Indian Railways Clocks ₹6,735 Crore Revenue from Scrap Disposal in FY26, Beats Target

Indian Railways reported its highest-ever earnings from scrap disposal in the financial year 2025-26, generating ₹6,735.52 crore in FY26, as per news reports.  

This exceeded the annual target of ₹6,000 crore by more than 12%, marking a rise in non-fare revenue. 

Auction Volumes and Late-Year Push 

A total of 5,053 e-auctions were conducted during the year. Disposal activity gathered pace in March, contributing to the final push beyond the target.  

Officials indicated that digital auction systems supported wider participation and improved price realisation. 

Performance Across Zones 

South Central Railway reported ₹641.92 crore against a target of ₹510 crore. Western Railway recorded ₹639.96 crore, exceeding its target of ₹470 crore by over 36%. 

Eastern Railway generated ₹595.57 crore, while Northern Railway posted ₹589.62 crore. Southern Railway contributed ₹531.17 crore. South Eastern and Central Railways reported ₹459.89 crore and ₹458.93 crore respectively. 

East Coast Railway recorded ₹290.22 crore, surpassing its ₹260 crore target by 11.62%. South Western Railway fell short, earning ₹154.96 crore against a target of ₹175 crore. 

Nature of Scrap Disposal 

The material disposed included condemned rails, permanent way components and ferrous scrap. Decommissioned rolling stock such as locomotives, coaches and wagons was also auctioned.  

Clearance activities were carried out across divisions, workshops, and loco sheds. 

Role of Internal Units 

Production units and workshops contributed to the overall total through disposal of obsolete inventory and scrap generated during manufacturing. Coach factories reported higher-than-target clearances during the year. 

Operational Measures 

The outcome was linked to ongoing cleanliness and clearance drives, including “Swachhata Hi Seva” and “Mission Zero Scrap”. These initiatives focused on removing unused materials and freeing up space within railway premises. 

Read More: Amul FY26 Turnover Tops ₹1 Trillion, Driven by Distribution and Exports! 

Conclusion 

The FY26 performance indicates an increase in revenue from scrap disposal alongside operational clean-up efforts. With a limited number of auctions pending at year-end, disposal activity is expected to continue in the next financial year. 

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