ADG (Railways) S K Bhardwaj said the goods train was on its way to Tatanagar in Jharkhand from Rangapara in Assam when the oil tankers derailed and caught fire at Chamanna on the New Jalpaiguri-Katihar section of Northeast Frontier Railway.
One of the burning oil tankers trailed from the track and fell on a villager working in the fields nearby, who was charred to death. The deceased has been identified as 26-year-old Moti ur Rehman.
Kishanganj District Magistrate Sandip Kumar Pudkalkatti said fire tenders were rushed in from neighbouring Islampur in West Bengal to fight the blaze.
He said 24 oil tankers were detached from the rear of the train and taken to Mangurjan station, while three others from the engine were taken to Aluabari.
While the exact reason of the derailment was yet to be known, Railway sources estimate the damage to be to the tune of Rs 10 crore.
Official sources said fire tenders were also rushed in from Purnia and Kishanganj and engaged to control the fire.
Train services between New Jalpaiguri to Aluabari stations on the section have been affected, the sources added.