Indian Railways (IR) have reported a revenue earning freight traffic of 94.86 million tones (MT) for the month of June 2017, which translates into a growth of 2.8% compared to corresponding previous period. Freight traffic of coal which accounts for nearly half of the revenue earning freight traffic of IR has witnessed margin fall of 3.24%yoy to 43.73 MT. However with the volume of finished steel, iron ore, container, cement including clinker stand increased and more than offset the lower coal volume for the month. For the quarter ended June 2017 the revenue earning freight traffic of IR was up by 3.7% to 281.23 MT.

The total volume of container train operators for the month of June 2017 as reflected by the originating container traffic of IR stood higher by sharp 19% to 4.43 MT. But compared to sequential previous month (i.e. May 2017) throughput of 4.40 MT, it was higher by just 1%. Overall originating container traffic figures of IR represent the overall volume of Indian Container train operator as the rail network is monopolized by Indian Railways.

High teen growth in IR's container volume for the month of June 2017 was largely due to strong growth in both EXIM and domestic container volumes. While the domestic container volume was up by strong 28.17%yoy (to 0.91 MT) that of EXIM container volume was up by 17.33%yoy (to 3.52 MT).

Despite high teen growth in container volume the growth in container net tonne kilometre (NTKM), a measure of combined increase in goods loading and distance moved by IR for the month of June 2017 was in midd teen with growth rate impacted by lower lead distance. NTKM of containers for the month of June 2017 was up by 14.5% to 4156 million KMs as the lead distance for the month stand declined by 4.1%yoy.

As domestic lead distance stand higher marginally by 0.6%yoy to 1359 km that together with 28.17% growth in domestic container volume the domestic NTKM for the month was up by strong 29% to 1237 million kms. However the EXIM NTKM was up by just 9.3%yoy to 2919 million kms for the month of June 2017 despite 17.33% growth in container volume as its lead distance was down by sharp 6.9%. Earnings of IR from originating container volume was up by 9% to Rs 458.34 crore for the month of June 2017 with Earnings/NTKM dip by 4.8% to Rs 1.1028 per.

For Q1FY18 the container throughput of IR was up by 11.6% to 13.05 MT with EXIM container volume up by 6% (to 10.29 MT) and that of domestic volume up by 39.4% (to 2.76 MT). However the growth in NTKM for Q1FY18 stood moderated at 7.8% (to 12156 million kms) as the average lead for the period stand declined by 3.5%yoy to 931 kms.

In Q1FY18 while the domestic NTKM was up by 35.3%yoy (to 3760 million kms) that of EXIM container was down by 1.2% (to 8396 million kms) despite increase in volume in case of both domestic and EXIM container volume. And this was largely due 3.3% fall in domestic lead to 1362 kms and that of EXIM down by 6.9% to 816 kms.