Railways

Indian Railways has long been regarded as the lifeline of the nation, carrying more than 7 Bn passengers and 1.6 Bn tonnes of freight annually across a vast 68,000 km network. Beyond being the world’s fourth largest rail network, Indian Railways is today at the heart of India’s infrastructure transformation and industrial ambitions. From electrification and station redevelopment to the introduction of semi-high-speed trains and metro expansions, the sector is witnessing its most ambitious modernisation drive in history.

A critical dimension of this transformation lies in the development of a globally competitive manufacturing ecosystem for rolling stock, components, and metro rail systems. With strong domestic demand, favourable policy frameworks, and a growing export orientation, India is fast emerging as a preferred hub for railway-related manufacturing.

Indian Railways operates as a monopsony in the railway sector, meaning it is the sole buyer of railway-related products and services in India. This structure ensures centralised planning and standardisation across the vast railway network. Private manufacturers and suppliers (foreign or domestic) of rolling stock, signalling equipment, tracks, and other railway infrastructure components are looking towards India to set up manufacturing units not just to cater to the large demand placed by the Indian Railways but also to use it as a base to export to other countries.