One useful takeaway
- Freight accounts for over 65% of Indian Railways' earnings, cross-subsidising passenger travel, but rail is losing market share to roads due to congestion.
ARTICLE PREVIEW
Gist The Union Cabinet recently approved major multitracking projects to expand the capacity of Indian Railways' High-Density Networks HDNs . By adding third and fourth railway lines to heavily congested routes, the government aims to physically separate passenger and freight traffic, thereby reducing transit times and lowering overall logistics costs. For a UPSC aspirant, this development is a critical case study in infrastructure management, highlighting the systemic bottlenecks that currently force freight traffic onto roads and the structural interventions required to achieve the national target of 3,000 million tonnes of rail-freight loading by 2030. Background Indian Railways IR operates on a financial model where freight transportation revenues—which account for over 65% of total earnings —are utilised to cross-subsidise the cost of passenger travel. Despite rail transport being cheaper and more environmentally sustainable than road transport, the rapid expansion of National Highways and persistent railway congestion have led to the Railways losing its freight market share to the road sector. The core of India's railway traffic moves along High-Density Networks HDNs , which are specific passenger-freight corridors currently running far beyond…
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