HYDERABAD: The Telangana State Road Transport Corporation (TGSRTC) has decided to hand over its cargo service operations to a private partner.
Since its launch in 2020, the cargo service has proved profitable for the corporation with a turnover of Rs 300 crore and Rs 100 crore profit. In 2024-25 alone, the RTC earned Rs 30 crore profit through its cargo services.
According to officials, the decision was taken to reduce the operational and administrative burden on the corporation. As part of the agreement, the selected bidder will pay Rs 3 crore per month to TGSRTC for operating the cargo services.
According to the officials, the tender process began in late August, and a Letter of Intent (LoI) has been issued. The private operator is expected to begin operations within the next few weeks.
TGSRTC Cargo, launched in 2020, gained popularity for its parcel delivery network across Telangana as well as neighbouring states.
Speaking to TNIE, TGSRTC Cargo in-charge Sridhar said that around 250 conductors are currently working in the cargo division. “With the new operational arrangement, these conductors will be reassigned to regular TGSRTC passenger services,” he said.