DOT presses ahea with railfreight sa
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by Nicky Clarke
• The bulk of British Rail's profitable freight operation is to be sold in three regional sectors as part of the Government's plans to privatise BR's freight sector.
But the European services which will be operated by Railfreight Distribution (RID) through the Channel Tunnel will remain under state ownership "until they are established".
The Contract Services division of RfD, carrying bulk food, drink, and chemicals is on line to make an operating profit of up to Dm this year: it will be merged with Trainload Freight, BR's industrial bulk freight division, which made £67.5m in 1991/92.
From next April operators will be allowed to run their own trains as part of BR's "open access" policy; by that time all three companies are due to be up and running. They will be privatised in 1995.
How they will be unclear, but Transport Sc John MacGregor says hi well see some manageme out" bids.
Freightliner, the loss inland container n-anspo sion, is to "improve efficiet reduce costs". It currently tractors and 800 trailer DOT is inviting proposals to develop the business a mote competition—it will the division's future by tht the year.
Rail Express Systems, runs the trains on which t Office sorts its own letters, sold off as soon as possibk MacGregor describes t posals as "the best ho increasing railfreight voila He stresses that maxi Government revenue frc sale of railfreight is "not mary objective".