Business Standard

Railway ministry asks IRCTC to share 50% of revenue from convenience fee

Sharing started in 2014 in the ratio of 80:20 between IRCTC and the Indian Railways

Indian railways

Before 2014, there was no sharing of service charge between IRCTC and the Railways though the latter decided the amount of the charge

Twesh Mishra New Delhi
Monday onwards, half the revenue that accrues to Indian Railway Catering and Tourism Corporation (IRCTC) through the convenience fee on train tickets will go to the Ministry of Railways. Officials in the know told Business Standard IRCTC’s management would meet on Friday to figure out a strategy to safeguard revenues.

According to IRCTC’s Annual Report, it earned Rs 299.13 crore from the convenience fee (also called service charge) during 2020-21. These gains were lower owing to the fall in railway ticket bookings after the pandemic came. IRCTC had earned Rs 349.64 crore in 2019-20.

“The ministry of railways has conveyed its decision

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First Published: Oct 29 2021 | 12:57 AM IST

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