Indian Railways New Fares: Long-Distance Travel Costlier from Today

New Delhi, December 26, 2025: Starting today, travel on Indian Railways will cost a bit more as the Ministry of Railways implements a “rationalized” passenger fare structure. This is the second fare revision this year, following a similar hike in July.

While the increase will be felt by long-distance travelers, the government has carefully designed the new rates to protect daily commuters and short-distance passengers.

The New Fare Breakdown

The price hike is calculated based on the distance traveled (per kilometer) and the class of travel. Here is how the new rates look:

1. Ordinary Non-AC Classes (Non-Suburban)

For ordinary trains, the hike is graded to ensure those traveling short distances aren’t hit by the increase.

• Up to 215 km: No increase.
• 216 km to 750 km: ₹5 increase.
• 751 km to 1,250 km: ₹10 increase.
• 1,251 km to 1,750 km: ₹15 increase.
• 1,751 km to 2,250 km: ₹20 increase.

2. Mail, Express, and Premium Trains

For faster and premium services (including Rajdhani, Shatabdi, Duronto, and Vande Bharat), the increase is a flat rate per kilometer:

• Non-AC Classes (Sleeper/Second Class): 2 paise per km.
• AC Classes (3-Tier, 2-Tier, 1st AC, Chair Car): 2 paise per km.

Who is Unaffected?

To maintain affordability for low-income families and regular workers, several categories remain exempt from this hike:

• Suburban (Local) Trains: Fares for Mumbai locals and other suburban networks remain unchanged.
• Monthly Season Tickets (MST): Daily pass holders will not see any price increase.
• Short-Distance Travelers: As mentioned, ordinary second-class journeys under 215 km are spared.

Why Are Prices Increasing?

The Ministry of Railways stated that the decision was necessary to balance “passenger affordability with the sustainability of operations.” Operating costs have surged significantly in the 2024–25 period, reaching approximately ₹2.63 lakh crore. This includes a massive ₹1.15 lakh crore spent on manpower and ₹60,000 crore on pensions.

By implementing this marginal hike, the Railways expects to generate an additional ₹600 crore in revenue this year, which will be directed toward safety upgrades, modernization, and expanding the rail network to remote areas.

Important Note for Travelers

The new fares apply only to tickets booked on or after December 26, 2025. If you booked your ticket yesterday or weeks ago for a journey taking place today or later, you will not have to pay any difference in fare.