MCC Chamber of Commerce & Industry considered the Railway Budget presented by the Railway Minister, Shri Suresh Prabhu today, to be a balanced budget. With an increase in the operating ratio from 90 – 92 p.c. and putting on the fast track, the development of the Deducted Freight Corridors connecting North and South between Delhi to Chennai, East to West connecting Kharagpur to Mumbai and West Coast connecting Kharagpur to Vijaywada are well appreciated. Increase in connectivity with the ports by railways would facilitate faster movement of goods for exports and imports.
Encouraging Corporate participation in resource building through PPP mode and involving the State government will add a new dimension for railway development if it can be implemented. Opening of Container sector to all traffic barring coal and other mineral-ores with facilities for multi-point loading will help the business community.
The Minister has announced 44 new Partnership Projects Plans covering 5300 km. worth Rs.92,714/- crores and proposed establishment of two Locomotive factories with an investment of Rs.40 thousand crores. But, keeping in mind the constraint in the Balance Sheet and no hike in fares coupled with the burden of implementing 7th Pay Commission recommendations and the cost over-run of the delayed projects, it is not clear how such projects can be implemented in reality and who would go for partnering with the railways for implementation of those projects. Eastern India specially West Bengal appears to have lost the focus of the Railway Minister.