Key Approval Details

  • Approval Date: 10 September 2026
  • Issuing Authority: Ministry of Finance, Department of Revenue, Central Board of Indirect Taxes and Customs (CBIC)
  • Approval Type: Letter of Intent for setting up Inland Container Depot (ICD)
  • Location: Shivlakha, District Kutch, Gujarat
  • Purpose: Handling Import/Export cargo
  • Basis of Approval: Consideration by Inter-Ministerial Committee (IMC) at meeting held on 25 August 2026

Integrated Platform Components

The proposed ICD forms part of the Company's broader integrated rail, logistics and manufacturing platform at Shivlakha comprising:

1. Inland Container Depot (ICD): To be developed in accordance with applicable Customs laws, regulations and CBIC guidelines

2. Gati Shakti Cargo Terminal: Commissioned by subsidiary KMT Engineering Private Limited at Shivlakha Station (KEGS), Ahmedabad Division, Western Railway, providing direct factory-linked rail connectivity

3. Container Manufacturing: Established facility with initial capacity of approximately 10,000 TEUs per annum

4. Wagon Manufacturing: Facility substantially ready with estimated capacity of 2,400 wagons per annum, expected to commence operations soon

Strategic Significance

The combination of Manufacturing → Rail Connectivity → ICD / Logistics → Port Connectivity creates a differentiated factory-to-port integrated ecosystem, enabling participation across multiple supply chain stages.

Growth Outlook and Financial Targets

  • Company transitioning from predominantly manufacturing-led business towards diversified rail, manufacturing and logistics platform
  • Long-term revenue ambition of approximately ₹4,000–5,000 crore in coming years
  • Subject to market demand, execution, capacity utilisation, regulatory approvals, government policies and other relevant factors

Regulatory Conditions and Requirements

The Letter of Intent is subject to following conditions:

  • Operationalize facility within one year from date of issue (10.09.2026)
  • Submit monthly progress report to jurisdictional Commissioner of Customs
  • Strict adherence to Handling of Cargo in Customs Areas Regulations, 2009 and Customs Act, 1962
  • Compliance with CBIC's Circular No. 50/2020-Customs dated 05.11.2020 guidelines
  • Installation of RFID scanners/readers at entry and exit gates
  • Integration of Logistics Data Bank with E-trade system for real-time container tracking
  • Subject to policy changes concerning ICDs/CFSs/AFSs from time to time
  • Subject to review/inspection by CBIC
  • Approval subject to cancellation for violation of Customs and other laws

Next Steps

After infrastructure development, company must apply to CBIC for:

  • Notification of facility as ICD under Section 7 of Customs Act, 1962
  • Notifications under section 8 of Customs Act 1962 for approving landing place and specifying limits of Customs area
  • Declaration as "Custodian" under Section 45(1) of Customs Act, 1962

Forward-Looking Statements

All statements regarding future opportunities, revenue potential and business growth are forward-looking and subject to risks and uncertainties. Actual results may differ materially.