Cabinet Approves ₹13,041 Crore Rail and Road Projects Across Five States

The Union Cabinet has approved five major infrastructure projects worth ₹13,041 crore, covering railway expansion in four states and a major highway upgrade in Bihar. The projects are aimed at improving passenger and freight movement, reducing congestion and lowering logistics costs.

The Cabinet Committee on Economic Affairs approved four railway multi-tracking projects with a combined investment of ₹9,450 crore. Together, these projects will add about 410 km to the Indian Railways network across West Bengal, Odisha, Andhra Pradesh and Tamil Nadu. The projects are being taken up under the PM Gati Shakti framework.

One of the biggest projects involves the Kharagpur-Bhadrak section in West Bengal and Odisha. The government has approved third and fourth railway lines along the 173-km route at a cost of ₹3,352 crore. The project will include 41 major bridges and 169 minor bridges.

Another project will add a fourth line along the 75-km Bhadrak-Haridaspur section at an estimated cost of around ₹1,533 crore. These additional tracks are expected to increase the capacity of one of eastern India’s important rail corridors.

The projects also cover the Gummidipundi-Gudur section in Andhra Pradesh and Tamil Nadu, as well as the Cuttack-Paradeep route in Odisha. The wider railway expansion is expected to support the movement of both passengers and goods, particularly along routes that connect industrial areas, ports and major markets.

The government expects the railway projects to add around 13 million tonnes of freight capacity. Better rail capacity could also help reduce pressure on roads and improve the movement of bulk goods across the eastern and southern parts of the country.

Alongside the railway projects, the Cabinet has approved the four-laning of the 82.578-km Muzaffarpur-Sitamarhi-Sonbarsa section of NH-22 in Bihar. The project has a capital cost of ₹3,590.73 crore and will be developed under the Hybrid Annuity Mode.

The highway will strengthen road connectivity in northern Bihar and improve access towards the Nepal border. Better road links could support trade, movement of agricultural products and regional economic activity.

The infrastructure package is also expected to have a wider economic impact. According to statements reported after the Cabinet decision, the projects could save about ₹433 crore in logistics costs each year and generate around 2.6 million jobs.

For India’s infrastructure sector, the approvals underline the government’s continued focus on expanding transport capacity rather than simply building individual roads and railway lines. New tracks, bridges and highways can improve the movement of people and goods while creating stronger links between production centres, ports, markets and border regions.

The latest approvals also show how rail and road infrastructure are being planned together. As new transport links improve, surrounding areas could see greater commercial activity, industrial investment and demand for supporting infrastructure.

With five projects now cleared, the focus will shift to execution, land requirements, construction timelines and cost management. The success of the projects will ultimately depend on how quickly the planned capacity reaches the ground.