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Railways Plans To Introduce New Luxury Trains On Delhi-Mumbai And Delhi-Kolkata Sectors


By Dr arvind, Section Development
Posted on Wed Apr 02, 2008 at 02:48:11 AM EST

Metro cities may soon get a taste of luxurious train rides parallel to the famous Palace on Wheels (POW) running on the tourist circuits in Rajasthan. The Railways plans to introduce new luxury trains on Delhi-Mumbai and Delhi-Kolkata sectors which would include all the features and comfort offered by POW. The first such train may be rolled out as early as 2009. The Railways plan to target mainly foreign tourists and business travellers through its new product.

"The work on luxury trains has already been started and Indian Railways Catering and Tourism Corporation (IRCTC) has called for new coach designs for the new service. The tariffs for the new trains would be at par with the already running POWthat charges around $400 per night," a senior Rail Bhawan official said. The proposed luxury train would be operated and run by IRCTC. The organisation also runs POW. It is proposed that on metro circuit the train would be longer on length considering wide commuter interest. The luxury train will have 22 coaches that will include a bar, lounge, restaurants and special suites. The trains will also be well equipped with other recreational facilities.

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At present, the Railways operate two POW in Rajasthan circuit in collaboration with Rajasthan Tourism Development Corporation (RTDC). The venture is a 49:51 JV between the IRCTC and RTDC. So far, the luxury trains only run in Rajasthan. The Oberoi Group has plans to run 7-star luxury train, a step ahead of operational POW. The tariff would be double the rates of POWs in this luxury train. The Oberois are also in talks with IRCTC to form a JV with them and run a luxury train in the Rajasthan circuit.

The Railways are also set to form a new policy on running luxury trains. The Railways will revise its policy for such trains to ensure assured recovery of its costs. Earlier, the Railways was able to recover costs only if the occupancy levels of the luxury trains crossed 50-55%. Now, according to the new policy, the Railways would discontinue to bear fixed cost of operations. The state governments would now have to take care of such costs along with other variable costs like food and services inside the trains.

From: Economic Times, April-02-08

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