The Indian Railways is one of the largest developed networks in the world. The Indian Railways—premier transport and logistics organisation of the country—is also one of the largest rail networks in Asia.

It runs through the country covering over 64,015 route km, carrying 18 million passengers a day on 17,000 trains, according to the Railway Budget 2010-11.

According to the Department of Industrial Policy and Promotion (DIPP), the foreign direct investment (FDI) inflow into railways related components has been US$ 109.56 million between April 2000 and March 2010.

Further, the total approximate earnings of Indian Railways on originating basis during April 2010 were US$ 1.62 billion , an increase of 9.69 per cent over US$ 1.5 billion earned during the same period last year. The total goods earnings have gone up from US$ 1 billion during April 2009 to US$ 1.1 billion during April 2010, showing an increase of 9.57 per cent. The total passenger revenue earnings during April 2010 were US$ 459 million compared to US$ 411.6 million during the same period last year, registering an increase of 11.49 per cent. The revenue earnings from other coaching amounted to US$ 45 million during April 2010 compared to US$ 43.71 million during the same period last year, showing an increase of 2.59 per cent, as per a recent release by PIB.

The Railways have generated US$ 13 billion of revenue earnings from commodity-wise freight traffic during financial year 2009-10 as compared to US$ 12 billion during the corresponding period last year, registering an increase of 8.39 per cent. Railways carried 887.99 MT of freight traffic during April 2009-March 2010 as compared to 833.31 MT carried during the corresponding period last year, registering an increase of 6.56 per cent according to a release by PIB dated 19April, 2010.

In another PIB release, the total approximate earnings of Indian Railways on originating basis during the financial year 2009-10 were US$ 19.6 billion compared to US$ 18.14 billion during fiscal 2008-09, registering an increase of 7.95 per cent. The total goods earnings have gone up from US$ 12.23 billion during the financial year 2008-09 to US$ 13.2 billion during 2009-10, registering an increase of 7.63 per cent. The total passenger revenue earnings during the financial year 2009-10 were US$ 5.37 billion compared to US$ 4.97 billion during fiscal 2008-09, registering an increase of 8.07 per cent.

Government Initiatives

In the Union Railway Budget for 2010-11, presented on February 24, 2010, the Railways Minister highlighted the following:

• 117 new train projects to be launched
• 28 passenger trains and 52 long distance express trains to be introduced
• Frequency of 12 trains to be increased
• Women RPF personnel for the security of women passengers
• Double-decker coaches to be introduced on pilot basis
• Electrification of 1,000 km by 2011
• 94 stations to be upgraded to Adarsh Stations
• US$ 8.9 billion outlay proposed
• US$ 281.3 million to improve passenger amenities
• Special Task Force to clear investment proposals within 100 days
• Multi-level parking complexes through public private partnership (PPP) route
• Plan for high-speed rail corridor by National High Speed Rail Authority
• Master plan for the Northeast region
• Private operators allowed to run special freight trains
• 25,000 km of rail lines to be completed by 2020
• Setting up of dedicated freight and passenger corridors