Kolhapur, Aug 2: Maharashtra non-conventional energy minister Vinay Kore has said a proposal for a new rail route, connecting Warnanagar with Karad, has been submitted to the state government.
Addressing a press conference here last evening, Mr Kore said that this new 55 km rail route will be completed within a period of three years.
Infrastructure Leasing and Finance Services Limited (ILFS), a consultant company, on behalf of the Warna Industries presented the report on feasibility of the rail route to the government earlier this week, Mr Kore said.
For the Rs 250 crore worth project, Union Government's export promotion department and sugar factories in adjoining areas will contribute their share, besides loans from financial institutions, he said.
This new route will reduce the distance between the two towns by 100 km, from the existing 150 km on the current route via Kolhapur-Miraj-Sangli-Karad, he said adding that this route will help to reduce the cost of transport.
After completion of this project, transport cost of sugar and other goods will reduce, which will enable sugar factories to pay better price to the sugarcane farmers, he said. The state government will forward the proposal to Union Railway Ministry for further necessary steps.