Railways signs Rs 500-cr pact with CIL for supply of wagons

A Memorandum of Understanding (MoU) has been signed between Ministry of Railways and Coal India Limited.
Details of MoU:
1. It ensures procurement of 2000 wagons (33 rakes) in the first outgo. 
2. This MoU resulted the Railways and Coal India Ltd to enter into a strategic partnership which would ensure adequate wagon availability for meeting the transportation needs of coal produced by Coal India Ltd.
3. Procured wagons will lead to additional loading of 8-10 tons per wagon as compared to the conventional wagons of Indian Railways. 
Significance of MoU:
The MoU will benefit the economy as a whole and the Railways, the coal sector and power sector in particular.As it will ramp up coal loading for Indian Railways amid a shortfall in freight traffic and helping CIL meet production targets.