Indian Railways revenue: Ever wondered how much they earn from a single ticket?

In India, millions travel by train daily. Let's see how much Indian Railways earns from a single passenger's ticket.

 Indian Railways Ticket Revenue: In India, Indian Railways' revenue is high because millions of people travel by train every day. Railways earn more from freight transport than from passengers. Have you ever wondered how much Indian Railways earns from tickets? Let's take a detailed look at this. 

Indian Railway

About 25 million people travel on Indian Railways every day. To facilitate these passengers' journeys, the railway operates thousands of trains every day. From time to time, the railway improves its network. It operates premium trains in this. Vande Bharat is the biggest example of this. The railway gets more revenue from these trains. According to a report released by the Ministry of Commerce in 2021-22, the railway earns Rs 400 crore per day. Most of this comes from railway passenger tickets. This also includes revenue from freight transport.

Indian Railway Revenue

Indian Railways spends lakhs of rupees every day to run trains. This includes expenses such as fuel, employee salaries, maintenance, and infrastructure. To cover this cost, the railway earns money from passenger tickets. All expenses such as service charges, infrastructure maintenance, and security arrangements are charged on passenger tickets.

Express Trains Revenue

The revenue from tickets varies depending on the type of train and the distance. According to estimates, the railway earns Rs 40 to Rs 50 per person from a normal mail or express train. At the same time, profits increase in premium trains like Rajdhani, Shatabdi or Vande Bharat. Indian Railways earns between Rs 100 and Rs 500 per passenger from people traveling on such trains.

Train Ticket Cancel Revenue

A portion of the revenue received by Indian Railways also comes from ticket cancellations. Many people cancel train tickets due to unforeseen reasons after booking them. According to railway rules, if a RAC or waiting list ticket is cancelled, Rs 60 will be deducted from the refund amount. On the other hand, if a confirmed ticket is cancelled 48 hours before the train departure time, Rs 240 will be deducted in First AC, Rs 200 in Second AC, Rs 180 in Third AC, Rs 120 in Sleeper Class and Rs 60 in Second Class. It is noteworthy that all these earn more revenue for the railway.