India Inc reacts to Railway budget
Railways minister Mamata Banerjee presented the government's railway budget for the 2010/11 financial year in Parliament on Wednesday.mumbai Updated: Feb 24, 2010 14:54 IST
Railways minister Mamata Banerjee presented the government's railway budget for the 2010/11 financial year in Parliament on Wednesday.
Following are reactions from company officials to the budget:
Umesh Choudhary, vice chairman, Titagrh Wagons: "Railway is building up capacity for the long term. Emphasis on public-private model to enhance rail infrastructure is good for the industry. If railways want to achieve this growth, it cannot do it by itself. It will need private investors.
However, some proposals like new wagon order and five new wagon plants, need more clarity."
Sajal Mitra, CEO, Arshiya Rail (unit of Arshiya International): "We can take some positives from the budget in terms of enhancing overall connectivity and setting up a task force for clearance of projects within 100 days. But last year also, a lot of projects were announced and nothing really took off. At the end of the day you need massive amount of funds for these projects and funds are currently not available".
MVS Seshagiri Rao, Jt managing director, JSW Steel on ET Now channel: "Dependency on road is very, very high. Share of railways is only 35-40 percent. So, this is one very big initiative, which is required to be pushed for having the railway corridors in several parts of India. Thereby, the railways' share will increase. It will become more efficient for the people, more competitive, it becomes cheaper to move to railway. I think that is what the industry is expecting."
R D Sharma, Chairman & Managing Director, Kalindee Rail Nirman (Engineers) Ltd on CNBC TV18: "She (the railway minister) has also mentioned about vision 2020. We have to achieve an average of 1,000 kilometers a year. That is a great opportunity for companies like us."