Kolkata, Aug 21 (IANS): Railway Minister Suresh Prabhu on Friday said even though the railway is now capable of handling 1.2 billion tonne of cargo, it is not getting enough freight.

"We are very geared up today to handle 1.2 billion tonnes of cargo this year but we are not getting enough cargo," he said during an event organised by the Bharat Chamber of Commerce here.

Prabhu said he has informed West Bengal Chief Minister Mamata Banerjee of this situation.

"I was talking to the chief minister saying we can handle more coal but we are not getting enough," he said.

Prabhu said the problem was external to railways but expressed hope the situation will improve in October.

"I hope the next working season which starts mainly with October - that's the time when we have a pick-up in demand for cargo - I hope that really picks up," he said.

Prabhu said Coal India is very important for Indian Railways and 50 percent of its entire freight revenue comes in from coal transportation. Freight accounts for two-thirds of railways' earnings.