Indian Railway Freight to Cost Less during July-Sep

Railway freight charges will go down by 15% for a period of July to September on exemption of Busy Season Charges.

Indian railways charge extra freight during peak season, which is applicable for ‘April-June’ and ‘Oct-March’ every year. This is an additional charge paid at the rate of 15 % on basic freight rates.

This will bring a relief of nearly INR 100-150/MT on transportation of key commodities like iron ore and coal across all sectors.

Steel plants located in states like West Bengal, Chhattisgarh and Maharashtra will benefit, as maximum transportation of material is done though railways. Whereas, Odisha, Jharkhand and Karnataka will not be benefited much where transportation is majorly done thorough roadways.

What is Busy Season Freight?

Busy Season Freight is implied starting from April to June and again from October of the same year upto March of the following year. These are also known as peak season charges. During peak season, additional 15% railway freight are to paid. Other than above mentioned months, the period from July 1 to September 30 of every year is treated as lean season. 

Busy Route Season Charges wef 2009

Implementation done in the month of October of each mentioned year
Source: as per Rate Circular mentioned by Indian Railways