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.

Industry Leaders Comment on the Milestone Collaboration

Chathura Lakindu, Group Managing Director at Ceyline Group, stated, “We are proud to be part of this transformative partnership, setting a new benchmark in sustainable logistics. By integrating rail transport into supply chain operations, we are enhancing efficiency while promoting eco-friendly solutions.”

Prabath Karunaratne, General Manager of Cargoserv Shipping Ltd., added, “As we inspire sustainable logistics in Sri Lanka, we invite Sri Lankan businesses to join us in reducing the carbon footprint of their operations. This initiative is a step towards making Sri Lankas logistic network more greener & cost efficient"

Dharshana de Silva, Deputy General Manager of Prima, remarked, “By shifting cargo from road to rail, Prima has eliminated approximately 2 million kilometers of truck movement annually, significantly easing congestion and reducing fuel consumption. We are delighted to welcome Nestlé into our backhauling initiative and commend Cargoserv for making rail freight a reality alongside Sri Lanka Railways.”

Kanchana Fernando, Director Supply Chain at Nestlé Lanka, commented, “This partnership aligns with our sustainability goals by reducing emissions while optimizing our distribution network. We are excited to explore alternative transport solutions that benefit both our business and the environment.”

Image Caption : From left- Kavinda Jayathilake Asst.Manager Logistics Prima Ceylon, Dharshana de Silva Deputy GM Prima, Chathura Lakindu Group MD Ceyline Group, Prabath Karunaratne GM Cargoserv, Manelka Finance Manager Cargoserv