NEW DELHI: The share of Indian Railways in freight movement has been witnessing a drop over a period of time, mainly on account of non-competitive tariff structure, Economic Survey said today.
While the passenger fare had remained more or less flat, the freight fare has gone up sharply over the years, it said.
“The share of Indian Railways in freight movement has been declining over a period of time primarily due to non- competitive tariff structure,” Economic Survey 2017-18 tabled in Parliament said.
In a bid to make rail transportation attractive and arrest the declining trend of rail share, the survey said, various initiatives were taken in FY2017 which includes tariff rationalisation, new policy guideline for station to station rates, withdrawal of dual freight policy for export of iron ore and rationalisation of coal tariff.
During the current fiscal (up to September last year) Indian Railways carried 558.10 million tonnes (MT) of revenue earning freight traffic as against 531.23 MT during FY2017 (up to September 2016), showing an increase of 5.06 per cent during this period, it said.