Indian Railways charge less than half of cost from passengers (2024)

Govt's refusal to make up for loss via subsidy hurting transporters

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Indian Railways Earning

Shine Jacob | New Delhi
Last Updated at February 5, 2018 05:45 IST

Indian Railways charge less than half of cost from passengers (1)

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The Indian Railways faces flak for lack of quality services. However, a deeper look into the railway accounts reveals that the national transporter is unable to recover more than half the cost of a passenger ticket. According to the latest figures, the railways bear 73 paise in cost for every 10 km travelled, while it only charges 36 paise per passenger.

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First Published: Mon, February 05 2018. 05:45 IST

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Indian Railways charge less than half of cost from passengers (2024)

FAQs

What is the cost of a passenger train in India? ›

“The cost of manufacturing a 16-coach Vande Bharat train would be roughly Rs 110 crore to Rs 120 crore.

What are the charges of train tickets? ›

RESERVATION CHARGES
ClassReservation fee for Journey originating from station where ticket has been issued.Enhanced Reservation fee for journey originating from a station other than the one from where ticket has been issued.
AC FirstRs. 35/-Rs. 50/-
AC 2-TierRs. 25/-Rs. 40/-
AC 3-TierRs. 25/-Rs. 40/-
FirstRs. 25/-Rs. 40/-
3 more rows

How can I book train ticket in less price? ›

You can wisely save the money on online train ticket booking. Here are some smart tips for booking tickets and saving money.
  1. Book Ticket in Advance. ...
  2. Split Your Booking. ...
  3. Look for Cashback Offers. ...
  4. Use IRCTC Payment Card. ...
  5. Avail Senior Citizen Discount Quota. ...
  6. Choose to Travel in Sleeper Class. ...
  7. Get Online Food at a Low Cost.
Apr 30, 2022

What is railway surcharge? ›

Fuel Surcharge is a tool that was designed for railroads to recover the cost of fuel that is consumed when they move railcars. Moving railcars takes a lot of fuel, and freight engines use a significant amount.

Why is traveling by train the cheapest? ›

Train travel is often cheaper than flying, in part because you can generally take more with you before paying extra baggage fees. It can also be more convenient and relaxing than driving, especially if you'd be driving in an unfamiliar place or driving for many hours nonstop to get to your destination.

What is the cost of transportation by passenger train? ›

According to the latest figures, the railways bear 73 paise in cost for every 10 km travelled, while it only charges 36 paise per passenger.

What is convenience fee in Indian Railways? ›

IRCTC levies a convenience fee of Rs 15 for non-AC tickets and Rs 30 for AC tickets, both excluding GST. The largest contributor to profits and a significant source of income for IRCTC is the convenience fee applied to online tickets.

Do you have to pay to get in a train? ›

In most circ*mstances, you must purchase a ticket before you board a train. Most trains require reservations and you should not board reserved trains without a reservation. Passengers who do so are not guaranteed a seat and may be instructed to get off the train at the next station stop.

Is it cheaper to buy train tickets before? ›

Advance tickets are usually the cheapest way to travel by train, and generally go on sale 12 weeks before your date of travel. You have to travel on the train you're booked on, but you get a much cheaper price by foregoing flexible travel times. Full details on Advance tickets can be found here.

What day are ticket prices cheapest? ›

Typically, Tuesday, Wednesday, or Saturday is the cheapest day to fly. If you can structure your travel schedule around these days, these will likely be the best days to fly – both for a lower cost and a less-hectic airport experience.

What times are train tickets cheapest? ›

A general rule of thumb is that Off-Peak will begin at 09:30 Mondays to Fridays in cities and large towns, and 09:00 across the rest of the network. Weekends and Bank Holidays are Off-Peak all day.

What day are train tickets the cheapest? ›

Light on the pocket meets peace of mind

According to Frommer's, Amtrak offers specials every week, and it's best advised to check on Tuesdays and Fridays to see what sale deals are offered by them.

How do railroads charge customers? ›

Railroads use differential pricing to cover their fixed and variable costs. Under differential pricing, railroads price their services so that they cover variable costs and realize different contributions to fixed costs from different customers.

What is the surcharge law? ›

Surcharges. You may choose to add a fee or charge on prices such as a public holiday or credit card payment surcharge. If you do, the price you display must include any surcharge. If you're running a restaurant, café or bistro, the menu must state that a surcharge applies and on which days.

What is the difference between a fee and a surcharge? ›

A convenience fee is levied by a merchant for offering customers the privilege of paying with an alternative non-standard payment method. Merchants can process convenience fees in all 50 states. A surcharge is levied by a merchant for customer purchases made with a credit card.

Is roundtrip cheaper Amtrak? ›

Also: Round-trip fares are cheaper, too, on Amtrak, but the margin is much smaller.

What is the cheapest way to travel across America? ›

Camping — Dotted around the country — including around all the national parks — are inexpensive campsites. If you have a tent and camping gear, this is by far the cheapest way to travel.

Are railways cheap? ›

The railway is the most affordable way to travel in India, and as a trustworthy travel brand, EaseMyTrip understands the value of your money and desire to travel.

Why are passenger trains so expensive? ›

Conclusion: The Cost of Train Travel

Taking trains in America is often much more expensive than flying because railways are owned by freight companies and charge Amtrak for their use. In addition, the government hardly subsidizes any part of passenger rail, which drives up prices.

Is it cheaper to transport by train or truck? ›

Rail shipping is considered one of the most cost-effective modes of transportation, especially for large volumes traveling long distances. Due to its ability to move major quantities of freight at one time, rail shipping has a lower cost-per-ton-mile (the cost of moving one ton of freight one mile) than truck shipping.

How much does it cost to ride a train us? ›

Of the 156 cities in California with train service, the average cost of train tickets is $118.00 on the top routes. The cheapest ticket available costs $18.00 while the most expensive ticket is $420.00 at this time.

Why do I have to pay a convenience fee? ›

Convenience fees are charged by businesses to cover the cost they pay to payment processing companies for when a customer pays by credit card. A convenience fee is different from a surcharge, which is a charge simply for just using a credit card. Surcharges are illegal in some states.

Is convenience fee a passenger? ›

The fee is charged per customer per transaction.

Why do they take convenience fee? ›

A pay-to-pay fee – also known as a convenience fee – is a fee charged by a company when you make a payment through a particular channel. For example, companies sometimes allow you to make a payment in person or by mail for free but charge you a fee for the convenience of taking your payment over the phone or online.

What is it called when you get on a train without paying? ›

Fare evasion or fare dodging, fare violation, rarely called ticket evasion, is the act of travelling on public transport without paying by deliberately not buying a required ticket to travel (having had the chance to do so).

Can you just buy a train ticket on the train? ›

It is no longer possible to buy the full range of tickets on board a train. Like all train companies*, you must buy a ticket before you board, or risk getting a penalty fare.

Can anyone travel in a train without ticket? ›

If you have not been able to get a confirmed ticket due to any reason, as per Indian Railways rules, you may still travel using the waiting ticket. To use this option you have keep in mind that the waiting ticket should be obtained from the ticket window. Online unconfirmed tickets are not eligible for this option.

How to get cheap train tickets in India? ›

Save Money by Booking Ticket in Advance

If you have pre-planned your journey, get your tickets 120 days in advance when the Indian railway ticket booking window opens just to avoid the rush. Tatkal tickets are more expensive, and the chances of getting a confirmed ticket are less.

How early should you buy train tickets? ›

Always Book Early

Cheap train tickets are usually released by train operators in advance of the journey. Normally, this is around 12 weeks in advance, as the timetable for any particular day is normally confirmed 12 weeks in advance.

Is it cheaper to buy train tickets on the day or online? ›

Advance purchase tickets are cheaper rail fares which are sold prior to the day of travel, and, in some cases on the day of departure.

Is it better to buy tickets in the morning or night? ›

According to Skyscanner's research, the best time to book on any given day is around 5 a.m. So, it's true that the early bird gets the worm. Or, the flight deal, that is. In addition, whether you want to save on domestic or international flights, you should also fire up your laptop on Sunday.

Is it cheaper to book tickets last minute? ›

Timing plays an important part. Specifically, plane tickets usually don't get cheaper closer to the departure date. Instead, flights tend to be the most inexpensive when you book between four months and three weeks before your departure date.

Will airfare go down in 2023? ›

In 2023, we expect that [trend] to reverse and year-over-year fares to fall,” Keyes said, pointing to Federal Reserve data indicating recent, modest drops in airfare—a shift that comes as airlines have begun to add more flights, fueling competition.

How much is a senior railcard? ›

How much is a Senior Railcard? A Senior Railcard costs just £30 for one year or £70 for three years.

Is it cheaper to buy tickets same day? ›

In general, same-day flights are cheaper than booking in advance, but it isn't always the case. Sometimes, booking a flight six months in advance might seem like a good idea.

What is the best way to book train tickets? ›

IRCTC has been the most used website for train tickets booking...

Do train tickets get cheaper closer to departure? ›

They're normally cheaper than the on-the-day price, but as it gets closer to the date of travel the price tends to go up.

How can I save on train travel? ›

7 ways to save money on train tickets
  1. Be an early bird. You can save a whopping 50% on train tickets by booking ahead, according to Trainline. ...
  2. Avoid peak times. ...
  3. Split your train tickets. ...
  4. Invest in a railcard. ...
  5. Look for discounts. ...
  6. Beware booking fees. ...
  7. Exercise your rights.
Jan 22, 2019

Does Amtrak offer AARP discounts? ›

Standard Amtrak Discounts (Students, Seniors, etc.)

Seniors: Travelers 65+ receive a 10% discount (excludes Auto Train). There is no additional AARP discount. Military: 10% discount for military personnel plus their spouses and dependents.

Do railroads have pricing power? ›

Given the monopoly nature of the railroad business, pricing power is abundant, with every product type seeing higher average revenue per car compared to the prior year. Even weak areas, such as autos and intermodal, had considerably higher prices.

What is the person in charge of a train station called? ›

1) The Station Master shall be responsible for the efficient discharge of the duties devolving upon the staff employed, either permanently or temporarily, under his orders at the station or within the station limits and such staff shall be subject to his authority and direction in the working of the station.

Who owns railways in USA? ›

U.S. railways are privately owned and operated, though the Consolidated Rail Corporation was established by the federal government and Amtrak uses public funds to subsidize privately owned intercity passenger trains.

How do you avoid surcharges? ›

There is Section 80C (deduction to Rs 1.5 lakh); Section 80D for medical insurance premium (Rs 30,000 for senior citizens and Rs 25,000 for others; Rs 55,000 if a young man bears the burden for his parents); Section 80CCD(1B) for investment in NPS (up to Rs 50,000); Section 24 on interest repayment on home loan (up to ...

Can surcharge be waived? ›

Fuel surcharges are generally waived when you pay with a fuel credit card to purchase petrol or diesel. In addition, you will not be charged an additional fee for using your credit card to pay for fuel. This can be a great benefit if you often use your credit card to pay for fuel, as it can save you money.

Is charging a surcharge illegal? ›

Businesses can charge a surcharge for paying by card, but the surcharge must not be more than what it costs the business to use that payment type. If a business charges a payment surcharge, it must be able to prove the costs it is based on.

What states are surcharges illegal? ›

To date, only two states and one jurisdiction still outlaw the use of credit card surcharges. They are a result of non-qualified transactions of different communications methods.: Connecticut, Massachusetts, and Puerto Rico.

How do I calculate a surcharge? ›

If you surcharge each card's rate according to its exact fee (called dynamic surcharging), multiply that card's specific rate and multiply it by the order value. Note that this method results in the exact surcharge amount and recovers the most fees.

What are examples of surcharges? ›

Examples of surcharges include ATM fees, fuel surcharges, broadcast TV surcharges, disposal fees, handling fees, hazardous waste fees, filing fees, tips and gratuities, processing fees, convenience fees, and checkout fees.

Is the cheapest luxury train in India? ›

Majestic tourist trains and Buddha Express are the cheapest luxury train in India.

How much is a first class train ticket in India? ›

Second Seating or 2S:
ClassFare (Rs.)
First AC (1A)1940
Executive Class (EC)1930
Second AC (2A)1150
First Class (FC)950
4 more rows

Can you own a private train in India? ›

For the first time since 1951, the Indian railway has opened its doors to privately owned operators. With the news of the privatisation of Indian Railways, private trains with world-class amenities have arrived in India.

Can you have a private train in India? ›

In this article, we will learn everything there is to know about the Private Train in India. The Railways has said that 151 trains will be run by private companies and current operations. The 109 OD Pairs on the Indian Rail network have been arranged into 12 Clusters. Each train must have a minimum of 16 carriages.

What is the most expensive Indian railway ticket? ›

Tickets for the Maharajas' Express can cost up to Rs 20 lakh for a six-night journey if the presidential suite is chosen. Indian Railways, besides being the largest rail network in Asia, also provides luxury train experience to its passengers.

What is the most expensive train ticket in India? ›

Most Expensive Train In India: The Maharaja Express is the most luxurious and expensive train. The ticket for riding on this train can cost you more than 19 lacs. The Maharajas' Express recreates that exclusive experience for its guests. A person can choose between four routes to travel for seven days on this train.

Which is the most costly train ticket in India? ›

The Maharajas' Express train serves four routes across the North West and Central India, mainly centred on Rajasthan. The most expensive ticket on the train costs a whopping Rs 19,90,800, excluding Goods and Services Tax (GST).

How to book train tickets in India from USA? ›

Foreign Tourists (including NRIs) holding valid passport can now avail Foreign Tourist Quota facility to book railway tickets online using IRCTC eTicketing website www.irctc.co.in. International Users can book tickets under Foreign Tourist Quota upto 365 days in advance.

Can I travel in sleeper class with general ticket? ›

Now you can travel in sleeper coach in general ticket and the special thing is that for this you do not have to pay a single extra charge. Indian Railways has decided that now passengers taking general tickets can also travel in sleeper class in view of the harsh winter across the country.

Is India's first luxury train? ›

Palace on Wheels

First in the list is the Palace on Wheels. This is undoubtedly one of the finest luxury trains in India. It is also the first luxury train that started on 26th January 1982.

Can a girl travel alone in train in India? ›

For example: according to section 139 of the Indian Railways Act 1989, if a woman is travelling alone without a male passenger and is with her child, she cannot be ordered to get off the train at night if she is found without a rail pass or ticket.

Can we rent train in India? ›

Yes, you can book a full coach in train through IRCTC FTR service. Full Tariff Rate or FTR service allows you to book a coach or entire train. Individuals or organizations can make the booking by visiting the IRCTC official website – www.ftr.irctc.co.in.

Who is the owner of Indian Railway? ›

Indian Railways (IR) is a statutory body under the ownership of the Ministry of Railways, Government of India that operates India's national railway system. It manages the fourth largest national railway system in the world by size, with a total route length of 68,103 km (42,317 mi) as of 1 February 2023.

Can we sit anywhere in passenger train? ›

You can sit anywhere in the general coaches if you have a general ticket. On the other hand, if you have booked a 2S seat in train, you will get a dedicated seat number. Only you are authorised to sit in your 2S seat in train as it is reserved.

What happens if you get on a train without ticket in India? ›

Punishment: Ordinary single fare for the distance which he has travelled or from the station from which the train started and the excess charge i.e. `250/- or equivalent to the fare whichever is more. Punishment :6 months jail, fine `1,000/-or both. Punishment :12 months jail, fine`1,000/-or both.

Can a girl travel alone in train? ›

I took over 10 train journeys, all of them solo. I learned a few things about solo female train travel in India. To summarise, train travel is safe, even for solo female travellers, and we should not be put off it.

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