Following recent investment and with more planned, passengers are returning back to the railways

Recession proof

Travelers shunning air travel have provided a welcome boost to the industry but according to railways minister Lalu Prasad, growth isn't soley at the expense of the air industry, "Even as air travel is reportedly reflecting reduction in the number of passengers due to economic recession, there has been a significant increase of passengers of the higher classes on the railways".

Increased reliability, reduced fares

The network, one of few mixed systems (freight and passenger) to make a profit, now employs 1.4 million people and carries 15 million people per day. This weeks 2% reduction in fares by Government, a populist gesture in election year shows that finances are strong.

High speed investment

Investment to date includes internet and phone booking and information services. Call centers handle 500,000 enquiries each day and further money will be spent. A five-year investment program up to 2012 will see improved rolling stock and high speed rail lines, possibly leading to 300 kph high speed trains.

With cheap travel a must in India, the railway system is well placed, attracting passengers back from the airlines is a bonus.