Indian Railways Unveils 8 More Structural Reforms to Boost Freight, Logistics and Project Execution
New Delhi, 14th July 2026: Indian Railways on Tuesday announced eight new structural reforms aimed at modernising freight transportation, logistics, project execution, wagon design, construction practices and workforce skilling. With the latest measures, the total number of reforms introduced under the Ministry of Railways’ ‘Reform Express’ initiative has reached 17.
Railway Minister Ashwini Vaishnaw announced the reforms at Rail Bhawan, stating that they are part of the Ministry’s target of implementing 52 reforms in 52 weeks to improve efficiency, simplify processes and strengthen the railway ecosystem.
Among the key announcements is a new policy for containerised transportation of fly ash, replacing conventional open-wagon movement. Fly ash generated by thermal power plants will now be transported in specially designed ISO-standard containers, allowing dust-free loading, transportation and unloading while improving logistics between power plants and cement manufacturers.
Indian Railways has also overhauled the Container Train Operator (CTO) licensing framework. The existing four-category licensing system has been replaced with a single Pan-India licence, enabling operators to run container trains across the railway network without route-based restrictions. The registration process has also been simplified with a uniform non-refundable fee of ₹25 crore, replacing the earlier category-wise structure.
For the agriculture sector, Indian Railways has introduced reforms in fertilizer transportation by replacing the existing slab-based freight structure with a simplified per tonne per kilometre tariff. Fertilizers can now also be transported through containers, allowing phased unloading and distribution without detaining an entire rake.
A new skilling policy for artisans engaged in railway infrastructure projects has also been approved. Workers involved in specialised trades such as welding, fitting, masonry and other safety-sensitive construction activities will undergo structured assessment and certification. Successful candidates will receive QR code-enabled certificates linked to a digital verification system. The programme will initially cover major projects, including bridges and tunnels, before expanding across all railway zones over the next two years.
Indian Railways has also announced a fresh set of construction reforms to improve project execution. Contractors will now be required to furnish 10 per cent performance security at the beginning of a project instead of deductions from running bills. New eligibility norms disqualify contractors involved in litigation exceeding 50 per cent of their net worth. The reforms also introduce Contractor’s All Risk Insurance and Professional Indemnity Insurance, along with a structured land handover mechanism. The Ministry also highlighted the use of the Rail Bhoomi digital platform for managing land acquisition and monitoring project progress.
To promote innovation in freight rolling stock, Indian Railways has introduced a new wagon design approval policy. Under the revised framework, private manufacturers and industries will be allowed to design specialised freight wagons for different commodities. The designs will undergo evaluation by the Research Designs and Standards Organisation (RDSO), followed by prototype testing, field trials, safety certification and Railway Board approval before induction into service.
The Ministry has also revised the policy governing transportation of petroleum products. Oil companies will now be permitted to procure or lease specialised tank wagons for use on the Indian Railways network, replacing the earlier system where such wagons were owned exclusively by the Railways.
Another reform simplifies the movement of foodgrains, flour and pulses by introducing a per tonne per kilometre freight structure and permitting containerised transportation. The revised system allows sealed containers to be unloaded and stored according to demand without delaying an entire rake, improving operational flexibility.
The Ministry stated that the eight reforms build on nine structural changes announced earlier under the Reform Express initiative, which included reforms in onboard train cleaning, Gati Shakti Cargo Terminals, RailTech policy, Railway Claims Tribunal digitisation, specialised freight containers, construction quality standards, ticket cancellation rules and digital change of boarding point. The latest reforms are intended to simplify freight operations, encourage greater private participation and expand containerised movement across multiple commodities.
