Indian Railways Reveals Revised Fare Structure from Dec 26

By John Pranay (Editor)

Indian Railways is set to increase train ticket prices from December 26, 2025, with the Ministry of Railways announcing a revised fare structure. The move aims to generate an additional Rs 600 crore in revenue, as estimated by the government. The price hike will apply to journeys exceeding 215 kilometers, with passengers in Ordinary Class paying an extra 1 paisa per kilometer and those in Mail and Express trains, both Non-AC and AC classes, paying 2 paise per kilometer more.

The Indian Railways Ministry has introduced a revised fare structure for train travelers, effective from December 26, 2025. The changes will impact passengers traveling on Mail and Express trains, with a hike of 2 paise per kilometer for both Non-AC and AC classes. Ordinary Class journeys up to 215 km will remain unchanged, while those beyond this distance will attract an increase of 1 paisa per kilometer. The revised prices will be visible on the IRCTC application and website from December 26. The Ministry of Railways has stated that the fare revision will help in tackling rising operational costs and generating additional revenue.

Indian Railways has undergone significant changes in recent years, with a focus on improving safety standards and increasing operational efficiency. The network has expanded rapidly, extending its reach to remote regions, and has become the world's second-largest cargo railway system. To manage this growth, the Railways have increased their workforce, leading to higher manpower costs. The Ministry has also implemented measures to improve safety and efficiency, including the introduction of special trains during peak travel seasons.

The price hike may lead to increased costs for passengers, particularly those traveling long distances. The revised fares may also impact the demand for train travel, potentially affecting the revenue generated by the Railways. Additionally, the increased costs may lead to a decrease in the number of passengers, potentially affecting the overall efficiency of the Railways. The Ministry has stated that the fare revision will help in tackling rising operational costs, but the impact on passenger demand and revenue remains to be seen.

The revised fare structure will come into effect from December 26, 2025, and the exact impact on train ticket prices will be visible on the IRCTC application and website from that date. The Ministry of Railways has stated that the fare revision will help in generating additional revenue, but the impact on passenger demand and revenue remains to be seen. The Railways have also planned extensive operations of special trains for the Christmas and New Year travel season of 2025-26, with a total of 244 additional trips scheduled across eight zones.

This move by the Indian Railways Ministry suggests that the government is prioritizing revenue generation over passenger convenience. The price hike may lead to increased costs for passengers, potentially affecting the demand for train travel. However, the Ministry has stated that the fare revision will help in tackling rising operational costs, which is a crucial aspect of maintaining the efficiency of the Railways. This decision also highlights the government's focus on improving safety standards and increasing operational efficiency, which is a crucial aspect of maintaining the Railways as a vital mode of transportation in India.

Overall, the medium-term sentiment around this story is Bullish.

1. Indian Railways Hikes Train Ticket Prices From Dec 26: How Much You'll Have to Pay for Sleeper, AC, Express? — https://www.goodreturns.in/news/indian-railways-hikes-train-ticket-prices-from-dec-26-how-much-you-ll-have-to-pay-for-sleeper-ac-1477272.html

2. Indian Railways To Rationalise Ticket Fares From Dec 26; Rs 600 Crore Revenue Boost Expected — https://www.republicworld.com/india/indian-railways-ticket-price-hike-from-dec-26-600-crore-revenue-boost-expected

3. Railway Ticket Prices Set To Rise From December 26; Govt Expects Rs 600 Crore Extra Revenue — https://www.oneindia.com/india/railway-ticket-prices-set-to-rise-from-december-26-govt-expects-rs-600-crore-extra-revenue-7947180.html

Methodology: This analysis combines real-time data aggregation from manually selected global sources with advanced AI synthesis, engineered to provide neutral and data-driven insights.