The proposed railway project connecting Baramulla with Kupwara has been shelved on account of financial viability and availability of lack of funds.
The railway line connecting the two important border towns in Kashmir Valley was perceived to be an important project, strategically and otherwise.
Survey for the 39 km railway project was completed in 2010. Preliminary studies pegged the estimated cost at Rs 628 crore based on 2010-11 price level with a negative rate of return of 7.48 per cent.
The large throw-forward of ongoing projects and unremunerative nature of the project also led to the project being shelved.