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Indian Railways in 2025: New Frontiers, New Challenges
Jan. 2, 2026

Why in news?

2025 marked a landmark year for Indian Railways, as it completed rail connectivity to Kashmir Valley and Aizawl (Mizoram), bridged major geographic frontiers, advanced freight corridors and technology.

At the same time, the Railways faced challenges in safety, crowd management, and financial sustainability.

What’s in Today’s Article?

  • From Kashmir to Mizoram: Railways Reach India’s Final Frontiers
  • A Year Shadowed by Safety Concerns
  • Challenges in Freight Loading: Railways’ Revenue Backbone Under Strain
  • Operational Focus Areas in 2025
  • Technological Advancements
  • Financial Stress vs Green Promise

From Kashmir to Mizoram: Railways Reach India’s Final Frontiers

  • In 2025, Indian Railways achieved historic milestones by extending the rail grid to: Kashmir Valley in the North; Aizawl in the East.
  • These connections brought the country’s last major unlinked regions into the national railway network, symbolising territorial integration and strategic connectivity.
  • Kashmir Rail Link: A Century-Old Dream Realised
    • The idea of a railway line to the Kashmir Valley dates back to 1898, when Maharaja Pratap Singh first conceived it.
    • However, after Partition, the Jammu–Sialkot rail link went to Pakistan, cutting off Jammu and Kashmir from India’s rail grid.
    • While Jammu was connected by rail in 1972, the Valley remained unlinked.
    • The long-cherished dream was realised in June 2025, when PM Modi inaugurated the final 63-km Katra–Sangaldan section of the 272-km Udhampur–Srinagar–Baramulla Rail Link (USBRL).
      • A Vande Bharat train began services between Katra and Srinagar.
    • The project’s most challenging stretch was the 111-km Katra–Banihal section, featuring:
      • T-50, India’s longest operational transport tunnel (12.77 km)
      • Chenab Bridge, the world’s highest railway arch bridge (359 metres above the riverbed)
      • Anji Bridge, Indian Railways’ first cable-stayed bridge
  • Mizoram: Railways Overcome Geography
    • Mizoram’s late rail arrival was largely due to its difficult terrain and landlocked location—bordering Myanmar, Bangladesh, and northeastern states.
    • Until recently, the state depended almost entirely on roads for passenger and freight movement.
    • The breakthrough came with the inauguration of the Bairabi–Sairang line in September 2025, linking Bairabi to Sairang, near Aizawl.
    • This marked the first-ever rail connectivity to the Mizoram capital.
    • With this, Aizawl became the fourth northeastern capital—after Guwahati (Dispur), Agartala, and Itanagar—to be linked to the Indian Railways network.
  • Pamban Bridge: Reconnecting South India’s Maritime Edge
    • Another landmark in 2025 was the inauguration of the 2.08-km new Pamban Bridge, replacing the 110-year-old cantilever bridge.
    • It is India’s first vertical-lift railway sea bridge. It connects Rameswaram to the mainland across the Palk Strait.
  • Western Dedicated Freight Corridor (WDFC)
    • First rail car ran on the 102-km Vaitarna–Jawaharlal Nehru Port (JNPT) section.
    • Marks progress in India’s high-capacity, freight-only rail infrastructure.
  • Strategic Himalayan Connectivity
    • Rishikesh–Karnaprayag Line
      • 125 km line with strategic and pilgrimage significance
      • Includes India’s longest transportation tunnel (14.57 km) (yet to be operational)
      • Serves as a gateway to the China border and boosts Char Dham Yatra connectivity
    • Bhanupalli–Bilaspur–Beri Line
      • Connects Punjab to Himachal Pradesh
      • Proposed extension up to Ladakh
      • Progress delayed due to financial disputes between the state government and Railways

A Year Shadowed by Safety Concerns

  • The year began with tragedy:
    • Stampede at New Delhi Railway Station (February 15, 2025)
    • 18 deaths, 15 injuries, during rush for Prayagraj-bound Mahakumbh trains
  • Railways’ Response
    • Launch of a nationwide project to create holding areas on high-passenger platforms
    • Renewed emphasis on crowd management and passenger safety

Challenges in Freight Loading: Railways’ Revenue Backbone Under Strain

  • Freight transport is the financial backbone of Indian Railways, contributing nearly 65% of its total earnings.
  • However, despite its importance, the system faces persistent challenges, especially in last-mile delivery and competitiveness with road transport.
  • High Dependence on Bulk Commodities
    • Indian Railways remains predominantly a bulk commodity transporter.
    • Coal alone accounts for nearly 50% of total freight loading.
      • Seven major commodities—coal, pig iron and steel, iron ore, cement, fertilisers, petroleum, oil and lubricants (POL), and containers—together accounted for 87.3% of total freight loading (in FY 25)
    • Such heavy reliance exposes Railways to demand fluctuations in a few sectors.
  • Concerns Raised by the Standing Committee on Railways
    • The Standing Committee on Railways has flagged structural risks in the freight basket:
      • Called for diversification into automobiles, FMCG, and e-commerce to cushion demand volatility.
      • Noted that year-on-year revenue growth from coal and iron ore is slowing, raising sustainability concerns.
  • Need to Raise Rail’s Modal Share
    • Railways’ modal share in freight transport stands at about 27%, significantly lower than road transport.
    • Enhancing this share is critical for revenue growth and environmental gains.

Operational Focus Areas in 2025

  • Indian Railways prioritised:
    • Removal of traffic bottlenecks
    • Track expansion and capacity augmentation
    • Passenger amenities under the Amrit Bharat Station Scheme
    • Safety upgrades across high-density routes
  • Ambitious Traffic and Freight Targets
    • With expanded infrastructure, Railways aims to achieve by 2030:
      • 3 billion tonnes of freight loading - Up from 1.6 billion tonnes in FY25
      • 10 billion passengers annually - A 42% increase from nearly 7 billion passengers in FY25
    • These targets reflect Railways’ central role in India’s logistics and mobility strategy.

Technological Advancements

  • Commissioning of Kavach 4.0 (advanced Automatic Train Protection system)
  • Deployed over 738 route kilometres on two high-density corridors
  • Rollout of: 13 Amrit Bharat trains for migrant workers; 2 Namo Bharat Rapid Rail Services for intercity commuters.
  • Trials of Vande Bharat sleeper trains, signalling next-generation long-distance travel.

Financial Stress vs Green Promise

  • Persistent Challenges - High revenue expenditure; Low earnings per route, affecting long-term financial health
  • Green Mobility Advantage
    • Despite financial strain, Railways remains one of India’s cleanest transport modes:
      • Accounts for only ~1% of transport emissions
      • Near-100% electrification of broad-gauge network
      • Hydrogen-powered trains under development
      • 2,626 solar-powered stations
      • 898 MW of solar power used nationwide
      • ~70% used for traction

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