Opinion Railways holds the key to regional growth

A freight train from Kolkata to Agartala, rerouted on Bangladesh Railway, could reduce the transportation costs and transit time by two-thirds — an incredible gain to both India and Bangladesh. Landlocked Nepal could have access to Chattogram port by railway from Biratnagar, and a container train from Gelephu in landlocked Bhutan could get offloaded at Mongla port.

The BBIN initiative is rooted in strong bilateral commitments, exceptional for this part of the world. Shared infrastructure plans have made it to the ground from drawing boards. BBIN is ambitious, but also practical and quickly translatable. What is most critical is putting in place a seamless broad/dual gauge rail network connecting the region. Time-bound completion of infrastructure projects and non-physical/institutional frameworks will equip BBIN for the East South Asia growth story.

It is imperative at this stage for design thinking — to outline the ongoing railway projects in the region that have cross-border significance. The starting points are Indian and Bangladesh Railways for most projects, along with the new terminals, ports and SEZs in Bhutan, Nepal and Bangladesh.

The India-Bangladesh joint statement in September 2022 welcomed specific initiatives, including the dual gauging of the Tongi-Akhaura line, the Kaunia-Lalmonirhat-Mogalghat-New Gitaldaha link, the link between Hilli and Birampur, upgradation of track and signaling, container depot at Sirajganj and supply of BG locomotives to BR. In November last year, two important rail connectivity projects were inaugurated — the Agartala-Akhaura rail link and railway line from Khulna to Mongla port in Bangladesh, connecting west, north Bangladesh with India and Bhutan.

At present, Indian Railways is connected to the Bangladesh Railway network at five operational interchange points: Petrapole-Benapole, Gede-Darshana, Singhabad-Rohanpur, Radhikapur-Birol, and Haldibari-Chilahati. In addition, trial runs have taken place between Agartala and Akhaura. Four more rail projects are in the survey stages: Belonia-Feni, Bogra-Sirajganj, Mahisasan Zero point, and Balurghat-Hili.

The Akhaura-Agartala rail link that connects Northeastern states of India with Bangladesh is the most crucial for potential rerouting of cargo and passenger trains between eastern India and its Northeastern states. Broadly, a rail route of 1,600 km between Kolkata to Agartala via New Jalpaiguri-Guwahati could be effectively reduced to 500 km by transiting or rerouting rail traffic on the Kolkata-Tongi-Akhaura-Agartala route. A passenger train between Agartala and Kolkata currently takes 36 hours which would reduce to less than 10 hours. The more significant gains will be lowering of freight charges by two-third, a net gain of revenue to industries in India, reduction in greenhouse gas emissions, and substantive revenue generation for Bangladesh Railway.

How fast can this be achieved? Technically, Agartala is now connected to Akhaura railway station on the Chattogram-Dhaka meter gauge line. Broad-gauge/DG rail exists between Gede/Petrapole to Dhaka via Tongi. Reaching Agartala would involve switching to meter gauge from Tongi to Akhaura. Broad gauging/dual gauging of the Tongi-Akhaura section and early completion of Bangabandhu Bridge are the low hanging fruit to ensure seamless operations for any rerouted traffic. Similarly, a future shorter BG rail route from Agartala to Kolkata via Dhaka would be available on completion of the ongoing work this year.

Between India and Nepal there is currently only one cross-border rail link — Jayanagar to Bijalpura. Its extension to Bardibas in Nepal is planned. In June 2023, the prime ministers of India and Nepal witnessed the inaugural run of the cross-border freight rail operation between Bathnaha and the Nepal Custom Yard on the Jogbani-Biratnagar railway link. Several other potential rail connectivity projects are being surveyed, the most important being the 140 km Raxaul Kathmandu link.

Providing rail connectivity between India and Bhutan is a focus area of both governments. As many as six potential rail connectivity projects are at the survey stage. A joint India-Bhutan statement issued in November 2023 underscored the importance of a rail link from Gelephu (Bhutan) to Kokrajhar (India). This 58 km railway line will connect Gelephu to India by the Indian Railway network and between Bhutan and Bangladesh through the Haldibari (India)-Chilahati (Bangladesh) rail interchange point.

In a departure from traditional ways of financing by individual countries, most of these regional rail connectivity projects are being jointly funded and executed — the government of India has extended its line of credit, provided assistance from the MDONER budget, and is helping in meeting rolling stock requirements. The governments of Bangladesh, Bhutan and Nepal have also put in place development plans. The World Bank and ADB are extending long-term loans and viability gap funding.

But physical infrastructure may not be enough to ensure seamless BBIN-wide rail connectivity. Institutional arrangements — cross-border operating protocols, tariff and apportionment mechanisms, SOPs, and regulatory frameworks — are as important. An umbrella Regional Rail Agreement with bilateral arrangements and SOPs could fast track this process. Rail connectivity in the BBIN growth quadrilateral is not just adding routes — it is the pathway for regional growth and strategic cooperation.

The writer is senior adviser to the World Bank and former member, Railway Board. Views are personal