Indian Railways maintains lowest passenger fares with 720 crore annual travel
New Delhi: Indian Railways passenger fares remain among the lowest globally as the national transporter carries over 720 crore passengers annually, Union Minister Ashwini Vaishnaw informed the Lok Sabha.
He said Railways operates around 57,200 non-AC coaches, which account for nearly 70% of total coaches. In addition, about 54 lakh non-AC seats form 78% of total seating capacity. This structure supports affordable travel for low and middle-income families.
During 2024-25, Railways utilised 1,250 general coaches in long-distance trains. Moreover, in 2025-26 up to December, it added 767 coaches for permanent augmentation. The ministry also plans to manufacture 17,000 non-AC coaches over the next five years.
Passenger numbers have shown steady growth. General and unreserved travel rose from 553 crore passengers in 2022-23 to 651 crore in 2024-25. Furthermore, overall patronage increased by about 8% in 2023-24 and 6% in 2024-25.
Indian Railways passenger fares compared globally
The minister said ordinary class fares in India average about ₹0.20 per passenger kilometre. By contrast, fares stand at around ₹0.54 in Pakistan and ₹0.50 in Sri Lanka. Thus, India’s ordinary class travel is nearly 2.5 times cheaper than in these neighbouring countries.
Semi-high speed Vande Bharat fares also compare favourably. Average fares per passenger kilometre are about ₹2.19 in India, while they reach ₹7 in China and ₹20 in Japan. Consequently, Vande Bharat travel costs roughly three times less than China and nine times less than Japan.
Indian Railways currently operates 164 Vande Bharat Chair Car services and two Vande Bharat Sleeper services. In addition, it runs 54 Amrit Bharat Express trains and four Namo Bharat Rapid Rail services.
To meet rising demand, Railways introduced 245 new train services and extended 101 services in the first nine months of 2025-26. It also increased the frequency of eight services. Besides this, it operated around 65,000 special trains till December 2025.
The minister said Railways provided a subsidy of ₹60,466 crore on passenger tickets in 2023-24. This translates into an average concession of 45% per passenger. Even after two fare rationalisations in 2025-26, increases ranged only from half paisa to two paisa per kilometre.
He added that there is no plan to introduce dynamic fares in Vande Bharat services. Concessions continue for persons with disabilities, patients and students. The government keeps fare revisions calibrated to balance affordability and operational costs.
