Indian Railways will rationalise passenger fares from December 26, 2025, introducing marginal increases for longer journeys and select categories while keeping suburban and short-distance fares unchanged.
Officials said the revision is aimed at balancing rising operational costs without placing a burden on the majority of passengers. The increase will primarily affect long-distance travel, with minimal impact on fares.
For ordinary class journeys beyond 215 km, fares will rise by 1 paisa per kilometre. In Mail and Express non-AC trains, fares will increase by 2 paise per kilometre, while AC class fares across categories will also see a hike of 2 paise per kilometre. According to officials, a passenger travelling 500 km in a non-AC coach will pay only Rs 10 more.
Suburban services and short-distance travel have been kept outside the revision. There will be no change in fares for suburban trains or monthly season tickets, offering relief to daily commuters. Ordinary class travel for distances up to 215 km will also remain unchanged. The Railways said these categories have been protected to ensure affordability for regular and lower-income travellers.
Indian Railways expects to generate around Rs 600 crore in additional revenue during the current financial year from the revised fare structure. Officials noted that operating costs have risen significantly in recent years, with manpower expenses touching Rs 1.15 lakh crore and pension liabilities reaching Rs 60,000 crore. Overall operational expenditure is estimated at Rs 2.63 lakh crore in 2024–25.
The Railways attributed the rising costs to network expansion and enhanced safety measures, which have required increased staffing. To offset these expenses, the focus has been on boosting cargo loading along with limited passenger fare rationalisation, measures that officials said have improved efficiency and safety.
India has now emerged as the second-largest cargo-carrying railway network in the world. The Railways also cited the successful operation of more than 12,000 additional trains during the recent festival season as an indicator of improved planning and operational capability.
Despite the fare revision, Indian Railways reiterated its commitment to its social responsibility, stating that efforts will continue to improve efficiency, control costs, and ensure safe and affordable travel for passengers across the country.
👉 Click here to read the latest Gujarat news on TheLiveAhmedabad.com