Govt Approves Rs 13,041 Crore Infra Push: 4 Railway Projects And 1 Highway To Transform Connectivity


Mohul Ghosh

Mohul Ghosh

Aug 20, 2026


Government Clears Five Major Infrastructure Projects

The Union Cabinet has approved five major transport infrastructure projects with a combined investment of ₹13,041 crore.

The package includes four railway multi-tracking projects worth ₹9,450 crore and a ₹3,591 crore highway project in Bihar.

Together, the projects are expected to expand railway capacity, improve road connectivity, ease congestion and support faster movement of passengers and freight across five states.

Four Railway Projects To Add 410 Km Of Capacity

The four railway projects will add around 410 km of new railway capacity across West Bengal, Odisha, Andhra Pradesh and Tamil Nadu.

The projects are primarily focused on adding additional tracks to important sections of the Howrah-Chennai railway corridor.

This is expected to allow more passenger and freight trains to operate on some of the country’s busiest railway routes.

Kharagpur-Bhadrak Fourth Line Gets ₹3,352 Crore

The largest railway project in the package is the Kharagpur-Bhadrak fourth-line project, approved at an estimated cost of ₹3,352 crore.

The additional line is expected to reduce congestion on the existing corridor and improve the movement of trains between eastern and southern India.

The route is particularly important for freight movement because it connects major industrial and port regions.

Bhadrak-Haridaspur Fourth Line

The Cabinet has also approved the Bhadrak-Haridaspur fourth-line project at a cost of around ₹1,583 crore.

The additional track will increase capacity on the route and allow passenger and freight trains to operate more efficiently.

Together with the Kharagpur-Bhadrak project, the new infrastructure is expected to strengthen the railway network in Odisha and improve connectivity towards eastern India.

Gummidipundi-Gudur Gets Third And Fourth Lines

Another major project will cover the Gummidipundi-Gudur section in Andhra Pradesh.

The project has been approved at an estimated cost of ₹2,229 crore and involves the addition of both third and fourth railway lines.

The section forms part of an important route connecting southern India with the eastern coast.

Additional tracks are expected to increase capacity and reduce congestion as passenger and freight traffic continues to grow.

Cuttack-Paradeep Railway Expansion

The fourth railway project covers the Cuttack-Paradeep section in Odisha.

The project, estimated at ₹2,286 crore, will involve the addition of third and fourth lines.

The route is strategically important because Paradeep is a major port, making the corridor particularly relevant for the movement of industrial goods and commodities.

Greater rail capacity could help improve the movement of freight between the port and inland industrial centres.

₹3,591 Crore Highway Project In Bihar

Alongside the railway projects, the Cabinet has approved a major highway project in Bihar.

The Muzaffarpur-Sitamarhi-Sonbarsa section of National Highway-22 will be upgraded to four lanes at an estimated cost of around ₹3,591 crore.

The project will cover approximately 82.6 km.

The highway will improve road connectivity between Muzaffarpur, Sitamarhi and Sonbarsa and provide better access towards the Nepal border.

Faster Movement Of People And Goods

The highway project is expected to reduce travel bottlenecks and improve the movement of vehicles between important towns and commercial centres in northern Bihar.

Four-laning will increase road capacity and provide a more efficient route for passenger and freight traffic.

It could also support economic activity in areas along the corridor by improving access to markets and transport networks.

Rail Freight Movement To Get A Major Boost

The railway projects are particularly important for freight transportation.

Additional tracks allow freight trains to operate without being held up by passenger services as frequently as they are on congested single or double-line sections.

The approved projects are expected to increase railway freight capacity by around 13 million tonnes.

This could be important for industries dependent on the movement of coal, minerals, manufactured goods, agricultural commodities and other bulk cargo.

Five States To Benefit

The infrastructure package will have an impact across West Bengal, Odisha, Andhra Pradesh, Tamil Nadu and Bihar.

The railway projects strengthen a major east-coast transportation corridor, while the Bihar highway will improve connectivity within the state and towards the Nepal border.

The combined investment therefore goes beyond individual road or railway upgrades and forms part of a broader effort to expand India’s transportation capacity.

Why Additional Railway Lines Matter

India’s railway network continues to face capacity constraints on several heavily used routes.

When passenger and freight trains have to share limited tracks, congestion can lead to delays and restrict the number of trains that can be operated.

Multi-tracking addresses this problem by creating additional capacity.

It can allow more trains to operate simultaneously while improving scheduling flexibility and reducing delays.

A Boost For Logistics And Regional Growth

Better rail and road infrastructure can also reduce logistics costs and improve supply-chain efficiency.

For businesses, faster movement of raw materials and finished products can translate into lower transportation delays and better access to markets.

Regions connected to upgraded transport corridors can also become more attractive for manufacturing, warehousing, logistics and other commercial activities.

₹13,041 Crore Infrastructure Investment

The Cabinet’s latest approval represents another major investment in India’s transport infrastructure.

The four railway projects will strengthen important east-coast routes, while the Bihar highway will improve road connectivity across the northern part of the state.

With additional railway capacity, a new four-lane highway and better freight movement, the projects are expected to support both passenger mobility and economic activity.

For India, the bigger objective is clear: build more transport capacity before existing infrastructure becomes an even bigger bottleneck.

Summary

The Union Cabinet has approved five transport infrastructure projects worth ₹13,041 crore. Four railway multi-tracking projects account for ₹9,450 crore and will add around 410 km of railway capacity across West Bengal, Odisha, Andhra Pradesh and Tamil Nadu. The projects include additional tracks on the Kharagpur-Bhadrak, Bhadrak-Haridaspur, Gummidipundi-Gudur and Cuttack-Paradeep sections. A ₹3,591 crore project will also four-lane an 82.6-km section of NH-22 between Muzaffarpur, Sitamarhi and Sonbarsa in Bihar. The projects are expected to ease congestion, improve passenger and freight movement, increase rail capacity and strengthen regional connectivity.


Mohul Ghosh
Mohul Ghosh
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