homeeconomy NewsPM Modi flags off 5 new Vande Bharat trains: A look at economic impact of these semi high speed trains

PM Modi flags off 5 new Vande Bharat trains: A look at economic impact of these semi-high-speed trains

With the launch of the five new trains, a total of 23 Vande Bharat trains will be operational in the country. Since the introduction of the Vande Bharat Express trains, railway stocks have surged indicating a positive impact for the companies.

Profile image

By CNBCTV18.com Jun 27, 2023 4:33:38 PM IST (Published)

Listen to the Article(6 Minutes)
3 Min Read
PM Modi flags off 5 new Vande Bharat trains: A look at economic impact of these semi-high-speed trains
Prime Minister Narendra Modi flagged off five Vande Bharat trains today from Bhopal's Rani Kamlapati railway station. Out of the five, two trains will be operating in Madhya Pradesh and one in Karnataka. One new Vande Bharat Express connecting Patna and Ranchi has also been inaugurated. The first Vande Bharat Express between Mumbai and Goa was also among the five trains flagged off by PM Modi.

Share Market Live

View All

With the launch of the new five Vande Bharat Express trains, the total count of the premium trains has reached 23. Currently, Vande Bharat trains are operational on 18 routes across the country. These semi-high-speed trains have been a favourite among travellers as they provide world-class passenger amenities.
Impact of Vande Bharat Trains
The Vande Bharat trains were aimed to showcase India's technological capabilities in railway manufacturing and provide a world-class travel experience. The trains have been designed and built in India in a push toward indigenous development.
The impact of these trains has been significant as they match the global standards of performance, safety, and passenger comfort at almost half of the cost, compared to the same mode of transport in other countries.
The trains are also equipped with an indigenously developed ‘Kavach’ -Automatic Train Protection System, which boosts the train’s overall security parameter.
PM Modi has emphasised that the various trains launched in different routes will connect financial hubs, religious places and tourist hubs to boost trade and tourism in the country.
Special trains like the Guwahati- Jalpaiguri Vande Bharat would potentially strengthen the historical ties between Assam and West Bengal, according to PM Modi.
Other trains, launched in Maharashtra, Central India and Southern India, are also expected to have a significant economic impact in the regions.
Economic Impact of Vande Bharat Trains on Companies
Since the introduction of the Vande Bharat Express trains, railway stocks have surged indicating a positive impact for the companies.
Earlier in March, when the tender for the manufacturing of 200 Vande Bharat trains was floated, companies such as Rail Vikas Nigam, Titagarh Wagons and Bharat Heavy Electricals (BHEL) emerged as the lowest bidders.
Other companies such as BEML Ltd which provides coaches for the metro and Indian Railways had also witnessed a surge in their share prices earlier in June.
Bharat Heavy Electricals Ltd (BHEL) has also marked a surge in share in recent times.
Earlier in January, the IBEF had reported that the Indian Railways plans to invest Rs 18,000 crore ($ 2.17 billion) to upgrade its locomotive maintenance facilities for the Vande Bharat trains. This is expected to further provide a boost to the companies involved in the development of these projects.

Most Read

Share Market Live

View All
Top GainersTop Losers
CurrencyCommodities
CurrencyPriceChange%Change