Question : MARKET SHARE OF RAILWAY IN FREIGHT



(a) whether the Railways` share in the total freight traffic has come down drastically during the past year;

(b) if so, the details thereof along with the reasons therefor;

(c) whether any study was conducted by the Government in this regard;

(d) if so, the remedial measures taken to increase the rail freight share; and

(e) the extent to which these measures are helpful to gain the rail freight share?

Answer given by the minister


Minister of State in the Ministry of Railways (SHRI DIGVIJAY SINGH)


(a) & (b) Apart from Railways, freight traffic is moved by various other modes such as trucks, pipelines, coastal shipping and even by cycle vans and bullock carts. No reliable data are available in the recent past regarding the total freight traffic generated in the country so as to determine Railways` share, which was, broadly speaking, high, when roads, pipelines, shipping etc. were not developed. As various modes of transport have developed in course of economic development, relative demand of rail transport did not register growth. In absolute terms however, Railways` freight traffic grew steadily over the years, as borne out by the following figures:

Year Freight Loading (In million tonnes)
1950-51 73.2 1960-61 119.8 1970-71 167.9 1980-81 195.9 1990-91 318.4 1999-2000 456.3


(c) A study was conducted in 1997 by RITES, a PSU under the Ministry of Railways. According to the study, for traffic moving beyond 300 Kilometers, which Railways are logistically suited for moving, Railways` share was 65%. The study, however, took into consideration the modal split of traffic only between road vehicles and Railways.

(d) Achieving a high rate of growth has been Railways objective. Various steps taken to put the Railways on a high growth path are:-

i). strengthening high density corridors;
ii). modernising various traffic facilities and terminals;
iii). upgradation of technology;
iv). providing multi-modal infrastructure to capture non-bulk piecemeal goods traffic through Container Corporation of India Limited;
v). simplification of rules relating to sidings;
vi) setting up warehousing facilities near Railway terminals;
vii) better customer interaction,
viii) launching of computer based Freight Operation Information System to obtain operational information on real-time basis and provide the same to customers.


(e) The above measures are expected to accelerate the growth of Railways` freight traffic.