Indian Railways is likely to invite RfQs for Son Nagar-Dankuni section of the eastern freight corridor project by June, 2014.

The 530 km Son Nagar-Dankuni, to be built on public-private partnership (PPP), has been facing delays. After holding several investor meetings and adding initiatives like flexible viability gap funding (VGF), the railways is now hoping for a good response to the RfQs. The project is expected to be awarded by December 2014.

The 1,835 km eastern freight corridor project is being executed by Dedicated Freight Corridor Corporation of India. The project entails an investment of Rs 19,486.20 crore.

CRIS has prepared a new traffic forecast report for the corridor, which is encouraging for potential investors. Further, financial planning for the corridor, which has been split into two parts - Dankuni-Gomoh of 276 km and Gomoh-Son Nagar of 264 km - has been done by the UK-based consultant, Grant Thornton. The report gives capital structure, revenue model and financial viability to the project.

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