Figure 1: Group companies of HTPL

Its core business activities include
Rail Operation
Container Freight Station (CFS)
Transportations
Inland Container Depot

Rail Operation:-

The Company is amongst the 15 private players to be granted the License from Indian
Railways for container train operations for EXIM and Domestic traffic for a period of 20 years,
for All India in Category-I i.e. 50 crore slab where it can move the
routes and for both EXIM and domestic traffic. It has a pan
Container Rail and currently has arrangements with CONCOR for usage of certain Terminals.
1
BIRLA INSTITUTE OF MANAGEMENT AND TECHNOLOGY

NTRODUCTION
Hind Terminals Private Limited is part of Sharaf Group, a strong and well known business
conglomerate in Dubai with interests in business of shipping, logistics, collateral management etc.


Figure 1: Group companies of HTPL
Its core business activities include
Container Freight Station (CFS)
Inland Container Depot
The Company is amongst the 15 private players to be granted the License from Indian
Railways for container train operations for EXIM and Domestic traffic for a period of 20 years,
I i.e. 50 crore slab where it can move the trains on all Indian Railways
routes and for both EXIM and domestic traffic. It has a pan - India License for operations of
Container Rail and currently has arrangements with CONCOR for usage of certain Terminals.
Sharaf Group
11 | a g e
Hind Terminals Private Limited is part of Sharaf Group, a strong and well known business
in business of shipping, logistics, collateral management etc.

The Company is amongst the 15 private players to be granted the License from Indian
Railways for container train operations for EXIM and Domestic traffic for a period of 20 years,
trains on all Indian Railways
India License for operations of
Container Rail and currently has arrangements with CONCOR for usage of certain Terminals.

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HTPLs first rake was flagged off on 16
th
April 2007 from ICD Loni to Nhava Sheva Port
with full load of 90 TEUs. Currently it has a license of 8 rakes which are being run from different
ports. The company has a target of 11 rakes by the year 2008.


Figure 2: Rail Operations

Features:-

Reliable service with confirmed ETD and ETA
Synchronized operations reducing delays
Train timings in coordination with Ship arrival
Trucking service from and to the ICD
Online tracking of train and containers
Electronic submission of documents
One stop shop for complete cost effective logistic needs

Current Services
Figure 3: - Rail Network of HTPL
Table: 1 - Current Services
Between
Trips Per Week
Export Import
JNPT

NSICT

GTI
Sabarmati 2 2
Kota 2 2
Ludhiana 1 1
Dadri 1 1
Mundra
Sabarmati 1 1
Kota 2 2
Ludhiana 1 1
Dadri 2 2

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Container Freight Stations:-

The full benefit of containerization can be derived only when the containers are, permitted to
be moved to points in close proximity to important industrial station so that the importers can get
clearance of the imported goods at the nearest point to their factory/premise.
HTPL under a Strategic Alliance Agreement with Central Warehousing Corporation (CWC)
on long term basis had undertaken the development and management of the CFS. The facility is
located at around 15 kms from JNPT Port. The facility is being developed in 2 phases and Phase 1
plan (12.8 Hectare) is fully developed with complete operations commencing from 3rd May 2007.
This facility is one of the largest private sector facility at JNPT and also the only private sector
facility which would have a rail siding.
Services:-
Office block for customs, users, CHA and surveyors
A full fledged canteen inside the CFS complex
EDI connectivity
Fire fighting and smoke/fire alarm devices installed in warehouse and yard
Fumigation / lashing / choking / palletization / shrink wrapping facilities
Well secured with ex-serviceman security guards posted round the clock
Dedicated fleet of equipment and Owned Trailers to ensure efficient services


Figure 4: Container Freight Station

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It has future plans of establishing Inland Container Depots (ICD)-Terminal Operations as well as
Collateral Management, Third Party Logistics solution. HTPL will provide a one-stop solution
for logistic services covering transportation from and to the ICD/CFS, warehousing, de-stuffing,
stuffing, handling & transportation rail & road and all allied activities.
The company is already in advanced stages of finalization of proposals for development of
CFS /ICDS at various locations including western ports , north region, central India etc.

Transportation:-

The transportation activity of captive loaded and empties is being done by Hind Carriers Pvt. Ltd.
which commenced operations from October 2006.
Hind Carriers operates 60 Trailers of HTPL on Operation & Maintenance basis and has tie
ups with other transporters to take care of the balance volumes.
For operations of the trailers under Operation & Maintenance basis, Hind Carriers has on its
payrolls appropriate staff including supervisors, drivers and mechanics


Figure 5: Transportation Service at HTPL







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FREIGHT MARKET IN INDIA
The Indian economy is one of the fastest growing in the world, but the boom is not without its
stops, starts, and bottlenecks, all of which also make themselves felt in the countrys freight
transport sector. India Freight Transport Report concludes the country will reach average annual
freight traffic growth of 10.2% in the 2007-2011 period.
Strong economic and foreign trade growth is underpinning the freight upturn. In
the road freight sector, demand is boosted by door-to-door logistics, the move to higher
value/lower bulk shipments, the rising size of the vehicle fleet and the new impetus to improve
and extend the network, using private sector highway operators and build-transfer-operate (BOT)
schemes. Rail will experience steady but less spectacular growth given the predominance of the
state-controlled Indian Railways. All other transport modes should experience faster growth, with
international air cargo turnover performing strongly as more private airlines join the market. Sea
transport through Indias major ports will also perform well. A major factor over the next few
years driving change will be the rising competitive pressures from cargo operators among Indias
immediate neighbours and main trading partners.
For the 2007-2011 forecast period we expect the transport and communications sector
to continue outpacing the economy as a whole. It will achieve average annual growth of 7.7%,
versus 7.4% for overall GDP. The total value of transport and communications GDP will rise to
US$91.8bn in nominal terms by 2011, representing 7.6% of Indias GDP.


Table 2: Break up of Multimodal Container Transportation

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Figure 6: Graph of Multimodal Transport

Table3: Growth of Foreign Trade

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Figure 7: Graph of Total Throughput of TEUS
Key Factors In Road-Rail Mode Choice In India

Shippers can be expected to seek the mode that will minimize their total logistics costs. This is
not, however, to say that they will always seek to use the mode with the lowest rates. Firms
recognize that there are a number of factors which can add to their costs, including the level of
loss and damage, additional inventory which must be held to avoid stock outs, the value of in-
transit inventory, and the reliability of a modes services

Estimating the total logistics cost faced by a shipper requires an understanding of the factors
which influence the costs, and data to calibrate the model formulation. There is an extensive
literature of ways to model the total logistics cost faced by a shipper.
1. Order and handling costs.
2. Transportation charges
3. Loss and damage costs
4. Capital carrying cost in transit
3. Inventory carrying cost at destination
6. Unavailability of equipment costs
7. Service reliability costs
8. Intangible service costs

Once the total logistics costs are known, they can be used to estimate the probability that a
customer will use rail or motor carrier for moving a shipment.

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Key Factors for Customer Needs and Preferences



Table 4: Importance of Key Factors



Importance-Parameters Level of Importance
(On a scale of 10)
Category "A"
Quality Parameters
Reliability 8.68
Availability 8.50
Category "B"
Product Specifiers
Price 8.20
Transit Time 8.16
Category "C"
Product Specifiers
Connectivity 7.99
Product Suitability 7.86
Category "D"
Other Factors
Loss and Damage 7.46
Customer Information 7.37
Adaptability 7.23
Customer Friendly attitude 7.11
Negotiability 6.89
Category "E"
Other Factors
Access to decision makers 6.62
Ease of payment 6.50
Claim processing time 6.41



Source: AFF-Shipper survey












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Table 5: Satisfaction of Customers with Mode Performance


Importance-Parameters Level of Satisfaction
for Mode-choice (On a scale of 10)

Road Rail
Category "A"
Quality Parameters
Reliability 8.34 4.60
Availability 8.41 4.61
Category "B"
Product Specifiers
Price 7.57 5.94
Transit Time 8.12 4.89
Category "C"
Product Specifiers
Connectivity 8.74 3.72
Product Suitability 7.76 5.42
Category "D"
Other Factors
Loss and Damage 8.00 4.52
Customer Information 7.02 3.55
Adaptability 7.78 3.24
Customer Friendly attitude 7.47 3.37
Negotiability 7.79 2.78
Category "E"
Other Factors
Access to decision makers 7.62 3.65
Ease of payment 8.06 3.97
Claim processing time 7.71 2.68

Source: AFF - Shipper survey




Mode Weighted Average Score
(On a scale of 10)

Road 7.82
Rail 3.91






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The following can be inferred from the above tables:

1. Roadways have a far better satisfaction score than railways
2. The railways compare unfavorably against roadways on all the criteria involved. The score of railways
especially on certain criteria like Ease of payment, connectivity, negotiability, claim processing time is
much lower than roadways.
3. Even on the factor of price, the highest rated factor for rail, the railways do not fare as well as would be
expected





















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INDIAN RAILWAYS
The Indian Railways operates the worlds second largest rail network under a single
management. It has an established route length of 62,759 km divided into three gauges broad,
meter and narrow.

The functions of the Indian Railways can be divided into core and non-core activities. The
core activities comprise transportation of freight and passengers (Running of trains and owning of
assets) and non-core activities comprises catering, Running schools and colleges for the children
of the railway staff, medical healthcare Facilities for the railway staff, production units and
workshops etc.

Though the first ISO marine container had been handled in India at Cochin as early as 1973,
it was in 1981 that the first ISO container was moved inland by the Indian Railways to India's first
Inland Container Depot (ICD) at Bangalore, also managed by the Indian Railways.
Expansion of the network to 7 ICDs by 1988 saw increase in the handling of containers, and
along the way, a strong view had emerged that there was a need to set up a separate pro-active
organization for promoting and managing the growth of containerization in India.

IR has awarded licenses for container operations to 14 private sector companies, thus,
ending the monopoly of Container Corporation of India (CONCOR) in this area. Most of the
current parties are likely to use the operations for their internal use but dedicated third-party
container operation providers might also emerge later to compete Directly with CONCOR These
companies are involved in every step of the container business, from booking of traffic to
aggregating the goods to distributing them at the destination by arranging transport.

There are mainly two types of licenses system:-

1. Operators who can move their trains on selected individual IR route identified by MoR for
both EXIM and domestic traffic i.e.10 crore slab


Figure 8: Operators in 10 Crore Slab
! M 8axl (8oxLrans LoglsLlcs lndla Servlces LLd.
uelhl Assam 8oadways Corp (uA8C)
lpav 8all CorporaLlon LlmlLed (8CL)
8oLhra Shlpplng lnnovaLlve 828 LoglsLlcs SoluLlons
vL. LLd.
2

BIRLA INSTITUTE OF MANAGEMENT AND TECHNOLOGY
2. Operators who can move their trains on all Indian Railways routes and for both EXIM and
domestic traffic i.e. 50 crore slab



Figure 9: Operators in 50 crore Slab

In addition, Ministry of Railways intends to partner with State Governments, private
logistics operators and infrastructure providers to establish multi modal logistic parks equipped
with rail sidings with sheds, l
buildings for logistics operators, highway connectivity, and smaller assembly units for processing
imported raw materials for export. Such Parks could either be built independently at strategic
locations or could be built in a Special Economic Zones (SEZs).
Initiatives by Indian Railways:

Private parties to run container trains
Wagon Investment Scheme
Development of Rail-side Warehouses & Logistic Parks
Strengthening Rail Port Connectivity
Development of Dedicated Freight Corridors
A number of container Rail Terminals of IR are also being utilized by the operators,
Primarily, for domestic operations




BIRLA INSTITUTE OF MANAGEMENT AND TECHNOLOGY

Operators who can move their trains on all Indian Railways routes and for both EXIM and
50 crore slab
Operators in 50 crore Slab
In addition, Ministry of Railways intends to partner with State Governments, private
logistics operators and infrastructure providers to establish multi modal logistic parks equipped
with rail sidings with sheds, large inland container depots, warehouses for storage, office
buildings for logistics operators, highway connectivity, and smaller assembly units for processing
imported raw materials for export. Such Parks could either be built independently at strategic
ocations or could be built in a Special Economic Zones (SEZs).
Initiatives by Indian Railways:-
Private parties to run container trains
Wagon Investment Scheme
side Warehouses & Logistic Parks
Port Connectivity
Development of Dedicated Freight Corridors
A number of container Rail Terminals of IR are also being utilized by the operators,
Primarily, for domestic operations
8ellance lnfrasLrucLure Lnglneers vL. LLd (8lLL)
ConLalner Corp of lndla LLd. (CCnCC8)
CaLeway ulsLrl - arks LLd (CuL)
Mundra lnLernaLlonal ConLalner 1ermlnal (MlC1)
Adanl Agrl LoglsLlcs LLd.
lndla lnfrasLrucLure & LoglsLlcs
ulnesh lnLernaLlonal (L1A)
Slcal LoglsLlcs
CenLral Warehouslng CorporaLlon (CWC)
k8l8PCC LoglsLlcs
22 | a g e
Operators who can move their trains on all Indian Railways routes and for both EXIM and

In addition, Ministry of Railways intends to partner with State Governments, private
logistics operators and infrastructure providers to establish multi modal logistic parks equipped
arge inland container depots, warehouses for storage, office
buildings for logistics operators, highway connectivity, and smaller assembly units for processing
imported raw materials for export. Such Parks could either be built independently at strategic
A number of container Rail Terminals of IR are also being utilized by the operators,
8ellance lnfrasLrucLure Lnglneers vL. LLd (8lLL)
ConLalner Corp of lndla LLd. (CCnCC8)
Mundra lnLernaLlonal ConLalner 1ermlnal (MlC1)
CenLral Warehouslng CorporaLlon (CWC)

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Role of Indian Railways in Private rail operation:-

Any rail operator is dependent on Indian Railways for tracks (the paths), locomotives,
signaling and communication, train crew movement of its container trains. The train operator is to
procure wagons and set up its own terminals but can use others terminals also.
Indian Railways deducts specified haulage charges which comprise freight charge, service
tax & miscellaneous charges from rail operators the resultant of which is called rail freight
margin. Rail operators in turn deduct rail haulage from the pre deposit accounts (PDA) of
shippers. The shippers then receive a railway receipt (RR)/ Inland-Way bill (I-Way Bill) which
they give it to Concor after which the containers are loaded on wagons and train summary is
prepared by Concor. The train then waits for the engine to arrive after which it is railed out to its
respective destination..
Any damage to the container during the transit time is handled by Indian Railways
themselves. Transit time guarantee is not available from the IR.






























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CONCOR
Container Corporation of India Ltd. (Concor), was incorporated in March 1988 under
the Companies Act, and commenced operation from November 1989 taking over the existing
network of 7 ICDs from the Indian Railways.From its humble beginning, it is now an undisputed
market leader having the largest network of 57 ICDs/CFSs in India.
CONCOR's core business is characterized by three distinct activities:-
Rail operator
Terminal operator
Warehouse operator

Rail is the mainstay of CONCORs transportation plans & strategy. Majority of CONCOR
terminals are rail-linked, with rail as the main carrier for haulage. Several of its terminals are
situated on leased Railway-land. As rail is price-competitive over long distances, the price
advantage can be passed on to clients, thus allowing for flexible and competitive pricing. The rail
link also plays a major role in decongesting our ports and the road corridors that lead to these
ports.
CONCOR/rail moves about 23% of the export/import containers moving through Indian ports
or about 50% of the hinterland traffic.
CONCOR's strategic position in the logistics market is characterised by:

Relatively monopolistic market position as a sole-provider of rail-hauls for containers
CONCOR benefits from a close relationship with the Indian Railways.
Strong relationship with Indian Railways coupled with an MoU for providing for guaranteed
transits on 'liner corridors";
Dedicated network of state-of-the-art terminals across the country to capture traffic at the
production / consumption centres;
Distinct cost advantage by virtue of their location in the ICD premises (which have rail-head
connection and which therefore eliminates multiple handling and transportation).

CONCOR handled around 3.5 Lac TEUs in domestic sector all over India till 2004-05. The traffic
handled has not shown any considerable increase in last few years. This slow growth of domestic
container traffic can be of various reasons like: no more increase in volumes, more complications
in serving the customer door- door by using rail facility, poor services provided to customers than
3

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road ways carriers & the cost involved may be less in train movement but the handling activity
involves high costs.












Figure 10: Growth of Containers Handling
Role of Concor in private rail operation:-

Private rail operators are dependent on Concor for terminal handling of the containers
which in turn deducts 40% from the rail freight margin of a rail operator. It is responsible for
making the train summary once the rail receipt has been receipt.
In import role of Concor starts right from the time the train arrives at ICD till the time RR
has been released by the importer after which the container is shifted to lines custody.
In export the role of Concor starts from the time if a shipper wants his cargo to be stuffed in
the ICD itself. Concor is responsible for packaging, palletization, carting and stuffing the cargo in
the containers. The loaded containers are then custom sealed after which the containers are
stacked by Concor on the rail siding. The containers are booked on the trains, the train summary
is prepared, haulage charges are deducted from the shippers/shipping lines PDA , the RR is
issued and finally the containers are railed out.
3,49,141
4,24,741
4,91,481
5,76,790
6,64,490
7,53,368
9,05,058
10,31,925
12,51,618
13,76,516
2,44,977
2,78,801
2,30,238 2,25,156
2,38,661
2,91,360
3,26,775
3,51,238 3,50,501 3,51,460
-
2,00,000
4,00,000
6,00,000
8,00,000
10,00,000
12,00,000
14,00,000
16,00,000
1995-96 1996-97 1997-98 1998-99 1999-00 2000-01 2001-02 2002-03 2003-04 2004-05
T
E
U
s
International Handling Domestic Handling

BIRLA INSTITUTE OF MANAGEMENT AND TECHNOLOGY 26 | a g e

DADRI TERMINAL- A TOUR
Asias biggest Inland Container Depot is at Dadri which is located adjacent to Dadri Railway
Station of North Central Railway on Delhi-Howrah rail route. It is 33 km from New Delhi station
and 42 km from Tuglakabad and is connected to the entire BG rail network of Indian Railway. Its
road connectivity is through Surajpur Dadri road which links ICD with Grand Trunk Road (2.4
km away) as well as NOIDA. This ICD has a potential capacity to cater to 1 million Teus/year.

Total throughput at Dadri = 15000 to 16000 Teus a month
Throughput= export + import (empty containers being included in both)

The break-up for total EXIM traffic at Dadri in the year 2007 is given as follows:-

Export Import Total
80772 Teus 111074 Teus 191846 Teus
42.1% 57.9% 100%
Table 6: Total EXIM at dadri


Figure 11: - EXIM break-up at Dadri in 2007

The three main operational systems in the terminal are:

The ICD operation
The rail operation
The container freight station (CFS) operation.

42.1
37.9
exporL
lmporL
4

BIRLA INSTITUTE OF MANAGEMENT AND TECHNOLOGY 27 | a g e

The rail operators at ICD Dadri are as follows:-

Concor
Private rail operators
Hind Terminals Pvt. Ltd. (private)
DP World (private)




Figure 12: % break up of business of different Rail Operators at dadri

The Container Freight Stations at ICD Dadri are as follows:-

Concor CFS
Private CFS operators
StarTrack Terminals A JV between Maersk Line & Concor
CMA CGM Logistics Park Dadri Pvt. Ltd. A JV between CMA CGM & Concor
Trident Terminals Pvt. Ltd. A JV between APL India Pvt. Ltd. & Concor
Albatross CFS Pvt. Ltd. A JV between Albatross India Ltd. & Concor


Figure 13: Break-up of cargo clearance at Dadri

CCnCC8, 87.21

P1L, 10.90
u
WC8Lu, 1.90
38
42
rlvaLe ClS
Concor ClS

BIRLA INSTITUTE OF MANAGEMENT AND TECHNOLOGY 28 | a g e

Infrastructure:-

The entire land of 110 hectares at Dadri ICD belongs to Concor part of which (24 hectares) it has
leased to other private players.

Rail yard with 4 full length rail tracks (to be increased to 7 later).
Dadri has a capacity of 360 Teus at a time i.e. 4 Trains can be loaded at time, where one
train has a capacity of 90 Teus.
120000 sq.mt block paving for entire yard (rail side and CFS). 40,000 sq.mt paved parking
for trailers and cargo trucks.
Approximately 105 rakes/month are dealt at Dadri out of which 24 rakes are nominated to
Concor, 2 rakes to HTPL and 2 rakes to DPWorld.

Equipment:-

Four Rubber Tyred Gantry Cranes.
Three Loaded and One Empty Reach Stackers.
Two 3 Ton & One 5 Ton Fork Lift.

Figure 14: Road Connectivity to ICD Dadri


Catchment Area:-

Greater Noida, Noida, Sahibabad Ghaziabad, Surajpur, Dadri, Khurja , Sikendrabad,
Bulandshahar.

Rail Linkages:-
JNPT/NSICT, Pipavav, Mundra Port, Vizag, Tughlakabad, Ludhiana,Kanpur, Sabarmati, Agra,
Kota, Turbhe, Malanpur. Jaipur

BIRLA INSTITUTE OF MANAGEMENT AND TECHNOLOGY 29 | a g e

JNPT
PIPAVAV
MUNDRA
Jodhpur
14000 TEUs
Ludhiana
48000 TEUs
Moradabad
17600 TEUs
Kanpur
17500 TEUs
Delhi
(282648 TEUs)
Jaipur
19500 TEUs
Panipat
2240 TEUs
LeaLHer LeaLHer LeaLHer LeaLHer
FooLwear FooLwear FooLwear FooLwear
Braccware Braccware Braccware Braccware
CarmeoLc CarmeoLc CarmeoLc CarmeoLc
AuLo AuLo AuLo AuLo
LlecLroolcc LlecLroolcc LlecLroolcc LlecLroolcc
1exLllec 1exLllec 1exLllec 1exLllec
6porLc Coodc 6porLc Coodc 6porLc Coodc 6porLc Coodc
Haod 1oolc Haod 1oolc Haod 1oolc Haod 1oolc
Blcycle ParLc Blcycle ParLc Blcycle ParLc Blcycle ParLc
woodeo FurolLure woodeo FurolLure woodeo FurolLure woodeo FurolLure
CraolLe CraolLe CraolLe CraolLe
ArL ware ArL ware ArL ware ArL ware
0yec 0yec 0yec 0yec
CHemlcalc CHemlcalc CHemlcalc CHemlcalc
0eolm 0eolm 0eolm 0eolm

Figure 15: Rail Linkages to ICD Dadri


Services:-

Customer related services
Separate admin building for associates like freight forwarders/CHAs shipping lines,
Surveyors, transporters etc.
EDI- Electronic Data Interchange Facility for online business
Cargo consolidation and de-consolidation facilities.
Bonded cargo handling and its secured storage facilities.
Container handling and stacking.
Rail and road transportation of containers,
Specialized reefer container stacking facilities for stacking and handling of reefer containers.
Container repair, washing, cleaning and servicing available on demand facility.
Round the clock gate and train handling operations.
Electronic PDA statement & Train Summary for Customers.

Value Added Logistics:-
Picking & Packing
Labeling & Sorting
Customization
Factoring
Just in Time / Sequence Supply / Delivery

BIRLA INSTITUTE OF MANAGEMENT AND TECHNOLOGY 30 | a g e

Import Cycle A Flowchart












































Figure 16: Import Flow Cycle
1he vessel arrlves aL nhava
Sheva and Lhe boxes are
dlscharged aL Lhe orL
1he CaLeway lCM ls flled aL
nhava Sheva 24 hours before
vessel arrlval
Cnce approved by CusLoms, Lhe
CaLeway lCM menLlonlng Lhe
SM1 numbers ls despaLched Lo
Lhe locaLlons for whlch Lhe
conLalners are flnally desLlned
Cnce Lhe CaLeway lCM ls
recelved aL lCu, a local lCM ls
flled aL uAu8l
Cnce approved, we are provlded
wlLh a Local lCM number
1he conLalners are ralled ouL
from nhava Sheva and reach Lhe
respecLlve lCus
Cnce Lhe boxes reach Lhe lCu,
Lhe 88 musL be released wlLhln 2
days of conLalner arrlval aL 1ku
oLherwlse LC8 would be on
Llne's A/C
1he 88 conLalns lrelghL charges, servlce Lax
and mlscallaneous charges. 1he handllng
charges are deducLed from Lhe uA aL uelhl.
WlLh Lhe release of Lhe 88, Lhe conLalner ls
shlfLer from Concor Lo Llne's cusLody
1he lmporLer flles hls 8lll of LnLry wlLh
cusLoms afLer submlsslon of Lhe Local lCM
1he conLalner ls examlned by Lhe cusLoms and
accordlngly Lhe lmporL duLy ls pald. lf CusLom
AuLhorlLles are saLlsfled, Lhe conLalner ls made
ouL of charge
1he conslgnee approcahes Lhe shlpplng llne
and geLs Lhe dellvery order lssued afLer paylng
Lhe relevanL charges
Cnce Lhe u.C ls lssued, Lhe conLalner ls shlfLed
from Lhe sLack Lo Lhe lmporL Warehouse
ln case of lCu desLufflng, Lhe conLalner ls
empLled ln Lhe warehouse and Lhe conslgnee
Lakes Lhe cargo Lo hls premlses.
ln Case of lacLory desLufflng, a nCC ls
requlred from Lhe shlpplng llne Lo Lake Lhe
conLalner ouL of Lhe lCu Lo facLory. Cnce Lhls
ls obLalned, Lhe same ls submlLLed ln CCnCC8
on Lhe basls of whlch loadlng permlL ls
generaLed.




RAIL OPERATION
Hind Terminals Pvt. Ltd.

HTPL at Dadri terminal is solely dealing in rail operation where its first train from Dadri was
flagged off on 4
th
. July, 2007. HTPL has even taken land on lease from Concor and has future
plans of developing its own container freight station. The companys operation is highly
influenced by the omnipresent Concor which tries to maintain its stable position in the market as
new private players are emerging.
Apart from the strong support of Sharaf Group shipping lines i.e. Mediterranean Shipping
Company (MSC) and Samsara Group HTPL has support of 10 other third party shipping lines
whose cargo it can carry. The shipping lines are as follows:-

1. Mitsui O.S.K. Lines (India) Pvt. Ltd. (MOL)
2. NYK Line (India) Ltd. (NYK)
3. CSAV Group Agencies (India) Pvt. Ltd. (CSAV)
4. Hapag-Lloyd (India) Pvt. Ltd. (HLI)
5. Emirates Shipping Agencies (India) Pvt. Ltd. (ESA)
6. Trans Asian Shipping Services Pvt. Ltd. (TASS)
7. Perma Container Line (India) Pvt. Ltd. (PMA)
8. IAL Shipping Agencies Pvt. Ltd. (IAL)
9. Evergreen Shipping Agency India Pvt. Ltd. (EGI)
10. Zim Integrated Shipping Services (ZIM)

Concor to maintain its strategic position in the market has entered into certain business
arrangements with HTPL which are as follows:-

HTPL can carry only that cargo which belongs to the above mentioned shipping lines i.e.
Lines nominated to HTPL at Dadri
Terminal handling of containers will be done by Concor only both within the ICD as well as
the CFS, which means that HTPL cannot do business with any of the private CFS operators
The rail haulage that HTPL charges have to be at par with those of other rail operators

Services:-
Reliable service with confirmed ETD and ETA
Synchronized operations reducing delays
4a



Train timings in coordination with Ship arrival
Trucking service from and to the ICD
Online tracking of train and containers
Electronic submission of documents
Swapping of Containers: - HTPL to maintain good relationships with its customers may also
go to the extent of swapping where if a container is very necessary to be railed out and the
company is not able to do that by the specified date then it loads those containers on Concor
trains. Concor either deducts rail haulage from HTPL or swaps those number of containers on
a later date.
HTPL here is working on a no profit/no loss basis, but it prefers to do it so as to
achieve customer satisfaction.
Pre-deposit account flexibility (PDA) :- A facility where a customer can have a pre-deposit
account with the rail operators from which the rail haulage are deducted.
Excellent customer service and great concern for customer grievances/speedy redressal , since
it is a private firm therefore highly customer-oriented.


The total volume of export and import is as follows:-

Table 7: Total Volume of Export at HTPL

The rail tariff that HTPL charges from its customers is the same as that of any rail operator. The
tariff in INR is as follows:-


From To HTPL Haulage
20 ft. container 40 ft. container empty
Up to 12
tons
12-20
tons
20-27
tons
Above
27 tons
Up to
18 tons
18-24
tons
Above
24 tons
20 ft. 40 ft.
JNPT Dadri 18800 20200 25950 28400 35600 35600 37200 12600 23450
MDPT Dadri 16850 18100 24650 26600 31600 31600 33150 10900 20300
Dadri JNPT 16450 19050 24350 27600 31200 33150 34700 10650 19550
Dadri MDPT 14600 16900 22450 24550 28050 29500 30350 9250 17000
Table 8: Rail Tariff

Location Starting Date Ending Date Total Volume (Teus)
Dadri-JNPT 14-07-07 31-03-08 6140
Dadri-MDPT 27-09-07 31-03-08 3022
Total 9162



Rail operation- A Flowchart:-
Figure 17: Flow Chart for Rail Operations


































Pie Aiiival

Aiiival at
Railway Yaiu
Placement at
the Teiminal
Bepaituie to
Bestination
ulscuss for approprlaLe placemenL of Lhe rake aL Lhe
Lermlnal wlLh rallways
1) ueploymenL of power Lo Lhe rall from rallway yard
and flnal deparLure Lo desLlnaLlon.
2) noLlng power no. for reference
3) Co-ordlnaLlon wlLh concerned deparLmenL ln 8allways
4) 1racklng Lhe Lraln
3) Advance lnLlmaLlon of arrlval Llme Lo orL.
1) updaLlng SM1 passed on Plnd 1ermlnals by shlpplng
llnes for haulage and preparlng lmporL pendency
sLaLemenL.
2) Advance plannlng lnLlmaLlon for placemenL aL
Lermlnal sldlng Lo rallways
3) Sendlng forecasL for arrlval, loadlng/dlscharge Lo Lhe
1ermlnal
4) Advance placemenL memo Lo Lhe Lermlnal
3) reparaLlon of load plan of conLalners as per lllC
meLhod of Lermlnal
6) Send load plan Lo Lermlnals
1) CbLaln Lraln no. from Lermlnal.
2) 8allway recelpL/lnland-Way blll released by conslgnee
3) Cff-loadlng of conLalners
4) 8ake examlnaLlon by rallway
3) unflL wagons deLached & replaced by flL ones
6) ueducLlon of lnland haulage from uA
7) 8allway recelpL lssued
8) CperaLlons commencemenL l.e. dlscharge/Loadlng
9) CoordlnaLlng wlLh shlpplng llne, surveyors, rallway
and Lhe Lermlnal
10) 1raln Summary prepared by Concor
11) ueparLure from Lermlnal sldlng Lo rallway yard wlLh
local power englne




The train that goes to Jawaharlalal Nehru Port (JNPT) is known as a mixed train since it carries
cargo for any of the three ports that are situated there i.e. JNPT, Gateway Terminal of India (GTI)
and Nhava Sheva International Container Terminal (NSICT)

There are three types of train examinations done:-
1. Safe-to-run (STR)
2. End-to-end
3. Intensive

HTPL has 3 rakes nominated to Dadri. The train schedule is as follows:-

Dadri JNPT 1train/week
Dadri MDPT2trains/week

The rake is allowed to run up to the following km after being examined. Once these km are
completed the rake needs to be examined again.
1. 4500 kms takes approximately 4 months to complete
2. 6000 kms takes approximately 6 months to complete
3. 7500 kms takes approximately 9 months to complete
It is known as a free circuit i.e. can travel in any part of the country, not necessarily to the
terminal it is nominated to.

Ideal Time to be taken in the following activities:-


S. No. Activity Ideal Time
1. Off-loading of containers 2 hours
2. Train examination
Intensive examination 4 hours
Safe-to-run 1.5 hours
3. Loading of Containers 2 hours

Table 9: Idle Time Taken By Different Activity










Concor Rail Service
Concor benefits from a close relationship with the Indian Railways. Several of its terminals
are situated on leased Railway-land. Many of its key operating personnel are on secondment from
Indian Railways or have previously been employed by the Indian Railways. Wagons and
operational support from Indian Railways have always been available to the company.
On the other hand Concor have another advantage over private players. Concor carry all the cargo
which has been cleared from private CFS. While the other private players like HTPL and DP
World can carry only ICD cleared cargo. Likewise Concor dont have any line restriction it can
accept any shipping line cargo.
Running of Reefer services requires a certain degree of Infrastructure development at the handling
terminals, and CONCOR has made such facilities available at its Flagship terminal, i.e. ICD
Dadri. No other player is providing such facility so this is one of the unique services providing by
the concor. And the reefer cargo is about 20% of total export.
Currently concor is running approximately 17 trains per week. Out of seventeen one train per
week is for mundra and others are for JNPT, pipavav, NSICT etc. They have a strong network
across the country. While other players have only 2-3 trains per week which is very less in
comparison to concor. So concor is more frequent service provider in case of rail operations. Thus
they can assure on time delivery of cargo.

CONTAINER Corp of India Ltd plans to build eight container depots on top of plans by terminal
operators to develop 40 facilities in the coming years.This comes as Container Corporation of
India Ltd (CONCOR) formed a joint venture company with Allcargo Global Logistics to establish
a container freight station (CFS) at ICD Dadri.
















DP WORLD (Container Rail Road Services Pvt. Ltd):-

DP World is one of the largest marine terminal operators in the world with 43 terminals and
13 new developments across 28 countries. Dubai Port Worlds Container Rail Road Services Pvt.
Ltd (CRRS), a 100 per cent subsidiary of the Mundra International Container Terminal (MICT)
operated by Dubai-based DP World.
DP World (CRRS) has entered the private freight rail market in India, with the
commencement of service between Delhi and the Port of Mundra.
The first Container Rail Road Services (CRRS) train service from ICD Dadri to Mundra
International Container Terminal (MICT) on 2
nd
October 2007, the train departed on its maiden
journey from ICD Dadri at 2145 hrs and reached MICT at 1400hrs on 6th October.
This time DP World (CRRS) has one train schedules from Dadri. Earlier they have 2 trains
per week. They have support of a port named as MICT. But they dont have strong support of any
shipping line. It can carry the cargo of any shipping line from ICD Dadri. There are some main
shipping lines like APL, CIN, and EMIRATES.

























CFS OPERATION
The CFS is a cargo consolidation, container packing/unpacking and cargo distribution
centre. In this way, shippers can transport their cargoes in break-bulk form, by the most
convenient mode available road, rail or inland waterway to the ICD. Next, the CFS facility will
arrange to consolidate and pack the goods into containers ready for loading onward transport to a
port. Similarly, buyers of goods can arrange for the containers carrying their goods to be
unpacked at the CFS, and separated into break-bulk consignments. The buyers can then arrange
for their goods to be collected by the most convenient form of transport.

The CFS operation includes the following sequences of activities: to receive, sort and
consolidate export break-bulk cargoes from road vehicles, to pack export cargoes into containers
ready for loading aboard onward transport, to unpack import containers, and sort and separate the
unpacked cargoes into break-bulk consignments ready for distribution to consignees, to deliver
import cargoes to the consignees transport, to store import and export cargoes temporarily,
between the times of unloading and loading, while various documentary and administrative
formalities are completed (e.g., customs inspection, settling of charges for packing, unpacking
and storage, arranging transport).






Figure 18: Functional Structure of Container Freight Station
4b



CFS Operations A Flowchart
Figure 19: Flow chart Of Activities within CFS

Responsibility ICD Stuffing FACTORY STUFFING
Responsibility
Shipper/Shipping line Shipping
Line

Shipper/Shipping line

CONCOR
Customs
CONCOR
CONCOR

CONCOR
Shipper/CONCOR

Shipper/Customs CONCOR


CONCOR/surveyor
Customs

CONCOR's Handling

CONCOR's Handling
Contractor
CHA/Surveyor
CONCOR
Customs
CusLom seal ls puL on
Lhe conLalner aL Lhe
1ermlnal gaLe
AlloLmenL of conLalner
CusLoms processes Lhe
Shlpplng 8lll afLer
CCnCC8 records
conLalner deLalls ln
sysLem aL Lhe gaLe
llllng of Shlpplng 8lll
Cffloadlng [ob order ls
lssued by CCnCC8
Cargo CaLe-ln
lssuance of C8n
CCnCC8 recelves Lhe
conLalner duly sLuffed.
Lxclse seal / llne seal are
puL aL Lhe facLory.
CaLe ln ls ermlLLed CusLoms examlnaLlon of
cargo
Seal number ls enLered
and gaLeway porL
sLlckers wlLh P1L 8lock
1raln Logo ls pasLed on
Lhe conLalners
ermlsslon Lo sLuff cargo
ln conLalners
SLufflng of cargo
SLufflng Lally sheeL
Seallng of conLalner
LeL LxporL Crder
8ooklng of conLalners
wlLh CCnCC8
SLacklng aL rall slde



CHA/CONCOR

SWOT ANALYSIS
Strengths:-
MSC and Samsara being a part of Sharaf Group themselves tend to promote HTPL by
loading large volumes of their cargo on HTPL trains.
Strong tie ups with the 10 other 3
rd
party shipping lines gives HTPL an advantage of
providing varied cargo services to customers
Being a part of Sharaf Group they have a huge capital base that can help them in achieving
economies of scale by acquiring rakes, and planning for ICD/CFS in the near future.
HTPL being a private rail operator provides flexibility to customers in terms of priority
scheduling, pre deposit account (PDA)
HTPL has the advantage of running 2 trains/week to MDPT vis--vis Concor with only
one train /week thus helping it to attract more shippers.
Weakness:-
Since Indian railways gives priority to passenger trains over container trains and any rail
operator is totally dependent on it for locomotives and tracks, so it is very difficult for
HTPL to maintain schedules and give timely delivery.
The business arrangements of HTPL with Concor are such that HTPL customers must
clear their cargo at Concor and not at any private CFS thus reducing its opportunities.
Concor has put a restriction on HTPL that it can carry cargo of only certain nominated
shipping lines apart from MSC & Samsara Group thus again reducing its opportunities.
It is totally dependant on Concor for its terminals operators.
No control over rail haulage cost.
Opportunities:-
Dadri has huge volumes of reefer cargo (11500 Teus/year) being exported all of which is
railed out on Concor (2-3 trains per week) thus leading to huge pendency of containers.
HTPL thus has great opportunity in this area.
4c



Tuglakabad ICD is the hub for EXIM in NCR but due to operational issues lots of
shippers are switching to other options. Dadri has huge potential in this case as it is the
largest ICD in Asia thus improving scope for HTPL.
Due to consistent growth in EXIM scope for HTPL is growing day by day.
Since there are only 3 rail operators at Dadri currently there is not cut-throat competition.
Concor has leased land to HTPL at Dadri where it can venture into Container Freight
Station Operations.

Threats:-
Change in government policies like custom duty, anti-inflationary measures, rail freight
etc. can deeply affect the business of HTPL
HTPL is totally dependent on Concor for terminal handling: a threat to HTPL if in future
Concor refuses to do business with HTPL.
Entry of any private rail operator
Entry of private CFS operators like AllCargo, Reliance can deeply affect HTPLs
business because of fragmentation of Concors volumes.
Instability of rates defined by Concor




























M

Marketing Research Process:






Step I: Define the problem and the

The 1
st
step in research is formulating a research problem. It is most important stage as poorly
defined problems will not yield useful results. One should be careful not to define the problem too
broadly or too narrowly.

Research problem:

The business arrangements of HTPL are such that if a customer is using its rail services at Dadri
then he is bound to clear the cargo at Concor. As per the terms they cannot use the services of the
existing four private players at Dadri.
Whereas, most of the customers prefer the private players to Concor for clearing the cargo and
Concor rail services to HTPL , thus making a issue of concern for HTPLs business.

Research objectives:

To analyze the Dadri customer base and find out the potential c
l
- ueflne Lhe problem and research ob[ecLlv
ll
- uevelop Lhe research plan
lll
- CollecL Lhe lnformaLlon
lv
- Analyze Lhe lnformaLlon
v
- resenL Lhe flndlngs ln 8eporL
vl
- Make declslons
3

MARKET RESEARCH
Marketing Research Process:-

Step I: Define the problem and the research objectives
step in research is formulating a research problem. It is most important stage as poorly
defined problems will not yield useful results. One should be careful not to define the problem too
The business arrangements of HTPL are such that if a customer is using its rail services at Dadri
then he is bound to clear the cargo at Concor. As per the terms they cannot use the services of the
existing four private players at Dadri.
most of the customers prefer the private players to Concor for clearing the cargo and
Concor rail services to HTPL , thus making a issue of concern for HTPLs business.
To analyze the Dadri customer base and find out the potential customers for HTPL i.e.
ueflne Lhe problem and research ob[ecLlve
uevelop Lhe research plan
CollecL Lhe lnformaLlon
Analyze Lhe lnformaLlon
resenL Lhe flndlngs ln 8eporL

ARKET RESEARCH

step in research is formulating a research problem. It is most important stage as poorly
defined problems will not yield useful results. One should be careful not to define the problem too
The business arrangements of HTPL are such that if a customer is using its rail services at Dadri
then he is bound to clear the cargo at Concor. As per the terms they cannot use the services of the
most of the customers prefer the private players to Concor for clearing the cargo and
Concor rail services to HTPL , thus making a issue of concern for HTPLs business.
ustomers for HTPL i.e.

customers using the shipping lines that have been nominated to HTPL at Dadri.
To analyze why these customers prefer CONCOR/HTPL for transporting
Containerized cargo by rail and compare their services.
To analyze why these customers
CFS for clearing out their containers cargo and compare their services.



Step II: Develop the research plan

Designing a research plan calls for decisions on data sources, choice of research design,
approaches, research instruments, sampling plan and contact methods.



Data Sources:



In our market research I have used both secondary as well as primary data.
uaLa
Sources
8esearch
ueslgn
Secondary
uaLa
LxporL daLa
aL uadrl
Magazlnes
newspaper

customers using the shipping lines that have been nominated to HTPL at Dadri.
To analyze why these customers prefer CONCOR/HTPL for transporting
Containerized cargo by rail and compare their services.
To analyze why these customers prefer private container freight stations (CFS)/CONCOR
CFS for clearing out their containers cargo and compare their services.
Step II: Develop the research plan
Designing a research plan calls for decisions on data sources, choice of research design,
approaches, research instruments, sampling plan and contact methods.
In our market research I have used both secondary as well as primary data.
8esearch
lan
8esearch
Approaches
8esearch
lnsLrumenL
Sampllng
lan
uaLa
Sources
lnLerneL
SLudy
MaLerlal
rlmary
uaLa
CuesLlonnalre lnLervlew

customers using the shipping lines that have been nominated to HTPL at Dadri.
To analyze why these customers prefer CONCOR/HTPL for transporting
prefer private container freight stations (CFS)/CONCOR
CFS for clearing out their containers cargo and compare their services.
Designing a research plan calls for decisions on data sources, choice of research design, research


In our market research I have used both secondary as well as primary data.
Sampllng
lan
ConLacL
MeLhods
rlmary
uaLa
lnLervlew Survey

The secondary data of the export traffic at Dadri and some
company which needs to be analyzed. A lot of help has been taken from the data available at the
internet. Magazines and newspaper have been very helpful to keep a track of the latest.

The primary data includes those re
them, surveying at Dadri to get an understanding of operations. Interaction with the company
employees and those at their competitors to get an idea of the market and trends.

Research Design:


Research design is the plan, structure and strategy of investigation conceived so as to obtain
answers to research questions and to control variance. A research design specifies the methods
and procedures for constructing a particular study.

In this research the design can be grouped into two categories
research.
The exploratory research focuses on understanding the companys business, the operational
procedures at Dadri, brief understanding of the shipping i
which is required so as to be able to relate to the customer while interviewing.

The causal research focuses on the factors and reasons because of which customers prefer Concor
to HTPL for rail services and private CF


Research Approaches:

Primary data can be collected in five ways: through observations, focus groups, surveys,
behavioral data and experiments.

Format of the survey: - A primary questionnaire is made which includ
project objective and the research objective and the customers were asked these questions to
LxploraLory
deslgn

The secondary data of the export traffic at Dadri and some literature was provided to us by the
company which needs to be analyzed. A lot of help has been taken from the data available at the
internet. Magazines and newspaper have been very helpful to keep a track of the latest.
The primary data includes those received from questionnaire filled by the customers, interviewing
them, surveying at Dadri to get an understanding of operations. Interaction with the company
employees and those at their competitors to get an idea of the market and trends.
Research design is the plan, structure and strategy of investigation conceived so as to obtain
answers to research questions and to control variance. A research design specifies the methods
and procedures for constructing a particular study.
In this research the design can be grouped into two categories- exploratory research and causal
The exploratory research focuses on understanding the companys business, the operational
procedures at Dadri, brief understanding of the shipping industry and all the other information
which is required so as to be able to relate to the customer while interviewing.
The causal research focuses on the factors and reasons because of which customers prefer Concor
to HTPL for rail services and private CFS over Concor for clearing the cargo.
Primary data can be collected in five ways: through observations, focus groups, surveys,
behavioral data and experiments.
A primary questionnaire is made which includes questions based on the
project objective and the research objective and the customers were asked these questions to
8esearch
deslgn
LxploraLory
deslgn
uescrlpLlve
deslgn
Causal
ueslgn

literature was provided to us by the
company which needs to be analyzed. A lot of help has been taken from the data available at the
internet. Magazines and newspaper have been very helpful to keep a track of the latest.
ceived from questionnaire filled by the customers, interviewing
them, surveying at Dadri to get an understanding of operations. Interaction with the company
employees and those at their competitors to get an idea of the market and trends.

Research design is the plan, structure and strategy of investigation conceived so as to obtain
answers to research questions and to control variance. A research design specifies the methods
exploratory research and causal
The exploratory research focuses on understanding the companys business, the operational
ndustry and all the other information
which is required so as to be able to relate to the customer while interviewing.
The causal research focuses on the factors and reasons because of which customers prefer Concor
S over Concor for clearing the cargo.
Primary data can be collected in five ways: through observations, focus groups, surveys,
es questions based on the
project objective and the research objective and the customers were asked these questions to

reveal their actual experience at terminal Dadri. An effort is made to keep the questionnaire
simple and comprehensive so it can reveal t


In this research I have used surveys as our research approaches since it is best suited for
descriptive research and helps immensely in understanding the peoples knowledge, preferences
and satisfaction.

Research Instruments:

Marketing researches have a choice of three main research instruments: questionnaires,
psychological tools and mechanical devices.




In our research I have made use of questionnaires which we have asked the customers at
fill out so as to help us out in understanding the reasons and coming to conclusions.




CbservaLlons locus groups

reveal their actual experience at terminal Dadri. An effort is made to keep the questionnaire
simple and comprehensive so it can reveal the facts needed to conclude the projects objective.
In this research I have used surveys as our research approaches since it is best suited for
descriptive research and helps immensely in understanding the peoples knowledge, preferences
Marketing researches have a choice of three main research instruments: questionnaires,
psychological tools and mechanical devices.
In our research I have made use of questionnaires which we have asked the customers at
fill out so as to help us out in understanding the reasons and coming to conclusions.
8esearch
Approaches
locus groups Surveys
8ehavloral
daLa
LxperlmenLs
8esearch
lnsLrumenLs
CuesLlonnalres
for CusLomers
aL uadrl

reveal their actual experience at terminal Dadri. An effort is made to keep the questionnaire
he facts needed to conclude the projects objective.

In this research I have used surveys as our research approaches since it is best suited for
descriptive research and helps immensely in understanding the peoples knowledge, preferences
Marketing researches have a choice of three main research instruments: questionnaires,

In our research I have made use of questionnaires which we have asked the customers at Dadri to
fill out so as to help us out in understanding the reasons and coming to conclusions.
LxperlmenLs


Sampling Plan:


Sampling Unit: Who is to be surveyed? In our research I have taken the whole target
market as our sampling unit out of which samples would be selected and surveyed. The
Target market comprises those customers that are allowed to HTPL i.e. customers who are
Using shipping Lines nominated to HTPL at Dadri.

Sample Size: How many people are to be surveyed? Our sample size is 25 respondents. These
Respondents comprise Shippers, Shipping Lines, CHAs; Forwarders who belong to the
catchment are of Dadri i.e. Greater Noida, Noida, Sahibabad Ghaziabad, Surajpur, Dadri
Sikendrabad, Bulandshahar.

Sampling Procedure: How should the respondents be chosen? I have decided to base our
Sample respondents on basis of quota sample where the top 25 customers have been
interviewed i.e. those that are doing bu

Contact methods: Once the sampling plan has been determined, it must be decided how the
Subject should be contacted: mail, telephone, personal or online interview.
Sampllng unlL
1argeL markeL of
cusLomers who are
uslng Shlpplng Llnes
nomlnaLed Lo P1L aL
uadrl

: Who is to be surveyed? In our research I have taken the whole target
market as our sampling unit out of which samples would be selected and surveyed. The
Target market comprises those customers that are allowed to HTPL i.e. customers who are
Using shipping Lines nominated to HTPL at Dadri.
: How many people are to be surveyed? Our sample size is 25 respondents. These
Respondents comprise Shippers, Shipping Lines, CHAs; Forwarders who belong to the
catchment are of Dadri i.e. Greater Noida, Noida, Sahibabad Ghaziabad, Surajpur, Dadri
Sikendrabad, Bulandshahar.
: How should the respondents be chosen? I have decided to base our
Sample respondents on basis of quota sample where the top 25 customers have been
interviewed i.e. those that are doing business in huge volumes and are potential for HTPL.
Once the sampling plan has been determined, it must be decided how the
Subject should be contacted: mail, telephone, personal or online interview.
Sampllng
lan
Sampllng unlL
1argeL markeL of
cusLomers who are
uslng Shlpplng Llnes
nomlnaLed Lo P1L aL
uadrl
Sample slze
23 cusLomers
Sampllng
procedure
l.e. sample
deslgn
non
probablllLy
sampllng
CuoLa
Sampllng


: Who is to be surveyed? In our research I have taken the whole target
market as our sampling unit out of which samples would be selected and surveyed. The
Target market comprises those customers that are allowed to HTPL i.e. customers who are
: How many people are to be surveyed? Our sample size is 25 respondents. These
Respondents comprise Shippers, Shipping Lines, CHAs; Forwarders who belong to the
catchment are of Dadri i.e. Greater Noida, Noida, Sahibabad Ghaziabad, Surajpur, Dadri, Khurja,
: How should the respondents be chosen? I have decided to base our
Sample respondents on basis of quota sample where the top 25 customers have been
siness in huge volumes and are potential for HTPL.
Once the sampling plan has been determined, it must be decided how the
Subject should be contacted: mail, telephone, personal or online interview.
Sampllng
procedure
l.e. sample
non-
probablllLy
sampllng
CuoLa
Sampllng






In our survey I have made use of the following contact methods i.e. Personal interview,
Telephone interview and Electronic

Step III: Collect the information
I collected the information over a period of 25 days from various sources i.e. customers located in
the catchment area of Dadri terminal, employees at Dadri and at the company itself so as to
understand the operations.

Step IV: Analyze the information

The data had been segregated manually and the analysis work has been done with the help of MS
Excel.
The data on export traffic of Dadri for the year 2007 has been analyzed on the basis of the
following parameters:-
Shippers
Shipping Line
Commodity
Region
Port of Loading
Stuffing mode
No. of Teus/Feus
Catchment Areas
On the basis of the questionnaire we
findings from the survey to find out why customers prefer Concor CFS/Private CFS for clearing
the cargo and Concor/Private rail operators for transportation.


ersonal
lnLervlew

made use of the following contact methods i.e. Personal interview,
Telephone interview and Electronic-mails
Step III: Collect the information
I collected the information over a period of 25 days from various sources i.e. customers located in
area of Dadri terminal, employees at Dadri and at the company itself so as to
Step IV: Analyze the information
The data had been segregated manually and the analysis work has been done with the help of MS
data on export traffic of Dadri for the year 2007 has been analyzed on the basis of the
On the basis of the questionnaire we tabulated the data, developed charts and extracted the
findings from the survey to find out why customers prefer Concor CFS/Private CFS for clearing
the cargo and Concor/Private rail operators for transportation.
ConLacL
meLhods
1elephone
lnLervlew
L-malls


made use of the following contact methods i.e. Personal interview,
I collected the information over a period of 25 days from various sources i.e. customers located in
area of Dadri terminal, employees at Dadri and at the company itself so as to
The data had been segregated manually and the analysis work has been done with the help of MS
data on export traffic of Dadri for the year 2007 has been analyzed on the basis of the
tabulated the data, developed charts and extracted the
findings from the survey to find out why customers prefer Concor CFS/Private CFS for clearing



RESULTS & FINDINGS
Total Export at Dadri = 39038 Teus for 7 months

A) Stuffing Mode


Clearance Mode
Teus Feus Total Teus
%Age
Share
7 Months Per Month 7 Months Per Month 7 Months Per Month
CFS 7,408 1,058 7,630 1,090 22,667 3,238 58%
FAC 7,265 1,038 4,316 617 15,896 2,271 41%
ICD 407 58 34 5 475 68 1%
Total 15,080 2,154 11,980 1,711 39,038 5,577
100
%

CFS - Indicates the cargo cleared from CFS, whether stuffed in CFS or in Factory

FAC -Cargo stuffed in factory but cleared from
ICD Dadri
ICD - Cargo stuffed in Concor CFS & also cleared from Concor
CFS.


Figure 20: Stuffing Mode wise export
38
41
1
ClS
lAC
lCu
6




B) Commodity

Commodity Total Teus % of Total
Food Items 2,152 38.6%
Textiles /Garments 630 11.3%
CD/DVD R/W Player 541 9.7%
H.H Effects 708 12.7%
Steel /Metal Items 545 9.8%
Machinery & Auto Parts 330 5.9%
Building Material 73 1.3%
Paper Products & BOPP Films 181 3.2%
Handicraft Items 168 3.0%
Electrical/Electronics 129 2.3%
Other Goods 120 2.2%
Total 5,577 100.0%
Table 11 Commodity wise export



Figure 21: Graph of Commodity wise export

38.6
11.3
9.7
12.7
9.8
3.9
1.3
3.2
3.0
2.3
2.2
lood lLems
1exLlles /CarmenLs
Cu/uvu 8/W layer
P.P LffecLs
SLeel /MeLal lLems
Machlnery & AuLo arLs
8ulldlng MaLerlal
aper roducLs & 8C lllms
PandlcrafL lLems
LlecLrlcal/LlecLronlcs
CLher Coods




Figure 21 a: Steel & Metal Items break-up Figure 21 b: Food Items break-up
C) Destination

Region
Teus Feus Total Teus
%Age
7 Months Per Month 7 Months Per Month 7 Months Per Month
Western
Europe
4,810 687 3,244 463 11,316 1,617 29.0%
Middle East 4,629 661 1,202 172 7,033 1,005 18.0%
North America 987 141 2,453 350 5,893 842 15.1%
Mediterranean 1,158 165 1,536 219 4,241 606 10.9%
South East Asia 197 28 1,017 145 2,232 319 5.7%
East Africa 833 119 405 58 1,643 235 4.2%
Indian Sub
Continent
448 64 469 67 1,387 198 3.6%
South America 187 27 324 46 1,015 145 2.6%
West Africa 205 29 320 46 845 121 2.2%
Far East 171 24 245 35 661 94 1.7%
Eastern Europe 281 40 345 49 971 139 2.5%
South Africa 187 27 107 15 403 58 1.0%
Australasia 137 20 109 16 355 51 0.9%
Others 850 121 203 29 1,043 149 2.7%
Total
15,08
0
2,154 11,979 1,711 39,038 5,577 100.0%
Table 12: Destination wise break-up

73
23
S1LLL & l1LMS
ML1AL & l1LMS
37
16
40
8lCL
SuCA8
8ullALC
MLA1




Figure 22: Destination wise break-up

D) Port of Loading
POL
Teus Feus Total Teus
%Age
Share
7 Months Per Month 7 Months Per Month 7 Months Per Month
NSCT 5551 793 4190 599 13931 1990 36
GTIL 3805 544 3653 522 11111 1587 28
JNPT 3089 441 3053 436 9195 1314 24
PPBR 328 47 963 138 2254 322 6
MDPT 2307 330 120 17 2547 364 7
Total 15080 2154 11979 1711 39038 5577 100
Table 13: Port of Loading wise break-up

Figure 23: Port of Loading wise break-up
29.0
18.0
13.1
10.9
3.7
4.2
3.6
2.6
2.2
1.7
2.3
1.0 0.9 2.7
WesLern Lurope
Mlddle LasL
norLh Amerlca
MedlLerranean
SouLh LasL Asla
LasL Afrlca
lndlan Sub ConLlnenL
SouLh Amerlca
WesL Afrlca
lar LasL
LasLern Lurope
36
28
24
6
6
nSC1
C1lL
!n1
88
Mu1



E) Type of container
Analysis of Concor CFS Cleared Cargo
Type of Cargo wise






Figure 24: Container wise break-up
Type of Cargo 20' 40' Total Teus
Dry 46% 54% 32380
Reefer 3% 97% 6658
Total 15,080 23958 39038
Table 14 types of containers

Figure 24: Container wise break-up
39
61
20'
40'( ln 1eus)
77.88
22.22
ury
8eefer
32380
6638
ury
8eefer
Equipment
Total Vol (
Teus)
% Share
20' 15,080 39%
40'( In Teus) 23,958 61%
Total 39,038 100%
Type of Cargo Teus % Share
Dry 12751 77.88%
Reefer 3620 22.22%
Total 16371 100.00%



F) Shipping Lines
Table 15 Shipping line wise data

Figure 25: Shipping Line wise break-up


18.7
9.9
8.4
17.4
4.7
4.6
4.6
2.9
2.8
2.7
23.3
MAl
AL
CMAC
MSC
CSAv
PLl
C8LS
MCL
SAl
AL8
CLhers
S/P Line
Teus Feus Total Teus
%Age
7 Months Per Month 7 Months Per Month 7 Months Per Month
MAI 848 121 3226 461 7300 1043 18.7%
APL 1395 199 1229 176 3853 550 9.9%
CMAG 565 81 1360 194 3285 469 8.4%
MSC 5254 751 760 109 6774 968 17.4%
CSAV 240 34 801 114 1842 263 4.7%
HLI 492 70 654 93 1800 257 4.6%
CRES 51 7 865 124 1781 254 4.6%
MOL 287 41 427 61 1141 163 2.9%
SAF 162 23 475 68 1112 159 2.8%
ALB 928 133 56 8 1040 149 2.7%
Others 4858 694 2125 304 9108 1301 23.3%
Total 15080 2154 11978 1711 39036 5577 1



Customer Profile Analysis
The profile of Some of the top customers at Dadri based on export per month is derived as
follows:
Ikea Trading Pvt. Ltd.


Moser Bare




Shipping Line Region Commodity STF Mode
S/H
Line
Total Region Total Commodity Total
STF
Mode
Total
MAI 355 Western Europe 371 Building Material 339 CFS 846
CMAG 216 North America 218 Electrical/Electronics 256 FAC 2
YMLI 77 Mediterranean 100 Food Items 186 ICD nil
HLI 58 Eastern Europe 66 H.H Effects 32

MSC 46 ISC 33 Handicraft Items 27

MOL 44 SEA 25 M/C & Auto Parts 8

APL 44 Others 35 Other Goods

Others 8

Steel/Metal Items

Total 848 Total 848 Total 408 Total 848
S/H Line Region Commodity STF Mode
S/H Line Total Region Total Commodity Total
STF
Mode
Total
CSAV 210 Western Europe 353 CD/DVD R/W Player 542 CFS nil
MSC 114 North America 72 H.H Effects 17 FAC 565
CMAG 80 ISC 57 Paper Products & Films 3 ICD nil
MOL 51 South America 21 Steel/Metal Items 1
ULA 24 Middle East 18 Others 2
SBMA 12 South Africa 14
Others 74 Others 30
Total 565 Total 565 Total 565 Total 565




Sun Star Overseas Ltd
Shipping Line Region Commodity STF Mode
S/H Line Total Region Total Commodity Total STF Mode Total
MSC 245 Western Europe 226 Food Items 260 CFS nil
HJS 8 Mediterranean 15 FAC 260
SSP 5 Others 19 ICD nil
Others 2
Total 259 Total 260 Total 260 Total 260

Bhushan Steel Pvt Ltd.
S/H Line Region Commodity STF Mode
S/H Line Total Region Total Commodity Total STF Mode Total
ALB 101 Middle East 229 Steel/Metal Items 257 CFS 255
IAL 73 South America 7 FAC 2
GOSP 46 East Africa 6 ICD nil
APL 6 Eastern Europe 6

EGI 6 West Africa 5

Others 25 Others 4

Total 257 Total 257 Total 257 Total 257

Hind Agro Industries Ltd.
S/H Line Region Commodity STF Mode
S/H Line Total Region Total Commodity Total STF Mode Total
CRES 120 SEA 108 Buffalo Meat 236 CFS 126
APL 75 Mediterranean 48 Steel/Metal Items 5 FAC 115
MAI 40 Middle East 39 ICD nil
Others 5 East Africa 22
Others 22
Total 240 Total 239 Total 241 Total 241








Siel Ltd.
S/H Line Region Commodity STF Mode
S/H Line Total Region Total Commodity Total STF Mode Total
MAI 48 Middle East 152 Food Items(sugar) 223 CFS 223
APL 35 East Africa 35 FAC nil
ESA 25 SEA 11 ICD nil
ALB 22 ISC 10
NYK 21 Others 13
IAL 18
Others 54
Total 223 Total 221 Total 223 Total 223


M.K Overseas Pvt. Ltd
S/H Line Region Commodity STF Mode
S/H Line Total Region Total Commodity Total
STF
Mode
Total
SAF 90 Mediterranean 137 Food Items 198 CFS 48
APL 46 Middle East 44 Others 1 FAC 150
MAI 45 SEA 8 ICD 2
CRES 9 East Efrica 4
Others 9 Others 6
Total 199 Total 199 Total 199 Total 200

KRBL Ltd.
S/H Line Region Commodity STF Mode
S/H
Line
Total Region Total Commodity Total STF Mode Total
APL 62 Middle East 122 Food Items 174 CFS 74
MXC 20 North America 37 Others 1 FAC 101
OSL 16 East Africa 8 ICD nil
OOCL 13 South America 7
MSC 10 Others 22
HFS 4
PCL 5
Others 66
Total 196 Total 196 Total 175 Total 175


PRIMARY DATA FINDINGS:
The following bar charts show the customers response in terms of ranking and rating to
various services at CFS and Rail operations. In case of ranking each bar represent the pe
breakup of customers to the various ranking. While in case of rating, the bar shows total sum of
the ratings given by the customers to that factor at Private vis
operations. Lower Score in satisfaction rating correspon
Customers importance ranking for CFS services:
The following bar chart depicts the importance of key factors at CFS to the customer. There
are total 7 factors on which customer had to rank.
Figure 26: percentage response to the ranks for the various factors

Rank Factors

1 Free days/ground rent
2 Value added services
3 Customer service
4 Custom clearance
5 Machine handling
6 Warehousing facilities
7 Container repair operations



PRIMARY DATA FINDINGS:-
The following bar charts show the customers response in terms of ranking and rating to
various services at CFS and Rail operations. In case of ranking each bar represent the pe
breakup of customers to the various ranking. While in case of rating, the bar shows total sum of
the ratings given by the customers to that factor at Private vis--vis Concor in rail and CFS
operations. Lower Score in satisfaction rating corresponds to higher satisfaction among customers
Customers importance ranking for CFS services:
The following bar chart depicts the importance of key factors at CFS to the customer. There
are total 7 factors on which customer had to rank.
percentage response to the ranks for the various factors
Rank Factors
Free days/ground rent
Value added services
Customer service
Custom clearance
Machine handling
Warehousing facilities
Container repair operations

The following bar charts show the customers response in terms of ranking and rating to
various services at CFS and Rail operations. In case of ranking each bar represent the percentage
breakup of customers to the various ranking. While in case of rating, the bar shows total sum of
vis Concor in rail and CFS
ds to higher satisfaction among customers
The following bar chart depicts the importance of key factors at CFS to the customer. There










Rank 1: Ground Rent/Free Days

As we can see from above analysis that for the first factor there are 45 % customer who
gave 1
st
rank among all the ranks. It means that ground rent/free days is the most important factor
amongst all of them.
In case of exports when a container is handed over to the CFS the shipper is given some
free days after which the ground rent is charged. Many a times the exporter wants to delay the rail
out activity due to various reasons such as increased custom duty, to catch some other vessel etc.
In case of imports when a container arrives at the CFS the shipper is given some free days
after which ground rent is charged. Often it happens that the shipper does not come to collect the
cargo the moment it arrives.
In all the above cases huge rent comes into picture thus making it of primary importance to
the company. It has been observed that Concor being a government body does not give any
waivers. Private players have an edge over Concor in this case.

Rank 2: Value Added Services

I observed that 41.67% of the shippers give a lot of importance to value-added services.
Value Added services encompass PDA Flexibility, Lift-on/Lift-off flexibility, margins/discounts
etc. Such services are very essential in any shippers business for the smooth functioning of their
operations. Customers always want something extra from their CFS operators which is where
the private players are so easily able to divert them to their business. For them value for money is
of primary importance.

Rank 3: Customer Service

In this era it is very important for any firm to be customer-oriented because customers are
the center of the business. In this competitive environment every firm should focus on how to
give excellent customer service to their customers resulting in their utmost satisfaction. Excellent
customer service would include regular updates, regular feedback from customers, timely
information, speedy redressal of customer problems/grievance handling etc. 41.67% customers
give Rank 4 to Customer Service

Rank 4: Custom Clearance

I found out that 33.33% customers give Rank 4 to custom clearance because they do not
face problems in getting their cargo cleared at both the CFS. To customers custom clearance
facilities do not make much difference because they are indifferent to it.





Rank 5: Machine Handling

33.33% customers give Rank 5 to machine handling which indicates that within the CFS
operations it is not that important.

Rank 6: Warehousing Facilities

Warehousing facilities in case of exports is not that important because m
factory stuffed. In case of imports bonded warehouse play an important role *
Around 37.50% customers have given Rank 6 to warehousing facilities.

Rank 7: Container Repair Facilities

I found that 45.83% customers gave
facilities are very rarely needed such as in cases of damage to the container while lifting or when
shipping lines themselves want their containers to be repaired or repair of any damage done to the
commodities

Customers satisfaction rating for CFS services:

Figure 27: Customers satisfaction rating for services at Private vis



33.33% customers give Rank 5 to machine handling which indicates that within the CFS
operations it is not that important.
Rank 6: Warehousing Facilities
Warehousing facilities in case of exports is not that important because m
factory stuffed. In case of imports bonded warehouse play an important role *
Around 37.50% customers have given Rank 6 to warehousing facilities.
Rank 7: Container Repair Facilities
I found that 45.83% customers gave Rank 7 to container repair operations because these
facilities are very rarely needed such as in cases of damage to the container while lifting or when
shipping lines themselves want their containers to be repaired or repair of any damage done to the
Customers satisfaction rating for CFS services:
Figure 27: Customers satisfaction rating for services at Private vis--vis Concor CFS

33.33% customers give Rank 5 to machine handling which indicates that within the CFS
Warehousing facilities in case of exports is not that important because most* of the cargo is
factory stuffed. In case of imports bonded warehouse play an important role *
Rank 7 to container repair operations because these
facilities are very rarely needed such as in cases of damage to the container while lifting or when
shipping lines themselves want their containers to be repaired or repair of any damage done to the

vis Concor CFS



Customers were asked to rate the services at both Concor & private CFS on a scale of 5 where the
numbers have the following significance.
1 = highly satisfied
2 = satisfied
3 = neither satisfied no dissatisfied
4 = dissatisfied
5 = very dissatisfied
As in the figure for Free days/ground rent there is so much difference in satisfaction level at
private CFS and Concor. Customers are highly satisfied at private CFS than Concor. As we
already know that this is the most important factor for customers so Concor should more focus on
this factor.
Custom clearance is almost same at both the CFS operators therefore satisfaction level is also
almost the same. We can still see slightly lower satisfaction with Concor mainly because of
bureaucracy in Concor, timing issues (operations start after 6 pm only which not in the case of
private CFS), slow processes at Concor etc.
Value added services and Customer grievance handling/customer services are again the matter of
concern for Concor because from the graph it is very clear that Concor is very poor service
provider in both the cases. Currently Concor is not providing any values added service and there
are not any concern peoples for customers query and problems.
In case of machine handling Concor is using contractors equipment whereas JVs have self
owned. Moreover most of the times there is machinery breakdown thus resulting into delay of
operations. Same reach stacker are being used in Concor for both operations; loading containers
on trains as well as CFS operations.
Warehousing facilities at both Concor and JVs are more or less the same
Container repair operations are again very poor at Concor as compared to private CFS mainly
due to red-tapism and bureaucracy.
Customers importance ranking for container rail services:
Rank Factor
1 Less delay
2 Frequency
3 Margins
4 Value added services
5 Stable schedules
6 Customer service



Figure 28: percentage response

Rank 1: Less Delay

41.7% customer say that less delay is the most important to them .This is because if the delay
is more then there are chances that the container may miss the vessel at the
heavy amount of port duty till the time it is shipped out on the next vessel. There is a cut
period before which the container should arrive at the port.

Rank 2: Frequency

54.2 % customers opt for frequency for trains as
are shipping their cargo very frequently want flexibility in railing out. They want to be able to rail
out their cargo as and when they want. Moreover the customer can also easily hold the containers
when required since he has the next train to depend on.

Rank 3: Margins

Customers can anytime be lured to a company if margins/discounts are given to them. 50%
customers give rank 3 to margins because some customers are very particular about clearing their
cargo at the private JVs and therefore will not compromise on quality at any cost. Whereas,
customers who are price-sensitive i.e. middle/lower segment customers who do not have high
volumes or high service expectations are ready to compromise on quality.
0.0
20.0
40.0
60.0
80.0
100.0
43.8
30.0

Figure 28: percentage response to the ranks for the various factors in rail operation
41.7% customer say that less delay is the most important to them .This is because if the delay
is more then there are chances that the container may miss the vessel at the
heavy amount of port duty till the time it is shipped out on the next vessel. There is a cut
period before which the container should arrive at the port.
54.2 % customers opt for frequency for trains as rank 2. This is so, because customers who
are shipping their cargo very frequently want flexibility in railing out. They want to be able to rail
out their cargo as and when they want. Moreover the customer can also easily hold the containers
since he has the next train to depend on.
Customers can anytime be lured to a company if margins/discounts are given to them. 50%
customers give rank 3 to margins because some customers are very particular about clearing their
go at the private JVs and therefore will not compromise on quality at any cost. Whereas,
sensitive i.e. middle/lower segment customers who do not have high
volumes or high service expectations are ready to compromise on quality.
41.7
37.3
30.0
43.8
34.2


to the ranks for the various factors in rail operation
41.7% customer say that less delay is the most important to them .This is because if the delay
is more then there are chances that the container may miss the vessel at the port thereby bearing
heavy amount of port duty till the time it is shipped out on the next vessel. There is a cut-off
rank 2. This is so, because customers who
are shipping their cargo very frequently want flexibility in railing out. They want to be able to rail
out their cargo as and when they want. Moreover the customer can also easily hold the containers
Customers can anytime be lured to a company if margins/discounts are given to them. 50%
customers give rank 3 to margins because some customers are very particular about clearing their
go at the private JVs and therefore will not compromise on quality at any cost. Whereas,
sensitive i.e. middle/lower segment customers who do not have high

34.2
6
3
4
3
2
1

Rank 4 & 5: Stable Schedules & Value added services

Stable schedule and value added services come at 4
schedule is matters for customer so that he can assure about the timings of the trains and he can
plan their export/import according to that schedule.

Rank 6:

At the last but not least customer care. This is not so much important for customer because once
the container rail out, rail operator not involved anymore for further operation but still its their
responsibility to give proper information to the shipper about the container.


Customers rating for services at Private Rail operator and Concor:
Figure 29: satisfaction rating for services at Private vis

From above analysis we can see that in case of Rail
operator in most of the cases.
In case of less delay customers are highly satisfied with Concors service because Concor have
more no of trains and they have support from indian railway
Customer service is better at private rail operator and customers are more satisfied with
this.private rail operator provide every information at appropriate time interval.

k 4 & 5: Stable Schedules & Value added services
Stable schedule and value added services come at 4
th
and 5
th
position respectively. Stable
schedule is matters for customer so that he can assure about the timings of the trains and he can
t/import according to that schedule.
At the last but not least customer care. This is not so much important for customer because once
the container rail out, rail operator not involved anymore for further operation but still its their
lity to give proper information to the shipper about the container.
Customers rating for services at Private Rail operator and Concor:
Figure 29: satisfaction rating for services at Private vis--vis Concor Rail Operations
see that in case of Rail operation Concor is better than

In case of less delay customers are highly satisfied with Concors service because Concor have
more no of trains and they have support from indian railway.
Customer service is better at private rail operator and customers are more satisfied with
this.private rail operator provide every information at appropriate time interval.

position respectively. Stable
schedule is matters for customer so that he can assure about the timings of the trains and he can
At the last but not least customer care. This is not so much important for customer because once
the container rail out, rail operator not involved anymore for further operation but still its their
lity to give proper information to the shipper about the container.

vis Concor Rail Operations
operation Concor is better than private rail
In case of less delay customers are highly satisfied with Concors service because Concor have
Customer service is better at private rail operator and customers are more satisfied with
this.private rail operator provide every information at appropriate time interval.



Again in case of stable schedule and frequency concor is better service provider than private rail
operator this is because they have more no of trains and being a government body they have some
fixed schedule by which they have to rail out the containers.
Value added service much satisfactory at private rail operator because they are more flexible then
Concor and more customer oriented.
Customers Point of View:

Bhushan Steel: In private CFS they get 1 month of Free Days whereas it is only 7 days on
paper. Whereas in Concor they get only 24hours.

Moser Baer: They get 21 free days in private CFS. Moser Baer also wants more
margins/discounts in rail freight.

Mawana Sugar and Simbhaoli Sugar : they said that Concor is not Customer Oriented.
And not flexible with any customer.for them Ground rent and free days are most
important.

L.G. Electronics: they are also price sensitive. They were also looking for margin and
discounts.

ZIM Shipping Line: one of their customer gets some free days even after hand over the
containers and private CFS doesnt charge them for holding the containers.

Malhotra Rubbers Ltd.: they pays less rail freight to private rail operators. But because
of delay in trains they missed the vessel at the port or they had to pay more charges to
upload their container on that vessel because of delay.

Kajaria Ceramics Ltd: According to them it depends on time means at which point of
time which service is needed. Like if your cargo is factory stuffed then you dont need
warehouse facility.










LIMITATIONS

1) Secondary data for only export traffic at Dadri was made available to me therefore imports
could not be covered.
2) It was very difficult to get appointments from the logistics managers in the companies;
therefore I have based my research on convenience sampling.
3) Many a times it was very difficult to conduct depth interviews since the logistics managers did
not have much time to spare, therefore not all aspects could be covered.
4) Lots of data was not provided to me since the data was too confidential to be shared.
5) Any recommendations regarding CFS operations is not possible since HTPL relies on Concor
for its container handling; therefore these operations are not under HTPLs control and
Concor being a government body is not that open to changes.
6) It was very difficult to extract information from competitors therefore this analysis could not
be done very properly.
7) It was very difficult to visit the customers since their offices are located at great distances
from each other i.e. all over NCR








7

RECOMMENDATIONS
1. Since HTPL is in its growth stage therefore it should focus on market penetration strategy so
as to increase its customer base. Profit maximization should after that be a matter of concern.
2. To achieve a sustainable growth the company should target
until the time it establishes its own infrastructure. This is so, because high end customers want
high quality CFS services like cheap ground rent, more number of free days, excellent
customer service and more flexibility which is not in the han
Concor for container handling. Moreover HTPL cannot influence Concor to improve its
services since being a government body it is not open to changes. Whereas, middle/lower
segment customers being price
3. According to ABC Analysis the company should prioritize its customers.
Class A customers i.e. those 20%
who get 80% of the business to
HTPL should be given discounts,
swapping facility for fast rail out,
and priority to their containers,
and maintain key account
relationships with them.
Class B and C customers should
be given

4. The company should become more customer
services so as to provide them with regular updates by mails/sms, speedy redressal of their problems,
and take regular feedback from them.
5. If HTPL does not want to give consistent discount to a shipper then it can enter into a contingency
contract with them. The deal establishes that if HTPL falls short of some conta
them from the shipper and give a discount on them.
6. Dadri has huge volumes of reefer cargo (11500 Teus/year) being exported all of which is
railed out on Concor (2-3 trains per week) thus leading to huge pendency of containers.
HTPL should therefore venture into movement of reefer trains.

8

ECOMMENDATIONS
Since HTPL is in its growth stage therefore it should focus on market penetration strategy so
as to increase its customer base. Profit maximization should after that be a matter of concern.
growth the company should target middle/lower segment
until the time it establishes its own infrastructure. This is so, because high end customers want
high quality CFS services like cheap ground rent, more number of free days, excellent
customer service and more flexibility which is not in the hands of HTPL since it relies on
Concor for container handling. Moreover HTPL cannot influence Concor to improve its
services since being a government body it is not open to changes. Whereas, middle/lower
segment customers being price-sensitive do not have such demands.
According to ABC Analysis the company should prioritize its customers.
customers i.e. those 20%
who get 80% of the business to
HTPL should be given discounts,
swapping facility for fast rail out,
and priority to their containers,
and maintain key account
relationships with them.
customers should
The company should become more customer -oriented, by giving them excellent customer care
services so as to provide them with regular updates by mails/sms, speedy redressal of their problems,
regular feedback from them. try to imbibe in them a sense of brand loyalty.
If HTPL does not want to give consistent discount to a shipper then it can enter into a contingency
contract with them. The deal establishes that if HTPL falls short of some conta
them from the shipper and give a discount on them.
Dadri has huge volumes of reefer cargo (11500 Teus/year) being exported all of which is
3 trains per week) thus leading to huge pendency of containers.
HTPL should therefore venture into movement of reefer trains.


ECOMMENDATIONS
Since HTPL is in its growth stage therefore it should focus on market penetration strategy so
as to increase its customer base. Profit maximization should after that be a matter of concern.
middle/lower segment customers
until the time it establishes its own infrastructure. This is so, because high end customers want
high quality CFS services like cheap ground rent, more number of free days, excellent
ds of HTPL since it relies on
Concor for container handling. Moreover HTPL cannot influence Concor to improve its
services since being a government body it is not open to changes. Whereas, middle/lower

oriented, by giving them excellent customer care
services so as to provide them with regular updates by mails/sms, speedy redressal of their problems,
try to imbibe in them a sense of brand loyalty.
If HTPL does not want to give consistent discount to a shipper then it can enter into a contingency
contract with them. The deal establishes that if HTPL falls short of some containers then it can demand
Dadri has huge volumes of reefer cargo (11500 Teus/year) being exported all of which is
3 trains per week) thus leading to huge pendency of containers.



Appendix- I


QUESTIONNAIRE FOR ICD DADRI CUSTOMERS

Q1) Name of the company:

Q2) Total Export/Import per month: Teus

Q3) What major shipping lines does the company use? Specify the % of each based on Teus.




Q4) what is the stuffing mode? 1) Factory Stuffing 2) CFS Stuffing

Q5) Which CFS operators has the company chosen? (Present/past)
Specify the % of each based on Teus.

1) CONCOR
2) Private players: - a) Albatross b) CMA CGM c) StarTrack d) TTPL

Q6) Rate the following services on a scale of 1-5 (1 being the highest):

CONCOR CFS Private CFS
1) Rates/ground rent
2) Custom clearance
3) Warehousing facilities
4) Customer grievance handling/customer service
5) Machine handling
6) Container repair operations
7) Value added services


Q7) Rank the following according to importance. (1 being the most important)

RANK
1) Rates/ground rent
2) Custom clearance
3) Warehousing facilities
4) Customer grievance handling/customer service
5) Machine handling
6) Container repair operations



7) Value added services


Q9) which of the rail operators has the company chosen? (Present/past).
Specify % of each as per Teus.

1) CONCOR %
2) Private rail operators: - 1) DP World % 2) Hind Terminals Pvt. Ltd. %

Q10) Rate the following services on a scale of 1-5 (I being the highest):

1. Less Delay
2. Customer Service
3. Stable schedules
4. Frequency
5. Value added services

Q11) Rank the following according to importance. (1 being the most important)

RANK
1. Margins
2. Less Delay
3. Customer Service
4. Stable schedules
5. Frequency
6. Value added services

Q12) Any suggestions for private rail operators.





















Appendix- II

Bibliography


Marketing Research Naresh Malhotra
Marketing Research Rajendra Nargundkar
Statistics for Business and Economics Anderson Sweeny Williams
Statistics for Business Levin & Rubin
EXIM-India
The Link
http://www.albatrosslogistix.com
http://www.hindterminals.com
http://www.concorindia.com
http://www.tridentterminals.com
http://www.startrackterminals.com
http://www.cma-cgm.com