Train Travel to Get Costlier from July 1: Indian Railways Plans Fare Hike for Long-Distance Passengers

National News: If you're planning a long-distance journey by train, this news is important for you. The Indian Railways is set to introduce a new fare policy that may lead to a hike in ticket prices for both AC and non-AC coaches of mail and express trains. This revised fare structure is likely to be implemented from July 1, 2025. The Railway Board has already drafted the proposal and sent it to the Ministry of Railways for final approval.

What Does the New Fare Policy Say?

As per the new policy, ticket prices will be increased per kilometer based on the type of coach:

Coach                      Type                                      Proposed Increase (Per Kilometer)

Mail/Express             Non-AC                                ₹0.01 (1 paisa)

Mail/Express              AC                                       ₹ 0.02 (2 paise)

Second Class           (500 km+)                             ₹ 0.005 (half paisa)

Although the increase seems minor, its cumulative impact on long-distance travel will be more noticeable.

No Impact on Short-Distance Travelers

The Railways has clarified that this fare revision will only apply to journeys beyond 500 kilometers. Passengers traveling short distances, such as daily commuters or tourists visiting nearby locations, will not be affected by this hike.

Example: How Much Will the Fare Increase?

Let’s break it down with a simple example:

• If a passenger travels 1,000 km in a non-AC coach, they will have to pay ₹10 more (1,000 km × ₹0.01).
• If the same journey is in an AC coach, the additional cost will be ₹20 (1,000 km × ₹0.02).

While this increase may appear nominal per ticket, with millions of passengers traveling daily, the Railways could generate thousands of crores in additional revenue, which can be reinvested in enhancing passenger services.

Focus on Revenue and Service Improvement

Railway officials maintain that this modest fare hike is aimed at boosting revenue without significantly burdening passengers. The additional funds are expected to support:

• Launch of new trains
• Modernization of railway stations
• Improved cleanliness and punctuality
• Enhanced safety features for passengers

Officials also noted that the Railways witnessed a significant dip in revenue during the COVID-19 pandemic and subsequent economic slowdown, and this step is a part of a balanced recovery strategy.

Will It Apply to All Trains?

No. The fare hike will apply only to mail and express trains, and only to AC and non-AC reserved coaches.

The hike will not affect:

• Local trains
• Passenger trains
• Suburban rail services
• Special category trains (like Jan Shatabdi, Duronto, Garib Rath, etc.) — unless otherwise notified.

Awaiting Final Approval

The proposal has been approved by the Railway Board and now awaits clearance from the Ministry of Railways. Once approved, the new fares will be enforced nationwide from July 1, 2025.

If you're planning a long-distance train journey this year, it may be wise to book your tickets before July 1 to avoid the additional fare. Meanwhile, short-distance travelers can breathe easy, as their fares will remain unchanged. This fare policy signals another move towards building a smart, efficient, and passenger-friendly railway system—provided transparency and convenience for passengers are prioritized at every step.