Bhopal: A recent Right To Information Act (RTI) has revealed that the Indian Railways minted Rs 35,073 crore in 10 years by selling off scrap, which is more than the annual budget of three northeastern states put together.

The Railways managed to make the enormous amount by selling off scrap, including coaches, wagons and rail tracks, IANS reported.

The information was revealed by social activist Jitendra Surana, who hails from Malwa-Nimar region in Madhya Pradesh. Surana, who had sought the data through RTI, showed that the amount was even greater than the budget of Sikkim (around Rs 7,000 crore), Mizoram (Rs  9,000 crore) and Manipur (Rs 13,000 crore) together for the fiscal year 2018-19.

The Indian Railways said it earned maximum profit of Rs 4,409 crore by selling scrap in 2011-12 and the lowest income of Rs 2,718 crore was in 2016-17. For 2015-16, the amount was Rs 2,801 crore and Rs 3,247 crore in 2014-15.

Among scrap, rail tracks were sold the most, and the overall income from selling the tracks in 10 years stood at Rs 11,938 crore.

Railway scrap is generated mainly from condemned wagons, coaches, locos, wheels, axles and discarded rails. In order to bring transparency in the process, railways had made it mandatory for scrap to be sold through e-auction only.

The e-auction of scrap was introduced on a pilot basis on March 6, 2012 and since then, it has been introduced on the entire rail network. Nearly 8000 e-auctions have been conducted successfully.


As per a PTI report, a railway officials was quoted as saying that prompt disposal of scrap not only helps in decongesting the work place but also contributes to the Swachh Bharat mission besides making a significant contribution in generating revenue for the railways.