The material will be sourced from Lafarge's Mountsorrel Quarry in Leicestershire. Granite will be supplied as 50mm crushed rock for track beds.
The deal enables Lafarge to invest £2m in new processing equipment at the quarry.
The contract continues a 20-year partnership between the quarry and Network Rail, during which more than a million tonnes of ballast have been supplied every year.
"There is a good chance anyone who has ever been on a train and looked down at the track will have seen Mountsorrel granite, as historically, Lafarge have supplied something like 50% of the ballast used by Network Rail," said Lafarge national key account manager John Bradshaw.
Other aggregates included in the tender include sands, gravels, civil grade stone and specialised small grade Stoneblower aggregate.
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