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Eastern Railway is undertaking capacity expansion projects worth around INR 12,000 crore over the next four to five years to increase route capacity across its network. Around INR 10,000 crore of the investment will be used for 563 km of line expansion, while INR 2,000 crore will go towards 10 bypass projects. Eastern Railway General Manager Gitika Pandey said the expansion would help improve logistics, supply chains and manufacturing competitiveness. The discussions also covered the role of MSMEs in the railway ecosystem and the recently passed MSME Development (Amendment) Bill, 2026, aimed at addressing delayed payments to small businesses.
Eastern Railway is investing around INR 12,000 crore in ongoing capacity expansion projects, with the works scheduled to be implemented over the next four to five years, a senior railway official said.
Speaking at the CII Rail Synergy & Bengal MSME Vendor Connect Summit 2026, Eastern Railway General Manager Gitika Pandey said the investment is focused on creating additional route capacity across the region.
Of the total investment, around INR 10,000 crore will be spent on expanding 563 km of railway lines, while another INR 2,000 crore will be allocated to 10 bypass projects.
Pandey said stronger railway connectivity can help reduce logistics costs, improve supply chains and support the competitiveness of the manufacturing sector. She also encouraged MSMEs to develop innovative products and cost-effective solutions to increase their contribution to the economy.
The capacity expansion is expected to support the movement of passengers and freight as demand for rail connectivity grows across eastern India. Additional routes and bypasses can also help improve operational flexibility by easing pressure on existing railway sections.
At the summit, P K Das, Director, MSME DFO, Kolkata, also briefed participants on the MSME Development (Amendment) Bill, 2026, which was recently passed by Parliament. The legislation seeks to address the long-standing issue of delayed payments to Micro, Small and Medium Enterprises.
The discussions brought together railway officials and MSMEs, with the focus on strengthening participation of smaller businesses in railway-related supply and manufacturing activities.
Source PTI