Cabinet announces ₹7,616 cr highway, railway projects in poll-bound Bihar

The Mokama-Munger highway and Bhagalpur-Dumka-Rampurhat rail line doubling will boost connectivity, jobs, and industrial growth across Bihar and adjoining states

The Cabinet Committee on Economic Affairs (CCEA), chaired by Prime Minister Narendra Modi, on Wednesday approved two major transport projects worth ₹7,616 in Bihar, which goes to polls later this year.  

 

Union minister Ashwini Vaishnaw announced the construction of a four-lane greenfield access-controlled highway between Mokama and Munger in Bihar. The 82.4 km stretch will be part of the Buxar–Bhagalpur high-speed corridor and will be built under the hybrid annuity model (HAM). The project carries a capital cost of ₹4,447.38 crore.

 

The new highway will connect important cities including Mokama, Barahiya, Lakhisarai, Jamalpur and Munger, linking further to Bhagalpur.

 

 

The region is developing into a major industrial hub, hosting an ordnance factory in Munger, a locomotive workshop in Jamalpur, and a growing food-processing and warehousing cluster. Bhagalpur is already known for its silk industry and is being developed as a textile and logistics hub, while Barahiya is emerging as a food packaging and agro-warehousing centre.     

 

  The highway is expected to support faster freight movement, cut travel time to just 1.5 hours, and allow safer travel for both passenger and cargo vehicles, with speeds of up to 100 kmph.

 

The project is projected to generate nearly 1.483 million man-days of direct employment and another 1.846 million man-days indirectly. Officials expect additional jobs as industrial and economic activity rises along the corridor.

 

Cabinet approves doubling of Bhagalpur-Dumka-Rampurhat rail line

 

The CCEA also approved the doubling of the Bhagalpur-Dumka-Rampurhat single railway line that stretches across Bihar, Jharkhand and West Bengal.

 

The 177 km project will cost about ₹3,169 crore and aims to improve mobility, efficiency and service reliability in one of the busiest railway sections.

 

With more line capacity, Indian Railways will be able to ease congestion, reduce delays and handle both passenger and freight traffic more effectively.   

 

Benefits for people and businesses

 

The doubling project will increase rail connectivity across five districts in Bihar, Jharkhand and West Bengal. It will also improve access to pilgrimage and tourist destinations such as Deoghar (Baba Baidyanath Dham) and Tarapith (Shakti Peeth).

 

Around 441 villages and 2.872 million people, including those in three aspirational districts — Banka, Godda and Dumka — will directly benefit from better connectivity.

 

The rail line will boost freight capacity by 15 million tonnes per year, carrying coal, cement, fertilisers, bricks and stones. As a cleaner mode of transport, it will help cut logistics costs, save an estimated 50 million litres of oil annually, and reduce carbon dioxide emissions by 240 million kg — equivalent to planting 10 million trees.