Indian Railways Collaborates with Indian Firm to Reduce Dependence on Imported Forged Wheels

Indian Railways has partnered with a local company to lessen its reliance on China for forged wheels, officials stated. Historically, the railways have imported these wheels from countries like the UK, Czech Republic, Brazil, Romania, Japan, China, Ukraine, and Russia since the 1960s. In 2024-25, approximately Rs 900 Crore worth of wheels were imported from China and Russia/Ukraine, while Steel Authority of India Limited (SAIL) supplied an additional 40,000 wheels.

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The ongoing conflict between Russia and Ukraine has led to China becoming the primary supplier for these imports. The Railway Ministry noted that the demand for wheels is expected to rise to 2 lakh by 2026 due to the introduction of more high-speed trains. Currently, domestic production capacity stands at only 75,000 wheels for 2024-25.

Domestic Production Expansion

To address this gap, Indian Railways plans to boost production by collaborating with an Indian consortium comprising Ramakrishna Forgings Ltd (RKFL) and Titagarh Rail Systems Ltd (TWL). This partnership aims to supply 80,000 wheels annually over the next two decades. The consortium's lead member, Ramakrishna, has requested to execute the contract through a Special Purpose Vehicle (SPV), which has been approved in principle by the Railway Board as of September 9, 2024.

The approval is contingent upon Ramakrishna holding a majority stake in the SPV. The Railway Ministry is awaiting a response from Ramakrishna regarding this stipulation. Meanwhile, the firm has secured 72.75 acres in Tamil Nadu for establishing the wheel manufacturing project. Construction is progressing well, with civil works such as shed construction underway.

Project Timeline and Developments

The vendor has informed the ministry that all necessary machinery has been ordered, with dispatches anticipated to commence in March 2025. The plant's completion is targeted for March 2026. Additionally, at Ramakrishna's request, the Railway Board has issued a letter permitting the provision of 20 wheels on a payment basis for sample purposes.

This strategic move aims to enhance India's self-reliance in wheel production and reduce dependency on foreign imports. By collaborating with local firms and expanding domestic capabilities, Indian Railways seeks to meet future demands efficiently while supporting local industry growth.