Naxalites on Tuesday morning released the train which they had held captive since Monday evening near Heyagarha railway station in Jharkhand's Latehar district.
All passengers in it are safe, a top police officer said.
"Around four hundred security personnel have reached the spot and all passengers, the driver and the guard are safe," Inspector General of Police (Special Branch) BC Verma said.
The engine of the train has been partially damaged, he said adding that the train will resume journey after carrying out the necessary repair work.
CPI (Maoist) rebels had stopped the train on its way from Barkakhana in Jharkhand to Mughalsarai in Uttar Pradesh close to a thick jungle between Heyagarha and Kumundi stations at around 7.30 pm.
Police said the Naxalite action was in protest against the death of one of their self-styled commanders Jagannath Koiri in a police encounter in Palamu district on March 3.
The incident took place in the midst of a 24-hour bandh called by the Naxalites in Palamu division which covers Latehar district to protest against the incident.