RITES Secures US$3.6 Million Locomotive Order in Zimbabwe

Indian engineering firm RITES Ltd has secured a US$3.6 million contract to supply diesel-electric locomotives to Zimbabwe (image source)

NEW DELHI/HARARE — Indian transport consultancy and engineering firm RITES Ltd has secured an international contract worth US$3.6 million to supply locomotives to a Zimbabwe-based company, strengthening its footprint in Africa’s rail and transport sector.

In a regulatory filing, RITES said it won the order from Berhard Development Corporation of Zimbabwe for the supply of in-service Cape Gauge diesel-electric locomotives. The contract is expected to be executed within a three-month period.

The company clarified that the deal was awarded by an international entity and does not constitute a related-party transaction. It added that its promoters and promoter groups have no interest in the Zimbabwean company that awarded the contract.

The announcement drew market attention to RITES shares, which have faced pressure in recent months amid broader challenges in the domestic market. Analysts said the Zimbabwe order highlights the company’s ability to secure and execute overseas contracts, reinforcing its credentials as a global transport consultancy and engineering firm.

RITES, a Navratna public sector enterprise under the Government of India, has more than five decades of experience in transport infrastructure and consultancy services. The company has executed projects in over 55 countries across Asia, Africa and Latin America, covering railway infrastructure, rolling stock supply, port development and transport planning.

The Zimbabwe contract is expected to support freight and mining logistics, sectors that are increasingly critical to the country’s economic recovery and export performance. Analysts note that Zimbabwe’s mining industry, particularly gold and lithium, relies heavily on efficient rail systems to move bulk commodities to regional and international markets.

For RITES, the deal represents another step in its international expansion strategy, particularly in Africa where it has previously undertaken assignments in countries such as Mozambique and South Africa. Market observers say successful delivery of the Zimbabwe project could position the firm for larger rail infrastructure and rolling stock contracts on the continent, where demand for rail modernisation remains strong.

The US$3.6 million order also comes as RITES seeks to diversify its revenue streams beyond India, leveraging its expertise in Cape Gauge railway systems to meet the needs of African economies upgrading their transport networks.