Despite much strained capacity, Chinese railways have managed to increase transport of key materials.

The railways shipped 480 million tons of coal in the first half of this year, up 12.2 percent over the same period last year. Shipments of grain increased 13.1 percent to 55.6 million tons, while those of chemical fertilizer and other materials for agricultural use rose 5.6 percent to 33.3 million tons, and oil climbed 12.1 percent to 58.7 million tons, according to the Ministry of Railways.

An official said the ministry regards ensuring the transport of key materials as a major political task and has always put the state interests above everything else. It has adopted a series of special measures to ensure the fulfillment of this task.

The ministry has allocated 90 percent of its freight capacity to guarantee the transport of key materials such as grain, coal and chemical fertilizer.

The railway ministry is also raising train speed and increasing freight load.

The official pointed out the importance of the railways to the health of the nation's economy.

"As railway freight of key materials continues to grow, grain prices are stabilized and shortage of coal is alleviated," he said.

Vice Minister of Railways Hu Yadong has said that there is an urgent need to speed the construction of new railways and the modernization of rolling stock to end the shortfall of railway freight capacity.

China's railways in operation account for only 6 percent of the world's total, yet they handle 25 percent of the world's freight volume. All the major trunk lines have been operating at full capacity.

Due to the serious shortfall in capacity, only one-third of demand can be met at present, according to the ministry.

(Xinhua News Agency July 30, 2004)