New Delhi: The government on Wednesday approved the merger of Central Railside Warehouse Company Limited with state-owned Central Warehousing Corporation.
The proposal to this effect was approved in the meeting of the Union Cabinet chaired by Prime Minister Narendra Modi here today.
The merger of both the companies is expected to result in efficiency, maximum capacity utilization, transparency, capital inflow into Railside Warehousing and reduction in employment generation management expenditure of Railside Warehouse Complex. There will be a savings of at least Rs 5 crore on account of reduction in corporate office rent, salary of employees and other administrative costs. The merger will facilitate setting up of at least 50 more railside warehouses near goods-shed locations.
Apart from this, the availability of additional space for storage of cement, fertilisers, sugar, salt and soda etc. will increase. This is likely to create employment opportunities equivalent to 36,500 man-days for skilled workers and 9,12,500 man-days for unskilled workers. The merger process is expected to be completed within eight months.