New Delhi : With an aim to boost economic development around the proposed multimodal terminal at Varanasi, the government is planning to develop a “freight village” in the city, the Lok Sabha was told on Thursday.

The freight village to be developed by the Inland Waterways Authority of India (IWAI) would reduce logistics cost in the eastern transport corridor and its influence zone, Minister of State for Shipping Pon Radhakrishnan said in a written reply.

He said the project envisages establishment of multimodal logistics hub in Varanasi to promote the use of waterway transport on the river Ganga between Haldia and Varanasi and of rail transport on Eastern Dedicated Freight Corridor (EDFC) in the northern direction.

This will facilitate movement of freight from road to water and rail, he explained.

“As per present estimates, jobs at 3,600 direct work places and additional jobs at indirect work places, with new and specialist logistic skills, are expected to be generated in and around Varanasi,” the Minister said.

—IANS