BEML Secures Rs 867-Cr Contract For India's First Bullet Train Sets; Stock Zooms

India's First Bullet Train Sets: BEML share price surged nearly 8 per cent on Wednesday's after securing the contract

The sets will be built at BEML's Bengaluru rail coach complex and are scheduled for delivery by the end of 2026.

Source : Pixabay

India's First Bullet Train Sets: State-owned BEML has been awarded a contract of Rs 867 crore for designing, manufacturing, and commissioning two high-speed train sets or 'bullet train', marking the first time that such work will be done indigenously. The contract was awarded by Integral Coach Factory (ICF), Chennai. According to news reports, on June 6 that the Railway Ministry had asked ICF to build two train sets that can go up to a speed of 250 kilometre per hour. ICF floated a tender for the trains.

"The price of each car is Rs 27.86 crore and the total contract value is Rs 866.87 core which includes design cost, one-time development cost, non-recurring charges, one time cost towards jigs, fixtures, tooling and testing facilities, which will be utilised for all future high-speed projects in India," BEML told exchanges in a disclosure.

"This project marks a significant milestone in India's high-speed rail journey and will see the first indigenously designed and manufactured train sets with a test speed of 280 kmph," it added.

The sets will be built at BEML's Bengaluru rail coach complex and are scheduled for delivery by the end of 2026.

BEML share price surged nearly 8 per cent on Wednesday's after securing the contract. BEML share price on Wednesday opened at Rs 3,788.95 apiece on the BSE. At 2pm, the shares are trading at Rs 3872.80 apiece, rising 4.12 per cent on the BSE. The stock touched an intra-day high of Rs 4,009.25 per share, and an intra-day low of Rs 3,775 apiece.

After negotiations to procure Japanese bullet trains failed, the Railways set out to build its own. It is not immediately clear if the trains BEML develops would be for the Mumbai-Ahmedabad High Speed Rail Corridor.

The fully air-conditioned trains will have reclining and rotatable seats, special provisions for passengers with restricted mobility, and onboard infotainment systems, according to BEML.

The Railways has over the past year developed a track for standard gauge trains in Rajasthan to test its abilities to develop high-speed trains. It aims to export Vande Bharat trains, which have to be converted from broad to standard gauge, the most accepted gauge globally.