The Union Cabinet on 28 February 2014 approved setting up of a new rail coach manufacturing unit at Kolar, Karnataka. The unit will manufacture 500 coaches per annum at an estimated cost of 1460.92 crore rupees with active participation of State Government.
The Ministry of Railways will finance 50 percent of the cost. The government of Karnataka will provide the remaining 50 percent of the project cost with escalation and required land to the extent of about 1118.38 acres, free of cost.
The proposed plant shall help Indian Railways in ensuring timely availability of passenger coaches to meet the increasing demands of passenger transportation.
Who: Union Cabinet
What: new rail coach
When: 28 February 2014