Made in India Train for Bangladesh: RCF Kapurthala Rolls Out 19-Coach LHB Rake
India is sending a new Made in India train rake to Bangladesh, with Rail Coach Factory (RCF), Kapurthala, rolling out its first customized 19-coach LHB broad-gauge passenger rake for Bangladesh Railway on August 12, 2026. The rake includes AC sleeper, AC chair, non-AC chair and power cars, and forms part of a much larger 200-coach export programme being executed by RITES.
The development is significant for India's railway manufacturing and export ambitions because these are not standard coaches simply being shipped abroad. They have been customized for Bangladesh Railway's operating requirements, including changes to the body design, electrical system and passenger amenities.
What Is India Sending to Bangladesh?
The first rake contains 19 LHB broad-gauge coaches in the following configuration:
3 AC Sleeper Coaches
3 AC Chair Coaches
11 Non-AC Chair Coaches
2 Power Cars
LHB stands for Linke Hofmann Busch, a coach design widely used by Indian Railways. The Bangladesh-bound coaches have been specifically adapted to meet the requirements of Bangladesh Railway.
The passenger coaches also feature reclining seats with metallic armrests and footrests, integrated video surveillance, passenger alarm systems, partially opening windows, a baby-care room and a prayer room.
That level of customization is important because railway rolling stock is not necessarily a one-size-fits-all product. Different railway systems can have different electrical, operational, safety and passenger requirements.
A ₹915 Crore Railway Export Order Is Behind the Rake
The 19-coach rake is the first visible delivery under a much larger contract.
In May 2024, RITES Ltd. signed an agreement with Bangladesh Railway to supply 200 broad-gauge passenger coaches. The contract is worth $111.26 million, or approximately ₹915 crore, and was awarded through a global competitive bidding process. The European Investment Bank is funding the project.
RITES is India's railway export-focused engineering PSU and is responsible for executing the contract. Apart from supplying the coaches, the agreement also includes design expertise, spare-parts support and training. The original contract provided for a 36-month supply and commissioning period followed by a 24-month warranty period.
The coaches are being manufactured at RCF Kapurthala, creating a direct link between India's railway manufacturing capacity and its overseas export business.
The Safety Technology Is One of the Key Features
One of the most notable aspects of these Bangladesh Railway LHB coaches is their crashworthy design.
The coaches incorporate provisions complying with European Standard EN 15227, which focuses on crashworthiness and collision safety. Meeting the standard required substantial changes to the coach body shell to improve its performance during collisions.
The electrical system has also been customized. According to the reported railway announcement, the Bangladesh coaches are designed for 415-volt operation, compared with the conventional 750-volt system used in Indian Railway coaches.
For passengers, the practical takeaway is that the export project involves more than simply changing the exterior appearance of an Indian coach. The underlying engineering has been modified for the customer's operating environment.
Why This Order Matters for India
India has been trying to expand its railway manufacturing capabilities beyond the domestic market.
The Bangladesh order provides an example of how Indian Railway production facilities can be used for international rolling-stock exports. RITES itself describes the project as part of its broader "Make in India, for the World" approach.
There is also an established history between RCF Kapurthala and Bangladesh Railway.
India previously supplied 120 broad-gauge LHB passenger coaches to Bangladesh in 2015-16. RITES has also supplied Bangladesh with locomotives and worked on other railway infrastructure projects.
The latest 200-coach programme therefore builds on an existing railway relationship rather than being India's first rolling-stock export to Bangladesh.
What Does It Mean for RITES?
For stock-market investors, RITES is the most directly relevant listed company connected with this project.
The ₹915-crore contract adds to the company's railway export business and gives it an opportunity to demonstrate its ability to execute a sizeable international rolling-stock order.
However, investors should not interpret the contract value as equivalent to RITES' profit.
Revenue from the project has to be recognized as the contract progresses, while manufacturing, logistics, engineering, warranty and other costs affect the eventual margins. The financial impact therefore depends heavily on execution.
The more important long-term question is whether successful delivery of the Bangladesh coaches can help RITES secure additional international rolling-stock orders.
RITES' FY2024-25 annual report lists the supply of 200 passenger coaches in seven variants to Bangladesh Railways among its projects, indicating that the order has become an established part of the company's export portfolio.
Bangladesh Also Gets More Modern Passenger Capacity
From Bangladesh's perspective, the order is aimed at strengthening its passenger railway fleet.
Bangladesh Railway has planned to induct the 200 broad-gauge coaches into its network, with the programme expected to run through December 2027 according to reporting based on statements made by Bangladesh's railway minister.
The mix of AC sleeper, AC chair and non-AC chair coaches gives Bangladesh Railway flexibility in configuring passenger services for different categories of travellers.
The new coaches could also allow older rolling stock to be removed from some services or used differently, although the actual operational deployment will depend on Bangladesh Railway's decisions.
What Investors Should Watch Next
The first 19-coach rake is an important milestone, but the larger investment story lies in the remaining 181 coaches.
Investors following RITES and India's railway-export theme should watch several factors:
Delivery pace: The speed at which subsequent rakes are manufactured and dispatched will show whether the project is progressing smoothly.
Execution margins: The ₹915-crore contract is meaningful, but profitability will depend on project costs and execution efficiency.
Additional export orders: One successful Bangladesh project could strengthen India's credentials when competing for railway contracts in other overseas markets.
RCF production capacity: Investors can also track whether domestic railway requirements and export orders can be handled efficiently at the same time.
RITES' export revenue: The eventual contribution of railway exports to RITES' overall revenue and margins will be more important than the headline contract value alone.
The Bigger Picture: From Railway Manufacturing to Railway Exports
The Bangladesh project illustrates a broader shift in India's railway manufacturing story.
For decades, much of the focus was on producing coaches and locomotives for India's enormous domestic network. Increasingly, Indian railway companies and production units are also looking toward overseas markets.
That creates a potentially larger addressable market for Indian engineering expertise, rolling stock and railway systems. But international contracts also bring execution, currency, regulatory, warranty and customer-specific design risks.
The Bangladesh order is therefore best viewed as a proof point for India's railway export capability, rather than evidence that every railway-related company will automatically benefit.
Bottom Line
The first 19-coach Made in India LHB rake for Bangladesh Railway marks the restart of Indian passenger-coach exports to Bangladesh after roughly a decade. Built at RCF Kapurthala and exported through RITES, the rake combines AC sleeper, AC chair, non-AC chair and power cars with customized safety and electrical features.
For India, the bigger opportunity is the full 200-coach, ₹915-crore programme and the possibility of using successful execution to win more international railway contracts. For investors, RITES remains the key listed-company connection, but the focus should be on delivery, margins, export revenue and future orders rather than the contract headline alone.
Follow the blog for more updates on Indian Railways, infrastructure, PSU stocks and global business developments.
This article is for informational and educational purposes only and should not be considered investment advice
Comments
Post a Comment