An electric locomotive engine factory would be set up at Madhepura and a diesel locomotive engine unit would be established at Marhaura in Saran district in PPP mode.
Goyal was speaking while laying foundation stone for various projects at Ara railway station through video conferencing, according to an official release.
A total of 226.9 acre of land was acquired for the Rs 2719 crore diesel locomotive engine factory which will produce 1000 diesel locomotive engines in 11 years, he said.
Development of railways in Bihar has always been in the priority of the Central government and work on 26 various rail projects worth Rs 18,180 crore is in progress in the state, said the minister.
Besides, four projects of gauge conversion and 20 projects meant for doubling of tracks are also going on in Bihar, he said.