Dedicated Freight Corridor Project comprising Eastern Corridor (Dankuni-Ludhiana) and the Western Corridor (Jawahrarlal Nehru Port Terminal to Tughlakabad/Dadri) has been sanctioned by the Indian government.

Dedicated Freight Corridor Corporation of India Limited a Special Purpose Vehicle, has been formed as a Public Sector Undertaking of the Ministry of Railways to implement this project.

Civil construction contracts for 105 kilometers in Eastern DFC and for 54 major and important bridges on Western DFC have been awarded. Funding for Phase-I (Rewari-Vadodara) of Western DFC has been tied up with Japan International Cooperation Agency.

On Eastern DFC a loan of USD 975 million has been sanctioned by World Bank for construction of Eastern DFC between Bhaupur near Kanpur to Khurja. The project is targeted to be completed in 2016-17.