Exclusive | Railways issues Rs 2,000 cr tender for manufacturing of 44 Vande Bharat trains: Sources

In a big development for the public and privates companies who have business interests in the railway sector, a new opportunity has arisen to work with the Indian Railways. The Railways has thrown open tenders for companies to manufacture 44 Vande Bharat trains. This tender is worth Rs 2000 cr. Zee Business' Samir Dixit has a detailed report on this. 

The Railway Department has said that the manufacturing of all the 44 Vande Bharat trains needs to be done in three railway factories – Rail Coach Factory in Kapurthala, Integral Coach Factory in Chennai and Modern Coach Factory in Rae Bareli.

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#ZBizExclusive | सरकार ने करीब ₹2,000 करोड़ का 44 वंदे भारत ट्रेन का टेंडर किया जारी: सूत्र

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The biggest upside of this tender is that it is a domestic tender, he said. The company which will be manufacturing the coaches will have to procure 75 per cent of the components from the local manufacturers. 

The biggest company which is seen to be at the forefront of this is Bharat Heavy Electricals Limited (BHEL). 

After the tendering formalities are complete and the contract is awarded, it is expected that the biggest beneficiaries will the domestic industry. This move is in line with the government’s focus on an ‘Atma Nirbhar Bharat’, Dixit said in his report.  

According to the Indian Railways, this tender will also play a big role in the Modi Government’s flagship programme Make in India. 

Dixit said that the government had issued this tender on previous three occasions, but the process could not materialise because of technical reasons.  

This time it is expected to be successful as this tender has been designed with the focus on Atma Nirbhar Bharat and Make in India initiative, he added. 

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The government is planning to complete the entire process in the next three months. This process is likely to get completed in this financial year and it can be expected that the manufacturing would start by next financial year.