India Approves Rs. 9,450 Crore Railway Multitracking Projects to Strengthen Connectivity and Logistics
The Cabinet Committee on Economic Affairs has cleared four multitracking projects adding around 410 km to the rail network across West Bengal, Odisha, Andhra Pradesh and Tamil Nadu — boosting freight capacity by an estimated 76 MTPA and cutting oil consumption and emissions.
Published: 21 August 2026 Source: Ministry of Railways, Government of India
Railway Multitracking — Key Project Metrics
Approx. US$ 991.19 million
Across four states
Million tonnes per annum
Across 6,448 villages
8 districts across 4 states
Reduction in oil consumption
Estimated annual decline
Under PM Gati Shakti
Overview
The Cabinet Committee on Economic Affairs, chaired by Prime Minister Mr. Narendra Modi, has approved four multitracking projects of the Ministry of Railways at a total estimated cost of Rs. 9,450 crore (US$ 991.19 million). The projects will add approximately 410 km to the Indian Railways network across West Bengal, Odisha, Andhra Pradesh and Tamil Nadu, improving railway capacity, reducing congestion and strengthening operational efficiency.
The projects are being developed under the PM Gati Shakti National Master Plan, with a focus on integrated infrastructure planning, multimodal connectivity and improved logistics efficiency.
Key Highlights
- Four multitracking projects approved with a total investment of Rs. 9,450 crore.
- Approximately 410 km of additional railway lines will be added.
- Projects will cover eight districts across four states.
- Around 6,448 villages, covering approximately 60 lakh people, will benefit.
- Additional freight traffic of around 76 million tonnes per annum (MTPA) is expected.
- Projects will support the movement of coal, iron ore, cement, steel, containers, automobiles and food grains.
- Oil consumption is expected to decline by around 13 crore litres.
- Carbon dioxide emissions are expected to decline by approximately 65 crore kg.
Railway Capacity Expansion
The approved projects include four corridors spanning West Bengal, Odisha, Andhra Pradesh and Tamil Nadu, designed to relieve congestion on some of the country's busiest freight and passenger routes:
West Bengal & Odisha Corridors
- Kharagpur–Bhadrak (Ranital) 4th Line: 173 km
- Bhadrak–Haridaspur 4th Line: 75 km
- Cuttack–Paradeep (Badabandha) 3rd & 4th Lines: 72 km
Andhra Pradesh & Tamil Nadu Corridor
- Gummidipundi–Gudur 3rd & 4th Lines: 90 km
- Improves mobility on a key passenger and freight corridor
- Strengthens reliability across coastal Andhra Pradesh and northern Tamil Nadu
The additional railway capacity is expected to improve mobility, reduce congestion and strengthen service reliability across important passenger and freight corridors.
Freight & Regional Connectivity
The projects are expected to facilitate additional freight movement of approximately 76 MTPA, supporting the transportation of key commodities including coal, iron ore, cement, iron and steel, containers, automobiles and food grains.
The enhanced railway network will also improve connectivity to around 6,448 villages, covering a population of approximately 60 lakh. Better connectivity is expected to support tourism destinations including Kuldiha Wildlife Sanctuary, Bhitarkanika National Park, Pulicat Lake, Nelapattu Bird Sanctuary and Chandipur Beach.
Environmental Benefits
The projects are expected to strengthen railways as an energy-efficient and environment-friendly mode of transportation. The capacity expansion is estimated to deliver the following environmental outcomes:
Oil Consumption Reduction
Approximately 13 crore litres of oil consumption is expected to be reduced through the shift to rail-based freight movement.
CO₂ Emissions Reduction
Carbon dioxide emissions are expected to decline by around 65 crore kg as a result of the expanded rail network.
Equivalent Tree Plantation
The environmental benefits generated are estimated to be equivalent to planting approximately 2.60 crore trees.
🚆 Expected Impact
The railway multitracking projects are expected to deliver wide-ranging benefits across logistics, connectivity and sustainability:
- ✅ Increase railway network capacity
- ✅ Reduce congestion and improve operational efficiency
- ✅ Strengthen freight and passenger connectivity
- ✅ Lower logistics and transportation costs
- ✅ Improve movement of industrial and agricultural commodities
- ✅ Support tourism and regional economic development
- ✅ Generate employment and self-employment opportunities
- ✅ Contribute to India's climate and sustainability objectives
Why This Matters
India's growing industrial activity and rising freight requirements require efficient and high-capacity transportation infrastructure. The addition of approximately 410 km of railway lines will strengthen strategically important corridors and improve connectivity between industrial centres, ports, mining regions and markets.
The expected 76 MTPA increase in freight capacity could improve logistics efficiency while supporting lower transportation costs and reducing dependence on more carbon-intensive modes of freight movement.
💡 FinIntelHub Insight
Building the Backbone for India's Freight-Led Growth
The approval of Rs. 9,450 crore for four railway multitracking projects represents a significant investment in India's transportation and logistics infrastructure. The addition of approximately 410 km of railway capacity and the expected 76 MTPA of additional freight movement could strengthen India's logistics network and improve the movement of key industrial and agricultural commodities.
The projects also highlight the growing integration of railway infrastructure with the PM Gati Shakti National Master Plan, supporting multimodal connectivity and coordinated infrastructure development. In addition to improving transportation efficiency, the projects could contribute to regional economic development, tourism, employment generation and lower logistics costs while supporting India's environmental objectives.
Source: Ministry of Railways, Government of India.
Disclaimer: FinIntelHub is not responsible for any errors or omissions in the information presented. The data and information are compiled from secondary sources and are provided for informational and research purposes only.