Media365
India’s rail freight ambitions have received a global push with Texmaco Rail & Engineering joining hands with France’s Touax Group and US-based TrinityRail Global to build a “world-class” rail freight leasing ecosystem, backed by a planned investment of around Rs 1,800 crore over the next three to five years.
The expanded partnership aims to finance and induct 100 new freight rakes at a time when the government is seeking to increase rail’s share in freight transportation from 27 per cent to 45 per cent under the National Rail Plan.
The move comes as India looks to develop modern, flexible and capital-efficient freight solutions to support rising cargo demand and reduce logistics costs.
Rail leasing gains momentum amid India’s freight push
The partners said the investment will support the development of a stronger railcar leasing ecosystem in India, where leasing remains relatively underdeveloped compared with mature markets such as North America and Europe.
Touax Group CEO and General Partner Fabrice Walewski said India’s target of raising rail’s freight modal share to around 45 per cent will require thousands of additional wagons and greater private participation in rolling stock.
“As India accelerates its ambition to increase rail’s freight modal share to nearly 45 per cent, the need for modern wagon financing and flexible leasing solutions has never been greater,” Walewski said.
He added that the partnership would combine global leasing expertise with manufacturing capabilities to bring greater capacity, operational flexibility and innovative wagon solutions to the Indian market.
“Leasing has transformed transportation industries worldwide, and we believe it can play a pivotal role in strengthening India’s railway sector while enabling more efficient, cost-effective and sustainable freight movement,” he said.
When asked whether the joint venture could eventually use India as an export base for railcars, executives said exports could be explored in the future, but there are no immediate plans on that front.
The partners said their current priority is to cater to India’s growing demand for freight wagons and develop a robust domestic railcar leasing ecosystem.
However, with Texmaco’s manufacturing capabilities and the global expertise of Touax and TrinityRail, exports could become a potential opportunity over the longer term.
TrinityRail takes 32% stake in Texmaco-Touax venture
As part of the agreement, TrinityRail Global, a subsidiary of US-based Trinity Industries, will acquire a 32 per cent equity stake in Touax Texmaco Railcar Leasing (TTRL), the existing joint venture between Texmaco and Touax.
Texmaco Rail & Engineering and Touax Group will continue to hold 34 per cent stake each in the company.
The expanded platform will combine expertise across wagon manufacturing, leasing, financing, engineering, maintenance and lifecycle asset management.
The companies said the venture will focus on introducing advanced rolling stock, improving asset utilisation, reducing maintenance costs and shortening production timelines.
Texmaco says partnership will strengthen domestic capabilities
Texmaco Chairman Saroj Kumar Poddar said the partnership brings together three complementary strengths — Indian manufacturing, European leasing expertise and North American rail engineering.
“This joint venture with Touax and TrinityRail marks a significant milestone in Texmaco’s journey to build a future-ready rail freight ecosystem for India,” Poddar said.
“As India aims to increase rail’s share in freight movement from 27 per cent to 45 per cent under the National Rail Plan and is expected to induct more new wagons, the need for innovative, technology-led rail solutions has never been greater,” he added.
Poddar said the collaboration would strengthen indigenous design capabilities, bring global expertise to India and help make the country’s rail logistics network more efficient and competitive.
Speaking at a media briefing, Poddar said Indian Railways is increasingly looking for companies that can provide not just wagons but also maintenance and lifecycle support.
“The idea of this joint venture is to offer integrated rail solutions encompassing design, manufacturing, financing, leasing, maintenance and lifecycle engineering,” he said.
TrinityRail to bring global engineering expertise
For TrinityRail, the partnership marks an entry into one of the world’s fastest-growing rail freight markets.
“India represents one of the most exciting rail freight growth opportunities globally, and we are proud to partner with Texmaco Rail & Engineering and Touax to help build a world-class railcar leasing ecosystem,” said Patrick Hurst, Chief Investment Officer at TrinityRail.
Hurst said the company would bring expertise in wagon design, lifecycle optimisation, maintenance, financing and technology-enabled asset management to India.
TrinityRail currently manages nearly 150,000 railcars and has financed more than $15 billion in debt transactions over the years.
At the media briefing, Hurst said TrinityRail plans to adapt its integrated North American business model to Indian conditions rather than simply import existing solutions.
He said the company will contribute engineering expertise, telemetry technology and lifecycle management capabilities through Texmaco’s manufacturing base and the partners’ Global Capability Centre.
Reducing the total cost of ownership through improved engineering, maintenance and technology-led asset management will be a key focus area, he added.
Government push to drive demand for freight solutions
The companies said initiatives such as PM Gati Shakti, the National Logistics Policy and the expansion of Dedicated Freight Corridors are expected to drive demand for modern freight transportation solutions.
Indrajit Mookerjee, Vice Chairman of Texmaco Rail & Engineering and Group President of Adventz Group, said the partnership comes at a time when India’s freight sector is undergoing a transformation.
“With evolving railway policies and growing demand for efficient freight mobility, this partnership is well positioned to support the development of a robust railcar leasing ecosystem and contribute to India’s infrastructure and economic growth,” Mookerjee said.
The partners believe that combining Texmaco’s manufacturing strength, Touax’s global leasing experience and TrinityRail’s engineering capabilities can help accelerate the adoption of modern freight wagons and create a more efficient rail logistics ecosystem in India.
