The gross traffic receipts have registered a growth of over 7.3% to Rs 94840cr against Rs 88356cr during FY10, while the same was higher by Rs 75cr against the budgeted estimates of Rs 94765cr. Freight loading for the year remains subdued to 924mt against the estimates of 944mt costing Rs 2000cr revenue to the railways, while the net loss on account of disruption of trains movement stood over Rs 1500. The ordinary working expenses have been revised to Rs 67000cr, an increase of 3% over previous estimates. Considering the impact of 6th pay commission on railways, the performance looks, meager with operating ratio at 72.1%.

Railways expects gross traffic earnings to augment by 12% to cross Rs 100,000cr mark for the first time in Indian Railways history to Rs 106,239cr in FY12, driven by 7.1% augmentation in freight earning and 6.4% growth in passenger earnings.

With freight tariff remaining unchanged, ministry expects freight volume to increase by 7.5% to 993 mt. Operating ratios are expected to improve at 91% from 84%.

Railway ministry has proposed Rs 57630cr, the highest ever plan investment to provide efficient, customer focused and modern rail network. With government focusing on adding 700 km new rail lines in one year as against previous five year average of 219 km/year and 180 km in last 59years. It has allocated Rs 9583cr for new line addition and is expected to spend Rs 13824cr on buying rolling stock. Plan would be financed through gross budgetary support of Rs. 20,000cr, diesel cess of Rs 1041cr, internal resources of over Rs14000cr, market borrowing would be Rs 20594cr while borrowing through IRFC ~ tax free bond of Rs. 10,000cr.

During the year 18000 wagons will be acquired while the target for last year was also 18000 wagons, out of which 16500 wagons have been procured form various players.

Railways loaded 924mt of freight cargo which is a 3.8% growth over the previous year. This is lower than the target of 44mt largely on account of lower Iron Ore exports from Karnataka.

The freight traffic target for year 2011-12 has been fixed at 993mt. This translates into an incremental loading of 69mt versus 2010-11.