The number of Gati Shakti cargo terminals (GCT) are set to go up from the present 124 to 500 in five years according to Union Railway Minister Ashwini Vaishnaw. This follows the recent Indian Railways’ (IR) policy decision regarding 52 reforms in 52 weeks. After four months of stakeholder consultations based on three years of experience, a substantially improved reform has been approved, Vaishnaw added.
The Union Minister said the reform builds upon the GCT Policy of 2022, which significantly simplified the cargo terminal approval process. Work that earlier took six years began getting completed in approximately three months, and approvals for engineering drawings, signalling plans and electrical plans were streamlined.
Benefits
About ₹30,000 crore in additional revenue over a three-year period through enhanced cargo movement is estimated.
For example, cement transportation reform launched in November–December resulted in bulk cement tonnage reaching about 95,000 tonnes in January 2026 as against compared to around 40,000 tonnes in January 2025. Also, cost of cement has reduced in Mizoram and J&K by upto 30 per cent due to bulk cement transportation.
Features of new GCT policy
* The most significant addition is the integration of processing within cargo terminals, transforming them into “cargo plus processing” hubs. For instance, cement clinker can be transported to the GCT and ground into cement within the terminal, followed by bagging or dispatch through Ready-Mix Concrete vehicles.
Similarly, food grain processing, stuffing and destuffing, and other value addition activities can now occur within terminal premises. This eliminates the need to process material elsewhere before bringing it to the terminal and attracts additional cargo traffic to IR.
*Many underutilized goods sheds will be developed as GCTs and cargo facilities . Legacy sidings developed under earlier policies can migrate to the simplified GCT framework.
*For short connecting stretches between terminals and main lines, where private operators faced difficulty maintaining tracks and electrical systems due to high equipment costs, IR will now optionally undertake maintenance on a payment basis, improving safety and clarifying maintenance responsibility.
*The reform permits expanded common user facilities including Y-connections and rail-over-rail structures.
* Multi-GCT connectivity has been formalized so that if a new terminal is developed along an existing stretch, connectivity cannot be denied, thereby preventing disputes that earlier led to litigation.
* A dispute prevention framework has been introduced whereby monthly or milestone-based joint meetings between terminal developers and railway officials ( with powers delegated to DRM) will result in joint notes and “no dispute certificates,” reducing the need for arbitration or court cases.
*Contract tenure for GCTs and cargo-related facilities has been extended from 35 years to 50 years, enabling long-term investments and ecosystem development.
*Standard layouts have been incorporated into policy , and applicants adopting standard designs will receive automatic approvals, similar to the telecom reform model where standardization reduced approval timelines drastically.
