Uncertain Tracks Ahead: Railways' Wagon Procurement Delays Stir Industry Concerns

Wagon manufacturers face uncertainty due to a lack of new procurement orders, despite fulfilling Indian Railways' ambitious freight expansion plan. The industry's anticipation of further orders remains unmet, causing anxiety. The railway ministry's continuous assessment under the National Rail Plan is crucial to boosting freight capacity by 2030.

Private wagon manufacturers are grappling with uncertainty following Indian Railways' ambitious expansion initiative. Despite significantly ramping up production, there has been a pause in fresh procurement orders post the initial phase, leaving manufacturers in a state of apprehension.

Railway ministry officials have stated that assessing wagon requirements is an ongoing process and orders will be placed as necessary. The ministry remains positive about its performance in the upcoming years, underscored by its recent achievement of becoming the world's second-largest freight railway with a record freight loading of 1,617 million tonnes.

As per the National Rail Plan of 2022, the railway ministry aims to double wagon capacity by 2030 to enhance freight revenue. Despite successful deliveries of wagons by major manufacturers, the anticipated second order for over 2 lakh wagons is yet to be realized, leading to industry-wide anxiety.

(With inputs from agencies.)