Relevance: GS-III (Transport Infrastructure); GS-II (Parliamentary Committees)
Source: Indian Express; Parliamentary Standing Committee Report on Railways

News

A Parliamentary Standing Committee on Railways has warned that Indian Railways’ overdependence on coal (≈50% of total freight loading) makes its earnings vulnerable, especially as India transitions away from fossil fuels.

Why Diversification Is Needed

The committee noted slowing revenue from coal and iron ore and recommended shifting towards high-growth, low rail-share sectors such as:

  • Automobiles
  • Containers
  • Fast-moving consumer goods
  • E-commerce logistics

Diversifying beyond bulk commodities would ensure revenue stability, higher utilisation of assets, and reduced vulnerability to sectoral shifts.

Infrastructure & Operational Issues

  • Dedicated Freight Corridors (DFCs): 2,741 km operational, with freight trains averaging about 37 km/h versus 23.8 km/h on conventional lines.
  • Crew shortage remains a major bottleneck; the committee urged urgent manpower strengthening.
  • Need to mobilise private investment, as high capital cost currently deters private participation in future corridors.

A diversified freight basket, better manpower planning, and efficient corridors are essential to build modern, resilient, and demand-driven railway logistics.

UPSC Value Box

Dedicated Freight Corridor (DFC) – a freight-only railway network built for higher speeds, heavier loads, and uninterrupted movement, reducing congestion on passenger routes and improving logistics efficiency.
Parliamentary Standing Committee – a permanent committee that scrutinises ministries, examines performance, and gives recommendations; though advisory, its reports carry substantial weight in shaping policy reforms.

Q. Consider the following statements regarding freight operations of Indian Railways:

  1. Coal constitutes nearly half of the total freight loading.
  2. Dedicated Freight Corridors allow higher freight speeds than conventional railway tracks.
  3. Parliamentary Standing Committees have binding powers to enforce their recommendations.

How many of the above statements are correct?
A. One only
B. Two only
C. All three
D. None

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