Ramkrishna Forgings, Titagarh Rail Systems bag Rs 122.3bn contract from Railway Ministry
A consortium of Ramkrishna Forgings Limited (RKFL) and Titagarh Rail Systems Limited (TRSL) has secured a contract valued at ₹12,226.5 crores to manufacture and supply 15,40,000 forged wheels over a span of 20 years.
This monumental deal, part of the Indian government’s AatmaNirbhar Bharat Initiative, seeks to curb India’s dependency on imported wheels by encouraging domestic production.
The project’s initial years will see the delivery of 40,000 wheels in the first year, followed by 60,000 wheels in the second, and then an output of 80,000 wheels annually for the remaining contract duration.
Umesh Chowdhary — Titagarh Rail Systems Vice Chairman and Managing Director said: “We are delighted to have been awarded this landmark contract and are gunning to commence production at the earliest. As a partner in the winning consortium, we at TRSL are wholly committed to realizing the Honourable Prime Minister’s vision of an Aatmanirbhar Bharat and will be resolute in our efforts to indigenize production of forged wheels in our country.
“With this contract, the Titagarh group is staying true to its motto of providing quality mobility solutions and strives to cement its status as a world-class service provider for the infrastructure sector.”
Designed to meet the needs of diverse platforms such as LHB coaches, WAG9 Locomotives, and Vande Bharat Express Trains, these wheels will be manufactured in a state-of-the-art facility set up by the consortium. This manufacturing hub aims to produce 2,00,000 wheels per year when it reaches full capacity, not only fulfilling domestic railway demands but also tapping into potential demand from the private sector and export markets.
In order to facilitate the smooth execution of this significant undertaking, the consortium plans a capital expenditure in the range of INR 1,000 to INR 1,200 crores.
Both companies will contribute equally to the equity, providing a sturdy financial base to support the project’s capital expenditure needs. This partnership is a testament to India’s push for self-reliance in industry, marking a significant step towards achieving 100% localized production of wheel components for the Indian Railways.
Naresh Jalan — Ramkrishna Forgings Managing Director Naresh Jalan said: “This project stands as a testament to our unwavering dedication to promoting indigenous manufacturing and fostering self-reliance. By harnessing our collective capabilities and wealth of experience, we are steadfast in our commitment to deliver unparalleled products that will significantly enhance the performance and safety of the Indian rail network.
“With a resolute vision to contribute to the growth of the Indian railways and cultivate self-sufficiency, our consortium eagerly anticipates establishing a long-term partnership with the Ministry of Railways.”