Schedule a Call Back
Freight corridors fuel equitable economic growth across India: Study
Industry News- Nov 04,24
The DFC network spans 2,843 kilometers across seven states, with the 1,337-km Eastern DFC fully operational from Ludhiana to Sonnagar, Bihar, and the 1,506-km Western DFC nearly complete, connecting Dadri, Uttar Pradesh, to Mumbai.
The Indian Railways' dedicated freight corridors (DFCs) have been instrumental in reducing regional economic disparities, according to a study by the University of New South Wales, Australia. The findings, published in the Elsevier Journal, reveal that states with lower per capita GDP are experiencing substantial economic benefits, contributing to more balanced growth nationwide.
Focusing on the Western Dedicated Freight Corridor (WDFC) for the financial year 2019-20, the study highlights how these corridors help reduce freight costs across regions, thus supporting various industries and lowering commodity prices by up to 0.5%. This has resulted in a 2.94% increase in Indian Railways' revenue between FY2018-19 and FY2022-23, with the western regions closest to the DFC seeing the most significant benefits due to greater cost reductions.
Using a computable general equilibrium model developed by the Ministry of Road Transport and Highways, the study shows how reduced freight costs and travel times foster GDP growth, particularly benefiting economically disadvantaged states and promoting equitable development across India.
The DFC network spans 2,843 kilometers across seven states, with the 1,337-km Eastern DFC fully operational from Ludhiana to Sonnagar, Bihar, and the 1,506-km Western DFC nearly complete, connecting Dadri, Uttar Pradesh, to Mumbai. Currently, the corridors handle an average of 325 daily trains—a 60% increase from last year—boosting efficiency with faster, heavier, and safer freight transport, according to the Dedicated Freight Corridor Corporation of India Limited (DFCCIL).
(Business Standard)
Indian Railways
DFCCIL
DFC
Elsevier Journal
railways
Highways
Ministry of Road Transport and Highways
Related Stories
Railways
Texmaco Rail & Engineering announces strategic leadership changes
Effective April 1, 2025, Kishor Kumar Rajgaria will assume the role of Chief Financial Officer.
Read moreRailways
Alstom delivers the 500th electric locomotive for Indian Railways
The WAG-12B locomotives are being built at one of India’s largest integrated greenfield manufacturing facilities at Madhepura (Bihar), under a Joint Venture between Alstom and Indian Railways.
Read moreRailways
Texmaco Rail and Nevomo Partner to create new era of rail infrastructure
This alliance aims to redefine the rail industry by co-developing and implementing Nevomo’s cutting-edge Magrail technology and Linear Propulsion Systems along with related technology solutions.
Read moreRelated Products
Ball Rail Systems
Railways
Jinisha Electrolites offers a wide assortment of ball rail systems
latest News
Subscribe to iNoW
For Industry News on WhatsApp, Give a Miss Call on: +91 84228 74016
