Archive · 16 Jan 2026
Indian Railways targets FMCG for freight diversification
Indian Railways wants to carry more FMCG items like snacks and toiletries.
Right now, they mostly carry heavy things like coal and steel, but those aren't growing much.
FMCG items are growing faster, so the railways want to talk to FMCG companies about using trains more.
They have a meeting planned for January 21 to discuss this.
They also want to carry more cars and two-wheelers.
Right now, they carry about 20% of cars, but they want to carry even more.
This is important because they need to increase their revenue and reach their goals for 2027 and 2030.
Indian Railways aims to diversify its freight basket by targeting FMCG commodities.
65% of its earnings come from freight, with traditional commodities like coal and steel showing modest growth.
A meeting is scheduled for January 21 to discuss opportunities in FMCG freight transportation.
FMCG and other lightweight, high-volume goods are projected to grow at 10% CAGR by FY30, compared to 5% for traditional commodities.
Indian Railways has introduced schemes like JPP RCS and PCET to promote parcel-based cargo, but modal share remains low.
- Who
- Indian Railways
- What
- Exploring FMCG for freight diversification
- When
- Meeting scheduled for January 21
- Where
- India
- Why
- To increase revenue and modal share
Indian Railways
FMCG Companies
Freight Diversification
Indian Railways
Indian Railways aims to diversify its freight basket by targeting FMCG commodities to increase revenue and modal share.
FMCG Companies
FMCG companies may need to assess the feasibility and cost-effectiveness of using railways for transporting their goods.
- Current Freight Revenue
- 65% of Indian Railways' earnings
- Freight Growth Rate
- 5.6% CAGR in past five years
- Projected FMCG Growth
- 10% average CAGR by FY30
- Traditional Commodities Growth
- 5% average CAGR by FY30
- Modal Share Goal
- 45% by 2030
- Target Freight Volume
- 3000 million tonnes by 2027
- Meeting Date
- January 21
- Current Automobile Modal Share
- 20% in FY24
Sources
Indian Railways eyes FMCG to diversify freight basket and raise revenues
Budget 2026: Virtual digital assets sector expects regulatory clarity, taxation policy, crypto framework in India
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