The city-based Central Railways workshop at Parel is now manufacturing diesel locomotives for the Kangra Valley Railway in Himachal Pradesh. The railway runs through the sub-Himalayan region of the Kangra Valley and is 164 km long. The railway is part of the Firozpur division of Northern Railway (NR). The Parel workshop is going to manufacture 12 locomotives for it over the next three years. This will be at a cost of Rs 36 crore.

The locos will be of ZDM class (these were the original class DZ on NR) and have special features to suit the needs of the valley. The locomotives will be ferried to the Northern Railway. "It is a matter of pride for Mumbai and Central Railway, that we got this opportunity," Central Railway Chief Public Relations Manager Shivaji Sutar said. The Parel workshop was established in 1879 as a steam locomotive repair shop. Over the years it diversified into carrying out different activities, including diesel loco maintenance etc.