Host of new freight rail terminals in India’s rail budget
India’s state-owned freight rail operator Concor will develop eight container depots in the coming year, Railway Minister Lalu Prasad said Tuesday during the unveiling of the government rail budget for 2008, the Times of India reported.
The release of the budget is always a flamboyant affair and usually attracts more interest than the release of the general budget.
Along with the Concor depots, the government will spend $500 million on rail container depot development, and expects the private sector to develop 40 freight container depots of its own. It’s been two years since private operators were given license to run freight trains on the government’s tracks.
Other highlights of the budget:
' Freight loading increased 10 percent in the last fiscal year.
' The ministry is seeking $110 billion in freight rail revenue this year.
' Nearly $19 billion will be spent on development of freight rail corridors, including one connecting the Delhi and Mumbai regions.
It’s important to note that passenger traffic always gets overwhelming priority in India, with high political pressure on the government to subsidize passenger fares with cargo revenue.
Host of new freight rail terminals in India’s rail budget
