Indian Railways targets July for new wagon policy to lift freight share

The Ministry of Railways is set to introduce a new wagon design policy in July this year, aiming to make Indian Railways the preferred mode of transport for freight. Railway Minister Ashwini Vaishnaw, during a review meeting earlier this week, instructed senior officials to prioritise quality and safety while expediting the policy's rollout.

According to a statement from the national transporter, the policy will establish strict standards for design approval and prototype development. This is expected to ensure the production of the highest quality wagons in the country. The move comes as part of broader efforts to increase the share of rail in freight movement, which currently stands at around 27% in India, compared to over 60% in countries like China.

The Railways is currently holding consultations with industries, trade bodies, and major freight customers to understand their transport requirements. Industry representatives have highlighted that wagons tailored to the specific loading, unloading, handling, and transportation needs of different commodities would encourage greater use of rail for freight movement.

The new policy is expected to address these demands by allowing more flexibility in wagon design while ensuring safety and durability. Officials hope this will help Indian Railways compete more effectively with road transport, which dominates the freight sector in India.