The government has accelerated the stake sale procedure for Container Corporation of India Limited in a major development, as the greatest obstacle of railway land leasing percentage has been cleared. The railway land leasing percentage issue is expected to be resolved, according to sources, as the firm is now ready to lower the land lease rate to 3% from 6%. A Cabinet note on this is expected soon and the Cabinet can take a decision on it at the earliest. The government intends to sell its stake in the company along with giving up management control.
The discussions are ongoing to bring the lease percentage at 3 per cent, as stakeholders are of the view that the divestment would be fruitful only when the percentage is brought down to 3 per cent. It has been one of the major reasons why the divestment of CONCOR was unable to happen. The land lease rate will have an important role to play in Government’s Gati Shakti plans. The discussions are on between the Ministry of Railways, DIPAM, and other ministries.
