news reports, but at least 25 of them did not suffer life-threatening injuries.
They have been rushed to a nearby hospital as officials continue the rescue operation, reports.
Several coaches on the express train were reportedly derailed on impact.
The death toll remained relatively low after the collision because the rear of the passenger train was made up of a cargo van and guards coach.
Carriages holding passengers remained further ahead, reports.
The goods train reportedly overshot a signal before smashing into the Kanchanjunga Express.
Chief public relations officer for India's Northeast Frontier Railway Sabyasachi De told ANI: "Around 25 people have been injured and they have been shifted to the nearby hospital.
"They are non-fatal injuries. The rescue operation is going on a war footing.
"We are trying to finish the rescue operation as soon as possible. Senior officials have already reached the site.
"According to the preliminary information that Kanchenjunga was hit from the rear by a goods train...We have information of 8 deaths."
State minister Mamata Banerjee said this morning: "Shocked to learn, just now, about a tragic train accident, in Phansidewa area of Darjeeling district.
"Doctors, ambulances and disaster teams have been rushed to the site for rescue, recovery, medical assistance. Action on war-footing initiated."
The Kanchanjunga Express links the north-eastern regions of Assam and Tripura with West Bengal.
It was travelling down a route called the Chicken's Neck corridor this morning when the crash occurred, according to reports.
Tourists often take the service to travel to Darjeeling.
In June last year an enormous train crash in India killed almost 300 people and injured more than 1,000 when a passenger train derailed.
It crashed into two other trains on the tracks, with horrific pictures showing the crumpled carriages and emergency workers trying to rescue survivors.
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