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Date: 2026-02-04 Category: Not Applicable State: Union Government Country: India

Parliament Question: Expansion of Freight Logistics and Regional Connectivity

Issued by RAILWAYS · Not Applicable

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Executive Summary & Key Takeaways

**Executive Summary** This document is the answer provided by the Minister of Railways to Unstarred Question No. 697 in the Lok Sabha, to be answered on February 4, 2026. It addresses the government's initiatives to strengthen freight logistics and regional connectivity, including developments in Jharkhand, Jammu and Kashmir, and Odisha, specifically focusing on freight efficiency, wagon production, and railway projects in remote regions. The document also covers the Gaya-Chatra rail line project. **Key Points / Main Content** * **Freight Logistics and Regional Connectivity Initiatives:** * Indian Railways is implementing a multi-pronged strategy to enhance freight efficiency and regional connectivity. * The strategy includes providing robust first- and last-mile solutions. * **Terminal Development:** * Indian Railway adopted a two-pronged approach to improve rail freight handling efficiency: promoting modern rail freight terminals under the Gati Shakti Multi-Modal Cargo Terminal (GCT) policy and upgrading railway-owned goods sheds. * 124 GCTs have been commissioned, including 11 in Jharkhand and 1 in Jammu and Kashmir, with a total capacity of 198 million tonnes per annum. * ₹14,500 crore has been allocated for customer amenities at goods and parcel terminals for the financial years 2023-24, 2024-25, and 2025-26. * **Wagon Investment Schemes:** * Indian Railway has implemented schemes for private sector investment in specialized wagons (cement, oil, steel, etc.). * 243 rakes of special purpose and 383 rakes of general-purpose wagons are operational to improve modal share. * **Joint Parcel Product-Rapid Cargo Service (JPP-RCS) Scheme:** * The scheme offers tailor-made logistics and door-to-door parcel services with online booking through aggregators. * 192 parcel train services have operated between Adarsh Nagar (Delhi) and Badgam (Jammu and Kashmir) since September 13, 2025, transporting approximately 9,800 tonnes. * **CONCOR's Role:** * CONCOR is providing Door-to-Door parcel services using the JPP-RCS on the Delhi-Kolkata and Mumbai-Kolkata sectors. * **Wagon Production Initiatives:** * New design BOSM wagons for bulk and point load commodities, and ACT1 wagons for automobiles have been introduced. * Regular production of stainless steel body BOBSNS wagons for iron ore transport has commenced, with 11% higher throughput. * Flat Multipurpose Wagons for automobiles, trucks, military equipment, and steel coils have been introduced. * Enhanced loading is permitted on the upper deck of double-stack containers (26t to 30.5t). * Steps for upgrading speed potential of 54 wagon variants (50% of total wagon population) to 100 kmph are underway. * **Railway Projects in Remote and Tribal Regions:** * Railway projects are surveyed/sanctioned/executed zonally. * Budget allocation for infrastructure and safety works in Odisha has increased significantly to ₹10,599 Cr. in 2025-26. * As of April 1, 2025, 49 projects (19 new lines, 30 doubling) totaling 4,010 Km, costing ₹67,496 crore, are sanctioned in Odisha. 1,429 Km has been commissioned, and ₹28,043 crore has been spent until March 2025. * Khurda Road - Bolangir (301 Km) new line work is sanctioned at ₹5,089 Cr., with 226 Km commissioned. A survey for a Boudh - Phulbani (59 Km) new line has been initiated. * **Gaya-Chatra Rail Line:** * The Gaya-Chatra (99 Km) new line project, previously on hold, has been decided to be taken forward; revised DPR and estimate preparation is underway. * **Project Sanction and Completion Factors:** * Railway project sanction depends on traffic projections, connectivity, demand, railway requirements, socio-economic factors, and fund availability. * Project completion depends on land acquisition, clearances, utility shifting, geological conditions, law and order, and working months. **Impact Analysis** **Stakeholder:** *Railway Ministry* **Impact:** Implementation of the freight logistics and regional connectivity strategy. **Action Required:** Continue implementing freight efficiency measures, oversee wagon production and deployment, and advance railway projects in remote and tribal regions. **Stakeholder:** *State Governments (Jharkhand, Jammu and Kashmir, Odisha, Bihar)* **Impact:** Benefit from enhanced rail connectivity and infrastructure. **Action Required:** Collaborate with the Railway Ministry to facilitate project approvals, land acquisition, and address local issues. **Stakeholder:** *Private Sector (Wagon Investors, Logistics Aggregators)* **Impact:** Opportunities for investment in wagons and logistics services. **Action Required:** Participate in wagon investment schemes and collaborate with Indian Railways to provide efficient logistics services. **Stakeholder:** *General Public/Citizens in the Affected Regions* **Impact:** Improved transportation, economic growth, and connectivity. **Action Required:** Be aware of the new developments and utilize the enhanced rail services.

Key Entities Referenced

Ministry of Railways: The primary government entity responsible for the initiatives and projects discussed in the document. PM Gati Shakti: A national master plan for multi-modal connectivity, referenced for its role in providing rail connectivity to aspirational and tribal districts. Joint Parcel Product-Rapid Cargo Service (JPP-RCS) scheme: A scheme offering tailor-made logistics and door-to-door parcel services by Indian Railways. Gati Shakti Multi-Modal Cargo Terminal (GCT) policy: A policy to encourage development of modern rail freight terminals. Odisha: The state where significant railway infrastructure projects are underway, and where specific districts like Kandhamal are mentioned.
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GOVERNMENT OF INDIA MINISTRY OF RAILWAYS LOK SABHA UNSTARRED QUESTION NO. 697 TO BE ANSWERED ON 04.02.2026 EXPANSION OF FREIGHT LOGISTICS AND REGIONAL CONNECTIVITY †697. SHRI KALI CHARAN SINGH: SHRI BHARTRUHARI MAHTAB: SHRI ANANTA NAYAK: SHRI VIJAY KUMAR DUBEY: SHRI RAMESH AWASTHI: SHRI NALIN SOREN: SHRI CHANDAN CHAUHAN: SHRI SUKANTA KUMAR PANIGRAHI: SHRI JUGAL KISHORE: DR. HEMANG JOSHI: SHRI SHANKAR LALWANI: Will the Minister of RAILWAYS be pleased to state: (a) whether the Government has undertaken initiatives to strengthen freight logistics and regional connectivity including first and last-mile solutions such as door-to-door services, goods sheds, private sidings and time- tabled cargo trains in the country particularly in Jharkhand and UT of Jammu and Kashmir and if so, the details thereof; (b) whether progress has been made in wagon production upgradation and freight capacity enhancement and if so, the details of the improvements achieved and challenges faced in the process; (c) whether railway projects in remote and tribal regions, particularly Kandhamal district of Odisha, including the new line via Phulbani, are under implementation and if so, the status of DPR review and proposals for agri-freight goods sheds/sidings; (d) whether steps have been taken/being taken by the Government under PM Gati Shakti to provide rail connectivity to unconnected Aspirational and tribal districts like Kandhamal and if so, the measures and timelines to address the connectivity gap; and(e) the details of the current status, progress made so for, amount of funds sanctioned, land acquisition and expected timeline of the new railway line project connecting Gaya in Bihar to Chatra in Jharkhand? ANSWER MINISTER OF RAILWAYS, INFORMATION & BROADCASTING AND ELECTRONICS & INFORMATION TECHNOLOGY (SHRI ASHWINI VAISHNAW) (a) to (e): For strengthening freight logistics and regional connectivity, Indian Railways has implemented a multi-pronged strategy to enhance freight efficiency, ensure seamless regional connectivity, and provide robust first- and-last-mile solutions. The key initiatives are categorized below – (i) Terminal Development: To improve the efficiency of rail freight handling at the terminals, Indian Railway has adopted two-pronged approach: encouraging development of modern rail freight terminals under Gati Shakti Multi-Modal Cargo Terminal (GCT) policy and augmenting/ upgrading the infrastructure at railway owned goods sheds. So far, 124 GCTs have already been commissioned (includes 11 GCTs in Jharkhand and 1 GCT in UT of Jammu and Kashmir) with an estimated traffic capacity of 198million tonnes per annum (MTPA). In addition, for improvement of customer amenities at goods and parcel terminals all across the country, an amount of Rs. 14,500 crore has been allocated for the financial year 2023-24, 2024-25 and 2025-26. (ii) Wagon Investment Schemes: Indian Railway has already implemented various schemes for private sector to invest in wagons including the commodity focused specialized wagons such as wagons for cement, oil, steel, fly-ash etc. So far, around 243 rakes of special purpose wagons and 383 rakes of general-purpose wagons are operational, which are expected to improve modal sharein commodities like bulk cement, fly-ash, steel products, iron ores and coal etc. Besides, there is a separate scheme for transportation of automobiles under which around 51 rakes owned by industry are operational. (iii) Joint Parcel Product-Rapid Cargo Service (JPP-RCS) scheme: This scheme offers tailor–made logistics to meet specific needs of the customer and provide door-to-door parcel services. Under the scheme, provision has been made for online booking of parcel space in these services through Aggregators (in addition to India Post) on ‘Virtual Aggregation Platform (VAP)’. (iv) To provide door-to-door parcel service to the UT of Jammu and Kashmir, 192 parcel train services have operated since 13.09.2025 between Adarsh Nagar (Delhi) and Badgam (UT of Jammu and Kashmir) under the JPP-RCS scheme - transporting around 9,800 tonnes of parcel consignments. (v) CONCOR, a PSU under Ministry of Railways is also providing Door- to-Door parcel services by utilizing the JPP-RCS over Delhi-Kolkata and Mumbai-Kolkata sectors. CONCOR is also providing Door-to- Door logistics under a pilot project at Sonik Goods shed. With regard to wagon production, following initiatives have been taken by Ministry of Railways for freight capacity enhancement– (i) Introduction of new design BOSM wagon for transportation of bulk commodities as well as point load commodities like steel coils and ACT1 wagon for transportation of automobiles particularly SUVs. (ii) Regular production of stainless steel body BOBSNS wagons used for iron ore transport has commenced, which have 11% higher throughput as compared to existing BOBSN rake. (iii) Flat Multipurpose Wagon for transportation of automobiles, trucks, military equipment, steel coils etc. has been introduced.(iv) Enhanced loading in upper deck of double stack container has been permitted enhancing loading in upper deck from approx. 26t to 30.5t. (v) Steps for upgrading speed potential of 54 wagon variants, consisting of more than 50% of total wagon population, to 100 kmph has been undertaken. Further, with regard to railway projects in remote and tribal region, it is stated that Railway projects are surveyed/sanctioned/executed Zonal Railway wise and not State-wise/District wise/region wise as the Railway projects may span across State/district boundaries/regions. Budget allocation in the recent years has increased significantly. Budget allocation for infrastructure projects and safety works, falling fully/partly in the State of Odisha is as under: Period Outlay 2009-14 ₹ 838 Cr./year 2025-26 ₹ 10,599 Cr. (Nearly 13 times) The details of commissioning/laying of new track falling fully/partly in the State of Odisha during 2009-14 and 2014-25 is as under: Period New Track Average Commissioning of Commissioned new tracks per year 2009-14 267 Km 53.4 Km 2014-25 2,150 Km 195.45 Km (More than 3.5 times) As on 01.04.2025, 49 projects (19 New Lines and 30 Doubling), of a total length of 4,010 Km, costing ₹ 67,496 crore, falling fully/partly in Odisha, are sanctioned, out of which 1,429 Km length has been commissioned and anexpenditure of ₹28,043 crore has been incurred upto March’ 2025. The summary is as under:- Total Length No of Total Exp. Length Commissioned Category sanctioned upto Mar'25 NL/GC/DL till Mar'25 Projects (₹ in Cr) (in Km) (in Km) New Lines 19 1,544 256 6,270 Doubling/Multi- 30 2,466 1,173 21,773 tracking Total 49 4,010 1,429 28,043 Rail connectivity in Kandhamal/Boudh region: To improve the connectivity in the region, the work of Khurda Road – Bolangir (301 Km) new line has been sanctioned at latest sanctioned cost of ₹ 5,089 Cr. So far, total 226 Km (Khurda Road – Daspalla (106 Km) and Puruna Katak – Boudh - Bolangir (120 Km)) have been commissioned. Works have been taken up on balance section. To extend rail connectivity to Phulbani (Kandhamal District), a survey of Boudh - Phulbani (59 Km) new line has been taken up. After preparation of Detailed Project Report (DPR), sanctioning of project requires consultation with various stake-holders including State Governments and necessary approvals viz. appraisal of NITI Aayog, Ministry of Finance etc. As sanctioning of projects is a continuous and dynamic process, exact timelines cannot be fixed. Gaya-Chatra rail line: Gaya-Chatra (99 Km) new line project was kept on hold earlier. However, keeping in view the freight loading potential of the area, it has been decidedto take forward this Project. Accordingly, preparation of revised DPR and revised estimate has been taken up. Sanction of any railway project depends upon many parameters/factors which include the following:  Anticipated traffic projections and remunerativeness of the proposed route  First and last mile connectivity provided by the project  Connection of missing links and providing additional route  Augmentation of congested/saturated lines  Demands raised by State Governments/Central Ministries/Public representatives,  Railway’s operational requirements  Socio-economic considerations  Overall availability of funds Completion of Railway project/s depends on various factors which include the following:  Land acquisition  Forest clearance  Shifting of infringing utilities  Statutory clearances from various authorities  Geological and topographical conditions of area  Law and order situation in the area of project site  Number of working months in a year for particular project site etc. All these factors affect the completion time and cost of the projects. *****

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