Shyam Metalics and Energy Ltd. plans to establish a wagon manufacturing facility in Kharagpur, West Bengal, by March 2026, aligning with India’s “Make in India” and Atmanirbhar Bharat” visions and generating employment opportunities The Kharagpur manufacturing facility will be developed in two phases, with Phase.
Aiming for a production capacity of 2,400 wagons per annum and Phase II doubling it to 4,800 wagons annually. The facility will feature sustainable design, rooftop solar installations, a residential colony, and a world-class “Uni-Flow” manufacturing layout, promoting industrial self-reliance and promoting India’s “Make in India” vision.
Shyam Metalics and Energy Ltd is expanding into wagon manufacturing, aiming to enhance India’s industrial self-reliance through high-impact infrastructure. The facility uses rooftop solar energy and Made-in-India technology, maximizing operational efficiency and minimizing environmental impact infrastructure.
The Uni-Flow layout enables efficient scalability and high-quality output Shyam Metalics is expanding its wagon manufacturing unit into wagon manufacturing, a strategic diversification of its portfolio beyond steel. The unit, located near a major port, is supported by integrated infrastructure and a railway siding, advancing.
The company’s ESG objectives and supporting national infrastructure goals.
In a significant move to diversify its portfolio and tap into India’s growing transportation infrastructure sector, Shyam Metalics and Energy Ltd. (SMEL) has announced its foray into railway wagon manufacturing. The company is setting up a state-of-the-art facility in Kharagpur, West Bengal, marking its strategic entry into a sector closely aligned with the nation’s logistics and industrial growth.
Strengthening India’s Rail Infrastructure
With this expansion, Shyam Metalics is set to become a key player in the Indian railway ecosystem. The new manufacturing plant is designed to produce a variety of freight wagons that meet the stringent quality and safety standards set by the Indian Railways. This includes BOXN wagons, flat wagons, and specialized rolling stock, which are essential for transporting coal, cement, steel, and other bulk commodities.
The Kharagpur facility, spread over several acres of industrial land, is expected to be fully operational by mid-2026. The company has already received preliminary approvals and is in the process of procuring high-end machinery and assembling a team of technical experts for the new vertical.
Aligning with Government Initiatives
Shyam Metalics’ move is aligned with the Government of India’s initiatives such as “Make in India” and “Atmanirbhar Bharat”, both of which encourage domestic manufacturing and reduce dependency on imports. The railways sector, in particular, is witnessing strong policy support and investment as part of the National Infrastructure Pipeline (NIP) and the push to modernize Indian Railways.
Boost to Local Economy and Employment
The Kharagpur unit is expected to generate substantial employment in the region, both directly and indirectly. It will also support the local economy by developing vendor ecosystems and engaging MSMEs in manufacturing, fabrication, and ancillary services.
This new facility reflects our long-term vision to be a diversified industrial leader. With strong demand from the logistics and rail sectors, we believe wagon manufacturing is a natural extension of our engineering and fabrication strengths.
Looking Ahead
With this expansion, Shyam Metalics is entering a high-growth, capital-intensive industry with significant long-term potential. Indian Railways is targeting a dramatic increase in freight capacity, and new wagon demand is projected to rise steadily over the next decade. Shyam Metalics aims to position itself as a reliable, large-scale manufacturer ready to serve both public and private sector logistics providers.
Shyam Metalics’ entry into wagon manufacturing marks a major milestone in its journey as a diversified industrial powerhouse. The new Kharagpur facility will not only strengthen India’s logistics backbone but also create jobs, boost local industry, and contribute to self-reliant manufacturing.
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