Travel Tip
 Conf TL
 RF Club
 FM Alert
 FM Approval
Forum Super Search
Freq Contact:
Posting Date From:
Posting Date To:
Blog Category:
Train Type:
ONLY with Pic/Vid:
Sort by: Date:     Word Count:     Popularity:     
Public:    Pvt: Monitor:    RailFan Club:    


You'll find companions wherever you go, when you travel in Trains, family or solo.

Full Site Search
  Full Site Search  
Fri Nov 15 11:19:55 IST
Post BlogPost Trn TipPost Stn TipAdvanced Search

Blog Entry# 3829406
Posted: Sep 22 2018 (08:13)

No Responses Yet
Rail News
IR Affairs
Sep 22 2018 (08:13)   Indian Railways’ passenger count rises but earnings shortfall still a worry THANK YOU!

a2z~   12808 news posts
Entry# 3829406   News Entry# 359700         Tags   Past Edits
The Indian Railways recorded a jump in both passenger and freight traffic in the first five months of the current fiscal, boosting total earnings but the worries for the cash-strapped transporter are far from over.
The earnings for the Indian Railways, between April and August, are still short of the Budget target by 4.5 percent or by about Rs 3,500 crore. That translates to an earnings shortfall of about Rs 23 crore on an average, each day vis-à-vis the target.
Overall, the railways posted an 8.25 percent rise in earnings between April and
August to Rs 74,241.39 crore.
Related News
The earnings boost suggests that an increased number of passengers are opting for rail journeys while enhanced coal loading has also helped lift the bottom line.
According to the latest data, 37.5 million incremental passengers travelled via trains between April and August this year. The news on the freight segment was also positive, with an incremental 26.75 million tons of freight being loaded on to the wagons during the five-month period.
A Trend Reversal
This increase in passengers actually marks a reversal in the trend seen till the first quarter of the current fiscal, when passenger earnings were declining despite a continued spike in freight earnings.
In the first quarter, unending train delays and rampant cancellations had impacted passenger numbers as well as earnings. The number of passengers taking a train to their destination, instead of a bus or a flight, had declined due to around 78 percent rise in the number of train trips getting cancelled besides significant delays due to an aggressive maintenance schedule undertaken, thus shutting down train movement for long periods of time.
Gross passenger earnings had declined by 1.37 percent to Rs 1,221.31 crore or by close to Rs 19 lakh on an average every single day during the first quarter. The number of passengers booked on an originating basis too declined from 2088.54 million to 2087.1 million or almost a 16,000 daily decline in passengers.
Lesser Train Delays, Increased Freight Load
However, the situation has improved during July and August as train delays have lessened. Data for April-August showed a rise of about 3 percent in suburban passengers and a decline of 1.2 percent in non-suburban passengers, thereby showing an increase in the total number of passengers by 37.5 million at 352.4 crore. And earnings from passengers have shown an almost 3.8 percent increase to Rs 21,332.58 crore.
As for the freight, the incremental load has led to an over 11 percent increase in earnings at Rs 49,420.82 crore. This comes after the railways posted record freight loading in FY18 and of the total earnings’ jump of Rs 10,000 crore, Rs 8,000 crore came from the robust growth in freight.
The reason why improved freight earnings are crucial to the railways survival is obvious from this statistic: freight earnings account for almost 65 paise of every rupee earned by the railways and are used to subsidise passenger earnings. So in effect, improved freight earnings are a life saver for the railways, which is expected to report one of the worst operating ratios in recent years this fiscal.
Operating ratio is a key metric which explains what the railways has to spend to earn each rupee. Huge pension and pay commission payments and lower than expected growth in passenger earnings are the two main reasons for the worsening operating ratio of the railways.
Boost to Finances?
According to a government report, railways operating ratio is projected at 92.8 percent at Budgeted estimates for 2018-19. While it remains to be seen whether this figure will be adhered to, railways own internal estimates peg the ratio for FY19 at a much higher level.
So in order to keep the show going, the railways finances for 2018-19 may need a further boost. The total earnings target in the budget for this fiscal is Rs 2 lakh crore, up from about Rs 1.78 lakh crore a year ago, implying the railways will have to generate an incremental revenue of Rs 22,000 crore this fiscal.
While it is eyeing about Rs 10,000 crore additional earnings from freight and another Rs 1,000 crore from the flexi-fare scheme (applicable for passengers on premium trains), this still leaves a gap of Rs 10,000 crore shortfall in the earnings target. And with recent reports suggesting that the railways is planning to dilute the flexi fare scheme across some premium trains, the revenue from this scheme too may fall short of the target.

ARP (Advanced Reservation Period) Calculator

Reservations Open Today @ 8am for:
Trains with ARP 10 Dep on: Mon Nov 25
Trains with ARP 15 Dep on: Sat Nov 30
Trains with ARP 30 Dep on: Sun Dec 15
Trains with ARP 120 Dep on: Sat Mar 14


Leading Polls

4467449 ★★★ 37Spark
4484072 ★★★ 34Avishek Ray~
2859353 ★★ 20Somanko^~
4475327 ★★★ 36Avishek Ray~
4466131 ★★★ 45Avishek Ray~
3129294 ★★★ 3006223🔹SMET🔄BA...
4487549  13siddharthrma~
3129283 ★★★ 4906223🔹SMET🔄BA...
2847927 ★★★ 35Somanko^~
4201368 ★★★ 85Avishek Ray~
2403951 ★★★ 37Avishek Ray~
3503597 ★★★ 36Avishek Ray~
3237119 ★★★ 5706223🔹SMET🔄BA...
4481990 ★★★ 42Avishek Ray~
4228663 ★★★ 87Avishek Ray~
4487855 ★★ 20Avishek Ray~
2983023 ★★★ 88Somanko^~
4486586 ★★★ 46Somanko^~
4195825 ★★★ 46🌟Gandhidham Ju...
3124391 ★★★ 135Rest^~
4252933 ★★★ 84Avishek Ray~
4317056 ★★★ 33Avishek Ray~
4133792 ★★★ 282Avishek Ray~
4486968  11Srijan Gupta~
4461517 ★★★ 65Avishek Ray~
4232692 ★★★ 4706223🔹SMET🔄BA...
4475376 ★★★ 40Avishek Ray~
4479059 ★★★ 34Avishek Ray~
3131658 ★★★ 6506223🔹SMET🔄BA...

Rail News

New Trains

Site Announcements

  • Entry# 4246530
    Mar 02 2019 (12:59AM)

    @all: Regarding the new SCoR zone, our VSKP and other SCoR members are excited and interested to change the train/station zones. We may let them go ahead with it. This piece of info is NOT critical for trains and TTs which would affect regular passengers - so it's FINE. . We may let them...
  • Entry# 4239625
    Feb 22 2019 (10:22PM)

    @all: This is a repeat warning to all that: Anonymous posting may NOT be used to directly address regular members -> like scolding them, commenting about their blogging habits, arguing with them, or ANY other personal comment/remark against any other member, EVEN if it is not offensive. ANY personal remark (even if not...
  • Entry# 4214881
    Feb 01 2019 (07:45PM)

    This is an advance notice of the last and CORE feature of the RailFan app - Trips/Spottings - which will be enabled next week. A week after that, RailFan will go into Open Beta, whereby all members will be able to download the app without providing their email. . The Trip/Spotting feature of...
  • Entry# 4213057
    Jan 31 2019 (05:45AM)

    A few small enhancements will be made to the site in the coming days, regarding Member profiles. . 1. Hereafter, we shall require REAL permanent names of members. Members will have the option of reporting those whose name is fake or not real. An SW will be issued, whereupon the member will have...
  • Entry# 4205675
    Jan 23 2019 (08:11PM)

    This is an advance notice of a small enhancement to the Forum. Within a couple of days, we shall introduce "anonymous posting" for Blogs and Trips. With "anonymous posting", members will still be required to login to your account and abide by all Forum guidelines, but your name will be hidden...
  • Entry# 4200970
    Jan 18 2019 (10:12PM)

    @all: This is to formally announce the END of the RailCal app. Due to the information blockade, the app has lost its value, and has been rendered completely useless. We are unable to support RailCal anymore. Sorry to disappoint our users. . RailCal has already been taken off the Google PlayStore. So once...
Scroll to Top
Scroll to Bottom
Go to Mobile site
Important Note: This website NEVER solicits for Money or Donations. Please beware of anyone requesting/demanding money on behalf of IRI. Thanks.
Disclaimer: This website has NO affiliation with the Government-run site of Indian Railways. This site does NOT claim 100% accuracy of fast-changing Rail Information. YOU are responsible for independently confirming the validity of information through other sources.
India Rail Info Privacy Policy