Financial Daily from THE HINDU group of publications Saturday, Mar 18, 2006 |
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Industry Associations Logistics - Outlook Web Extras - Railways Rlys to place order for 30,000 wagons Our Bureau
On new track Expects to get proposals worth Rs 500 cr thru wagon investment scheme. To hold talks with foreign players for tech transfer for new design.
New Delhi , March 17 The Indian Railways plans to order 30,000 wagons this year, which is the highest ever order placed by it. The total wagon manufacturing capacity in the country is in the range of 32,000-35,000 wagons annually. "The highest ever order for 30,000 wagons is to be placed this year (by Indian railways)," said Mr J.P. Batra, Chairman, Railway Board, speaking at a conference organised by the Confederation of Indian Industry here on Friday. This excludes orders for flat wagons to be placed by companies wanting to acquire flat wagons after the containerised operations segment opens up, he added."Our studies show that about 3,000-5,000 flat wagons would be required by the players entering the containerised segment," said Mr Batra. The Railways also expects to get proposals worth Rs 500 crore through the wagon investment scheme this year, said the Indian Railways Member-Traffic Mr S.B. Ghosh Dastidar. "We have already received proposals for Rs 250 crore investment for about 1,500 wagons through the wagon investment scheme," said Mr Ghosh Dastidar.
Improving design
In order to increase the load carried per wagon, Mr Batra said the Railways is in talks with various players for improving the design of wagons. "Although we have almost the broadest gauge (rail track) in the world, the net weight carried per wagon needs to be improved," he pointed out stressing on the need to have higher axle load per wagon. The Railways would be talking to players from South Africa, Brazil, the US and Australia for the technology transfer required for improving wagon design and performance of the existing fleet, he added. On containerised sector that was recently opened up, Mr Batra said that all 14 players who had applied for offering containerised operations have been given in-principle approval.
Double stack container trains would be first run on the Pipavav-Jaipur route on March 23, Mr Batra said.
On the Rail Land Development Authority (RLDA), Mr Batra said that the Railways is framing rules for the same and they would be finalised very soon. "RLDA may take part in setting up warehouses, logistics parks, on the rail land," said Mr Batra.
Private participation
Inviting private sector participation in several initiatives of the Railways, Mr Batra said, "The Indian Railways needs to focus on its core function. We need to withdraw from non-core activities in a gradual, phased manner."
An investment of Rs 50,000 crore is needed to carry out the various projects which the Indian Railways has in its inventory; with only Rs 7,000-Rs 9,000 crore available as budgetary support, said Mr Batra.
He added that the Railways is discussing tie-ups with various State Governments such as Jharkhand, Maharashtra, West Bengal, Haryana and Karnataka, for investments in new line capacity.
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