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Railways plans INR 30,000 crore cargo revenue boost through Gati Shakti terminals

#Warehousing & Logistics#Infrastructure#India
Last Updated : 18th Feb, 2026
Synopsis

Indian Railways is aiming to generate an additional INR 30,000 crore in freight revenue over the next three years by scaling up its Gati Shakti Cargo Terminals network. The plan focuses on increasing the number of terminals, improving use of underutilised goods sheds, and attracting cargo from sectors such as automobiles, cement, containers and salt. Policy changes also allow value-added facilities on railway land and offer safety-linked maintenance support, strengthening rail's role in the national logistics system.

Indian Railways is working towards a significant increase in freight earnings by expanding its Gati Shakti Cargo Terminals (GCTs) programme. Officials have indicated that the initiative is expected to contribute nearly INR 30,000 crore in additional revenue over the next three years, supported by higher cargo volumes and improved terminal infrastructure.


The number of operational Gati Shakti Cargo Terminals, currently around 124, is planned to rise to more than 500 over the next five years. A key part of this expansion involves converting underutilised and idle goods sheds into modern cargo terminals. Existing private sidings and facilities developed under older railway policies are also being allowed to transition into the GCT framework, reducing entry barriers for logistics operators and manufacturers.

The expanded terminal network is expected to attract freight from multiple sectors, including automobiles, cement, containers and bulk commodities such as salt. Railways officials have conveyed that these commodities offer stable, high-volume freight potential, which is critical for sustaining long-term revenue growth. The policy also permits the development of warehouses, aggregation centres and processing units on railway land, enabling value-added logistics activities at cargo terminals.

Safety has been addressed through a provision that allows Indian Railways to offer optional maintenance of private siding lines on a payment basis. This measure aims to reduce accidents and operational disruptions on non-railway-owned tracks while ensuring smoother cargo movement across the network.

The cargo push forms part of a broader reform effort within Indian Railways, which has been working to modernise freight operations and improve service efficiency. Earlier phases of the Gati Shakti programme have already demonstrated increased private participation and improved turnaround times, providing the base for the current expansion.

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