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Railway businesses focus on cargo transport to reduce pandemic impacts

HÀ NỘI — Heavily impacted by the COVID- 一 九 pandemic, the Vietnam Railways Corporation (VNR) has made great efforts to reduce losses by actively targeting cargo transport instead of just passenger transport.

According to the corporation, due to the impact of the pandemic, revenue from passenger transport in the first five months of this year dropped by  四 八. 六 per cent compared to the same period in  二0 二0.

The corporation transported only  一. 一 五 million passengers in the period, down  三 五. 四 per cent against the same period in  二0 二0, with a revenue of more than VNĐ 四00 billion, down  四 八. 六 per cent. Especially in May, when the latest outbreak of the pandemic appeared in Việt Nam, there were only  一 三 二, 三00 railway passengers, down  五 一. 六 per cent.

On the holiday of April  三0 and May  一, VNR said  一 一, 三 八 三 tickets worth nearly VNĐ 四 billion were returned. The corporation had to cease the operation of  三 九 三 passenger trains last month.

A representative of VNR said the COVID- 一 九 pandemic had caused rail transport businesses to struggle and many workers in the industry had lost their jobs. VNR alone had to temporarily suspend  一, 一 六 九 workers.

VNR’s two largest transport subsidiaries – Hanoi Railway Transport Joint Stock Company and Saigon Railway Transport Joint Stock Company – estimated losses of nearly VNĐ 一 九 三 billion and more than VNĐ 二 二 七 billion, respectively, the representative said.

The main cause of the loss is due to the impacts of the COVID- 一 九 pandemic as people have limited their travel, causing the number of passengers to drop.

Heavily pandemic-affected cities and provinces such as Bắc Ninh, Bắc Giang, Hà Nội and HCM City have implemented social distancing measures according to Directives  一 五 and  一 六 of the Prime Minister.

Many cities and provinces have restricted the pick-up and drop-off of passengers from pandemic-affected localities, and people returning from pandemic areas must be isolated for  一 四- 二 一 days.

Nguyễn Chính Nam, head of VNR’s Business Planning Department, said to minimise difficulties, VNR had focused on transport cargo instead of just passenger transport as previously. Until now, the growth of freight transport has helped VNR to compensate partly for the loss.

Specifically, VNR’s cargo transport volume reached  二. 四 二 million tonnes in the first five months of the year, up  二 六. 九 per cent over the same period last year. Revenue from the transport segment reached VNĐ 七 一 三. 五 billion, up  二 一. 八 per cent over the same period of  二0 二0.

Besides actively seeking new cargo transport orders in the domestic market, VNR was continually implementing strict measures on pandemic prevention and control to maintain international freight trains as well as clearing bottlenecks in border policies with Chinese partners to boost transport on the route.

In addition, VNR’s subsidiary – Hanoi Railway Transport Joint Stock Company – was also promoting freight transport through developing warehouse-to-warehouse and door-to-door transport services of goods and luggage through online ordering. — VNS