Railways cargo-loading up 2% over last year; revenue up 3%

NEW DELHI: Indian Railways carried 122.19 million tonne of freight in March, a jump of 24% year-on-year, indicating a recovery in economic activities after the disruptions caused by covid-19.

Revenue from freight also grew 24% on year in March to Rs12,137.22 crore, as per official data.

The national transporter has been trying to augment its freight revenue, by working towards simplifying its freight policy, rationalising rates, and increasing the speed of goods trains, and by setting up business development units. The steps are in line with Indian Railways’ aim to increase the modal share of its freight business to 45% over the next ten years from 27% now, as per its National Rail Plan, 2030.

For FY21, the railways’ freight loading grew 2% to 1,224.45 million tonne, while and revenue expanded 3% to ₹1.16 trillion.

According to budget estimates, Indian Railways was estimated to earn Rs1.24 trillion from freight this fiscal. The target for FY22 is Rs1.38 trillion. Revenue from freight segment was at ₹1.13 trillion in 2019-20.

Freight loading and revenue has been rising gradually since August last year, after a sharp drop in the fiscal first quarter due to the nationwide lockdown imposed to curb the spread of covid-19.

Source: Mint