India's Kavach train protection system to create business worth ₹50,000cr
What's the story
India's indigenous automatic train protection (ATP) system, Kavach, is set to open a ₹50,000 crore market in the next six to seven years. The prediction comes as Phase-I of the project gains momentum. Nova Control Tecnologix and Tata Elxsi have partnered to develop Kavach 4.0. This collaboration will see Nova handle manufacturing and integration, while Tata Elxsi focuses on design and cybersecurity engineering for the project.
Cost analysis
Kavach system's installation costs and potential market demand
Sourajit Mukherjee, CEO of Nova Control Tecnologix, said that the average cost of installing the Kavach system per kilometer is ₹50-60 lakh. He added that Indian Railways has about 40,000km likely to be covered initially. "This means the safety segment is expected to see enormous demand for companies in the sector," he said. Overall, Phase-I of Kavach could see investments of around ₹50,000 crore with deployment expected within six to seven years.
System details
Kavach's safety features and government spending
Kavach is a locally developed ATP system that automatically applies brakes if a loco pilot does not act within prescribed speed limits. The system supports safer operations during adverse weather conditions. Field trials began in 2016 and were nationally adopted in 2020. As of October 2025, government spending on Kavach stands at ₹2,354 crore, with ₹1,673 crore allocated for FY26.
Future upgrades
Future-proof architecture and expansion plans
Tata Elxsi's Jayaraj Rajapandian claimed the upcoming architecture has been designed with long-term upgrades in mind. He stressed on future-proofing the architecture so that when Kavach 5.0 comes, it becomes easier to adopt it within the existing solution. Currently, Kavach Version 3.2 is deployed on 1,465 route km (rkm) of South Central Railway and 80rkm of North Central Railway. Meanwhile, Kavach 4.0 has been commissioned on Palwal-Mathura-Kota-Nagda section (633rkm) of Delhi-Mumbai route, and Howrah-Bardhaman stretch (105rkm) of Delhi-Howrah route.
Ecosystem
Kavach's ecosystem
Mukherjee stressed on the need for a wider ecosystem of qualified vendors to deploy the system at the required pace. The Research Designs & Standards Organisation has opened up this ecosystem with more than 10 players approaching it for approval.