Pakistan Railways to Outsource 13 Passenger Trains by December
In this article (4)
Pakistan Railways will hand over commercial operations of 13 express passenger trains to private operators by December 31. The transfer expands an existing model that already sees private contractors running six passenger services across the national network.
Minister for Railways Hanif Abbasi directed railway authorities in Lahore to complete the bidding, advertising and contract awards before the end of the year. The state-run network is restructuring passenger and luggage operations while shifting its commercial weight toward higher-yielding transport corridors.
The Routes Bound for Private Tenders
The 13 services scheduled for private management include several long-haul express lines and regional passenger links. The list covers Tezgam, Karachi Express, Bahauddin Zakariya Express, Allama Iqbal Express, Sukkur Express, Fareed Express, Mohenjodaro Express, Sandal, Faiz Ahmad Faiz, Babu Passenger, Bulleh Shah Passenger, Lasani Express and Sialkot Express.
Private contractors take over ticketing, onboard services and passenger management on outsourced routes, while Pakistan Railways retains control of track infrastructure, locomotives and train drivers. Luggage vans will also pass to private operators under the same tendering programme.
“At present, the commercial operation of six trains is being carried out by the private parties,”
Commercial outsourcing allows the railway department to secure guaranteed concession revenue without carrying the operational overhead of retail ticketing, catering and onboard cleaning. For commercial transport operators, securing established long-distance passenger trunk routes provides predictable cash flow, though profitability depends heavily on locomotive reliability and punctual turnaround schedules.
“At present, the commercial operation of six trains is being carried out by the private parties,”
Freight Overtakes Passenger Earnings
Freight revenue has surpassed passenger revenue across Pakistan Railways for the first time in the department’s history. The carrier expects total earnings from passenger and freight operations combined to reach Rs120 billion by the close of the current fiscal year on June 30.
Industrial freight corridors have taken priority across Asian railway networks looking to reduce operating losses, from India’s dedicated freight corridors to Southeast Asian intermodal lines. In Pakistan, freight profitability gives the state carrier a financial buffer while passenger concessions transfer retail revenue risk to commercial partners. State authorities are also moving to protect revenue by blacklisting material vendors who miss supply deadlines, while installing modern closed-circuit television systems and private security guards at workshops and rail yards to halt parts theft.
Infrastructure Repairs and Fleet Recovery
Private train concessions will depend on track availability and rolling stock fitness. Pakistan Railways is accelerating the repair of idle coaches and wagons while replacing faulty brake cylinders, blocks and shoes across its fleet.
Heavy monsoon flooding damaged critical transport links earlier this year, cutting rail traffic on key industrial routes. Rehabilitation of the flood-damaged Mian Kallar Bridge on the Lahore-Faisalabad track is scheduled for completion within 60 days to restore full regional traffic.
Sukkur Track Works and Timetable Targets
Ongoing track renewal in the Sukkur division is scheduled to finish by December 31. Completing the replacement work will cut travel time by approximately 90 minutes on key north-south services connecting Punjab with Sindh ports.
Contract awards for the 13 passenger services will roll out through December, with the department targeting Rs120 billion in full-year operational revenue when the fiscal period closes on June 30.
Reader pulse
Is outsourcing more passenger trains a smart move for Pakistan Railways?
22,431 votes so far