Business
Cargoserv Shipping partners Prima Ceylon & onboards Nestlé Lanka for landmark rail logistics initiative
Cargoserv Shipping Ltd., a subsidiary of the Ceyline Group, has partnered with Prima Ceylon to introduce Sri Lanka’s first comprehensive multi-modal rail logistics solution. This strategic collaboration aims to revolutionize supply chain logistics by leveraging rail-based reverse logistics, significantly reducing environmental impact and enhancing efficiency.
This initiative has already gained momentum, with Nestlé Lanka Ltd. becoming the first client to adopt the newly established rail logistics network for its transportation needs. The company has commenced operations, dispatching its first container shipments to Trincomalee, Batticaloa, Kalmunai, Vavuniya, Kilinochchi, and Jaffna. Cargoserv has successfully facilitated the movement of over 400 twenty-foot containers from the east to the north, with a capacity of 24 containers per rail movement.
The reliability of this rail solution has been rigorously tested since January 2021 with Prima Group, ensuring seamless and uninterrupted cargo transport. Rail logistics offers multiple strategic advantages, including lower carbon emissions, cost efficiency for bulk transport, and reduced dependency on road transport, which mitigates congestion and enhances road safety. Unlike traditional trucking, rail schedules remain predictable and unaffected by road traffic, ensuring timely deliveries.