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Transfer of catering charges of pre-paid trains to IRCTC

Transfer of catering charges of pre-paid trains to IRCTC

The request of IRCTC regarding direct transfer of catering charges of pre-paid trains like Rajdhani Express, Shatabdi Express, Duronto Express, Tejas Express, Gatiman Express Vande Bharat Express Train etc., has been examined in Board’s office. The Competent Authority have decided that the following procedure and schedule shall be adopted by Zonal Railways and IRCTC for payment of catering bills to IRCTC and revenue share to Zonal Railways by IRCTC

GOVERNMENT OF INDIA
MINISTRY OF RAILWAYS
(RAILWAY BOARD)

No. 2025/Catering/600/09

New Delhi, Dated: 17.01.2025

The Principal Chief Commercial Managers,
All Zonal Railways.

The CMD, IRCTC,
New Delhi.

The MD, CRIS,
New Delhi.

(Commercial Circular No. 03/2025)

Sub: Transfer of catering charges of pre-paid trains to IRCTC.

Ref : (i) Commercial Circular No. 5 of 2009.
(ii) IRCTC’s letter No. 2017/IRCTC/Catg./DCS/Mobile Policy dated 19/07/2025

The request of IRCTC regarding direct transfer of catering charges of pre-paid trains like Rajdhani Express, Shatabdi Express, Duronto Express, Tejas Express, Gatiman Express Vande Bharat Express Train etc., has been examined in Board’s office. The Competent Authority have decided that the following procedure and schedule shall be adopted by Zonal Railways and IRCTC for payment of catering bills to IRCTC and revenue share to Zonal Railways by IRCTC

1. Provisional payment of catering bills to IRCTC to the extent of 75% of the catering charges collected at the time of preparation of second chart (including both e-tickets as well as tickets issued through PRS) shall be released. This will be provisional payment based on electronic bills generated by CRIS and forwarded to Commercial Catering Deptt. of the Railways with a copy to Associate Finance of the Zonal Railways. It shall be done on daily basis.

2. For payment of remaining catering bills to IRCTC, the final catering bills along with the copies of occupancy certificate issued by Train Superintendent shall be submitted by IRCTC to the respective Zonal Railway on 10th of every month (for billing period of 1st to 30th /31st of the previous month).

3. The provisional and final bills shall continue to be forwarded to Accounts by Catering Deptt. as at present.

4. Zonal Railway shall release the payment of the final bills by 25th of the same month after due verification and adjustment of the 75% provisional payment made for the concerned billing period through electronic bills.

5. Zonal Railways shall also adjust all outstanding amounts including those on account of railways’ revenue share with IRCTC on quarterly basis from the final catering bills submitted by IRCTC.

6. At the end of every quarter, concerned GGM/IRCTC, CCM (PS & Catering) and FA/Traffic will have co-ordination meeting to review the outstanding issues, if any.

7. CRIS shall develop the software as required for generation of electronic bills on daily basis as stated vide item 1 above.

8. The above guidelines shall be implemented w.e.f. 01/03/2025.

The above guidelines are in supersession of instructions issued vide CC No. 5 of 2009.

This issues with the concurrence of Finance Commercial Directorate of Ministry Railway.

sd/-
(J.B. Singh)
Dy. Director (Catering)
Railway Board

Source: indianrailways.gov.in

Here’s the policy update on the transfer of catering charges in pre‑paid trains to IRCTC, including how funds are processed and the framework behind it:


📝 Catering Charges Transfer for Pre‑Paid Trains (IRCTC)

🚆 Applicability:

  • Applies to pre-paid trains (e.g. Rajdhani, Shatabdi, Duronto, Tejas, Gatimaan, Vande Bharat) where catering charges are included in the ticket fare.

💵 Financial Mechanics (Railway Board Circular No.03/2025, Dated 17 Jan 2025)

  1. Provisional Payment
    • On chart finalization, Zonal Railways remit 75% of collected catering charges daily to IRCTC—based on CRIS-generated electronic billing.
  2. Final Settlement
    • IRCTC submits final billing by the 10th of the following month, along with occupancy certificates.
    • Zonal Railways reconcile and pay the remaining amount by the 25th, adjusting for the 75% advance.
  3. Quarterly Revenue Share
    • Railways initiate quarterly coordination meetings involving IRCTC, CCM (Catering), and FA to settle outstanding dues including revenue shares.

🍽️ Menu Authority & Customization (Commercial Circular 25/2025)

  • Since 15 November 2022, IRCTC has been authorized to design and update menus, including options like regional dishes, festival specials, health food, low-sugar/minimal meals—all within the existing approved fare.
  • IRCTC may also sell a-la-carte meals and branded items at MRP in these trains.

📊 What’s Included in the Scheme

Component Details
Advance Payment 75% of catering charges paid at charting
Final Payment Balance settled monthly with occupancy proof
Menu Control IRCTC decides fare-inclusive menu for pre‑paid trains
Additional Sale A‑la‑carte and branded items permitted on-board
Revenue Share Coordination Quarterly meetings for reconciliation

🔎 Passenger & Community Feedback

  • No retrofit to opt out: Once booked with catering, it cannot be removed mid-journey—any changes require cancellation and rebooking.
  • On-board catering request (if not booked): You can still request food onboard at predefined “on-board charges”—higher than pre-paid prices.
  • Overcharging complaints: Riders report incidents of inflated pricing or incorrect billing. Many were resolved via Rail Madad complaints. IRCTC suggests obtaining itemized bills and formal complaints if discrepancies occur.

✅ Why This Policy Structure Matters

  • IRCTC bears responsibility for catering quality and consistency, allowing region-specific menus and improvements without fare hikes.
  • Railways benefit from stable funding flow and quarterly revenue reconciliation, ensuring transparency.
  • Advance and final payments streamline vendor settlements, while centralized billing reduces delays.

Would you like:

  • Specific fare comparisons for Rajdhani vs Vande Bharat catering menus?
  • Help downloading the full Commercial Circular for training or compliance?
  • Guidance on filing a complaint for overcharged meals onboard?

Let me know—I’m happy to assist further!

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