This research paper is about the renewal, improvement and development of railroad transportation industry and planning for its contribution to the national and regional economic development. A theoretical exploration provided a guide for the necessary assessments. A research method based on the case study of almost all elements of the Iran railroad transportation system has been performed. The implementation of the observation by means of some indicators proves that hinders shall be removed to achieve maximum profit of the rail transport industry. Strengths, weaknesses, opportunities and threats (SWOT) analysis aided to evaluate the features of the industry. The analysis revealed that the present system of the railroad transportation is unable to assist the national macro economy. The failure corresponds to scarcely investing, funding, managing, infrastructure, operating conditions, and international/regional trade limitations. However, with the help of the improvement plans the prospects for the rail transport development will be pretty satisfactory due to the strategic Geo-policy, climate, nature, and trade potentials. A linear programming for the rail transport industry (LPRTI) has been provided to suggest the ways for maximizing of the rail transport system’s profits to support the national macro economy. The outcome of this research paper assists the regional/national economies with the help of a successful railroad transportation industry everywhere in the world.
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