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Railways and BPCL Sign MoU to Develop Gati Shakti Cargo Terminal in Jammu

April 14, 2026
Railways and BPCL Sign MoU to Develop Gati Shakti Cargo Terminal in Jammu

Indian Railways has signed a Memorandum of Understanding (MoU) with Bharat Petroleum Corporation Limited (BPCL) to develop a Gati Shakti Multi-Modal Cargo Terminal (GCT) at Bajalta, on the outskirts of Jammu, aimed at strengthening freight logistics and regional energy supply.

The agreement was formalised between officials of the Jammu Division of Railways and BPCL, marking a significant step toward enhancing rail-based transportation of petroleum products under the Government’s PM Gati Shakti National Master Plan.

The upcoming terminal will play a crucial role in streamlining the movement of fuel supplies, ensuring more efficient and reliable logistics across Jammu & Kashmir and Ladakh, regions that are strategically important and often face supply challenges.

In terms of infrastructure, the facility will have a storage capacity of approximately 1,09,225 kilolitres and will be capable of handling two rakes per day, translating into a monthly throughput of nearly 1,62,000 metric tonnes of petroleum products.

The terminal will utilise modern tank wagons and advanced automation systems, along with integrated rail-road connectivity, making it a high-efficiency logistics hub. The project is expected to become operational by the end of the month, indicating a fast-track implementation approach.

Officials highlighted that shifting petroleum transport from road to rail will significantly reduce tanker traffic on Jammu’s roads, easing congestion while also delivering environmental benefits such as lower carbon emissions and improved safety standards.

Additionally, the project is expected to reduce logistics costs, enhance supply chain efficiency, and generate employment opportunities, while strengthening coordination between public sector enterprises and the railway network.

Overall, the development of this Gati Shakti cargo terminal represents a key milestone in building a robust, multimodal logistics ecosystem, reinforcing India’s push toward integrated infrastructure and efficient freight movement.

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