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IRCTC shares rise as Railways Ministry approves shorter catering contracts

EditorPollock Mondal
Published 21/11/2023, 05:44 pm
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MUMBAI - Shares of Indian Railway Catering and Tourism Corporation (IRCTC) climbed to Rs 720.3 on the National Stock Exchange (NSE) today, marking an increase of Rs 19.1. The uptick followed a decision by the Railways Ministry to allow seven-year tenders for train catering services, aligning with the Yatri Seva Anubandh (YSA) policy. This move deviates from previous plans that considered ten-year contracts.

The policy update was announced post-market hours yesterday and comes on the heels of IRCTC beginning commercial production of its Neer packaged drinking water at a new plant in Bhubaneswar since Friday, November 17. The new facility boosts IRCTC's daily water production capacity by 72,000 liters, bringing the total to nearly 1.7 million liters per day.

IRCTC's share performance this year has been notably strong, with an appreciation of about 12%, surpassing the Nifty50 index's gain of nearly nine percent. This performance underscores IRCTC’s stature as a Miniratna-status company under the Ministry of Railways, reflecting investor confidence in its growth trajectory and operational expansions.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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