Indian Railways has emerged as the world’s second-largest freight carrier, driven by sustained expansion in capacity and long-term network upgrades. Freight volumes have risen from 1,233 million tonnes in 2020–21 to a projected 1,617 million tonnes in 2024–25, continuing the upward trajectory seen over the past four years.
This growth comes even as operational expenses have climbed. Input costs, from energy to maintenance, have increased steadily, yet freight tariffs have remained unchanged since 2018. Passenger fares also saw only a marginal adjustment this year, with rates raised for the first time in five years by as little as half a paisa to two paise per kilometre across different classes.
To support higher freight demand, Indian Railways has invested heavily in modernising its infrastructure. New lines, track doubling and capacity enhancements across key corridors have helped ease congestion and improve turnaround times. The network has also undergone one of the fastest electrification drives globally, with 99.1 percent of the Broad Gauge system now electrified, reducing fuel dependence and emissions.
Alongside infrastructure upgrades, the Railways has focused on expanding its rolling stock. Nearly two lakh new wagons and more than 10,000 locomotives have been added in recent years, strengthening its ability to handle bulk commodities, automobiles, containers and other high-volume cargo.
These measures align with broader government plans to raise rail’s share in India’s freight movement, offering industry a faster, more reliable and more sustainable logistics option.
