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→History: 1870/71 Report and internal link added
The [[Government of India]] accepted payment from the Maharaja Holkar of Indore towards the construction of a railway from the [[Great Indian Peninsula Railway]](GIPR) station at [[Khandwa]] to his capital city of [[Indore]] and in March 1870 preliminary Surveys were started .
[[1870-71_Report_on_Railways#Progress_on_State_lines._Paragraphs_5-10.3B_Pages_3-4|The 1872 ‘Report ‘1870-71 Annual Report for Indian Railways’]] uses the title ‘Indore to Khundwa Railway‘ with 84 miles (135km) metre gauge([[Rail_gauge_#Metre_Gauge|MG]]) sanctioned for construction. The ‘1871-72 Report on Railways in India’ <ref>[https://play.google.com/books/reader?id=tytcAAAAQAAJ&printsec=GBS.PP561&pg=GBS.RA13-PA1 ‘Accounts and Papers of the House of Commons Vol 19, 1872’ pdf pages 596-598 “Annual Report on Railways in India for 1871-72” - ‘Indore or Holkar State Railway’ Para 86, page 37, pdf 597]; Retrieved 7 Jun 2018</ref> names this as the “Indore or Holkar State Railway” and states:-
“This line starts from Khundwah''(see spelling note) '', a station on the Great Indian Peninsula Railway, 352 miles from Bombay, crosses the Nerbudda River 23 miles south of Barwaie, ascends the Vindhyrange through the Choral Valley, and passes through [[Mhow]] to [[Indore]]. Its length will be about 86 miles. The works have commenced under a contract, and are being pursued vigorously. It is estimated the line will cost about £900,000. Maharajah Holkar has engaged to lend the British Government £1,000,000 at 4½% p.a. to carry out the line, he will participate in half the surplus profit over the 4½% if any, in proportion to the extent of his loan.“
