RITES Wins Bid for Diesel Locomotives in Mozambique

In a note to the Indian Stock Exchange on 16 November 2023, the Rail India Technical and Economic Service (RITES) notified the market that it has been awarded a substantial locomotive deal from Mozambique. The contract calls for the supply of 10 diesel locomotives to Portos e Caminhos de Ferro de Mocambique (CFM), the Mozambican #SOE in charge of ports and railways, for an amount of USD 37.6 million.

It is worth noting that #RITES also bid for 300 wagons but #CFM has awarded this contract to a Chinese company. It is also worth recalling that Banaras Locomotive Works (BLW) supplied six D330 diesel locomotives and 90 wagons to CFM in 2021.

India put all its weight behind this deal as its External Affairs Minister S. Jaishankar paid a visit too Mozambique in April 2023 in an effort to seal the deal.

The train trip took him and Mozambican Transport Minister Mateus Magala from Maputo to Machava. A joint press conference was even scheduled on board a ‘Make in India’ train.

According too 2022 figures, 5.5 passenger-trips occur by train every year. In terms of cargo, trains transported 13.2 million tonnes during the 2022 financial year.

The original RFP comprises of 10 locomotive, 300 covered wagons and 120 tank wagons for a total estimated procurement budget of USD 95 million. Mozambique has plans to upgrade its domestic rail network and even to extend #connectivity regionally.