Kazipet Rail Unit Launch Deferred Due to Pending Works
The project, announced during the formation of Telangana in 2014, was among three commitments made in Parliament.
Warangal: The inauguration of the Kazipet Railway Manufacturing Unit by Prime Minister Narendra Modi was deferred on Sunday as final construction works remain incomplete, railway officials said.
The project, announced during the formation of Telangana in 2014, was among three commitments made in Parliament. Initially conceived as a wagon overhauling centre, it was upgraded into a manufacturing unit after the foundation stone was laid in July 2023.
Spread across 160 acres at Ayodhyapuram, the facility has been built at a cost of about Rs 710 crore, revised from the original estimate of Rs 521 crore to incorporate advanced manufacturing capabilities. The unit is designed to produce freight wagons and Vande Bharat coaches, with an annual capacity of 2,400 units.
Officials said the project has achieved most construction milestones within three years and completed a trial run in February 2026. The works were reviewed by Union railway minister Ashwini Vaishnaw and Union minister G. Kishan Reddy, along with local representatives.
Railway authorities said the unit is currently 85 to 90 per cent complete, with key sections such as the paint shop and test shop still under development. The project will be commissioned in phases, with full-scale manufacturing operations expected to begin by mid-2026.
In place of the inauguration, the Prime Minister inaugurated other completed railway infrastructure projects, including the Kazipet Rail Under Rail bypass and the Kazipet–Vijayawada third line.
The facility is expected to generate direct employment for around 3,000 people and indirect opportunities for about 5,000 more. Local representatives have sought priority in employment for local youth and land contributors.