Headquarters
The Energy and Resources Institute (TERI)
Darbari Seth Block, Core 6C,
India Habitat Centre, Lodhi Road,
New Delhi - 110 003, India
The share of Indian Railways in domestic freight transport has been declining over time, from 85% in 1951 to less than 30% in 2022. However, Indian Railways has set loading targets of 3,000 million tonnes by 2027 and 3,600 MT by 2030–31, to achieve 45% of freight share by 2030–31. This article analyses the operational characteristics of Indian Railways and identifi es several issues. Sustained dependence on bulk commodities, mainly coal, iron ore, steel, and cement for revenue generation may signifi cantly impact profi tability in the long run. Establishing the role of non-price factors in the declining share of railways in domestic freight transport, the study indicates that the freight-loading targets are highly ambitious and require a complete overhaul of current marketing and revenue policies.