How Indian Railways is Emerging a Flag-Bearer for Modi Government’s ‘Make in India’ Initiative

‘Make in India’ in Indian Railways: Piyush Goyal-led Indian Railways is one of the flag-bearers of Modi government’s ‘Make in India’ initiative. In a recent written reply to a question in Lok Sabha, it was stated that approximately more than 97 per cent of national transporter’s requirement is met from indigenous sources.

In a bid to reduce import further through the ‘Make in India’ movement, some of the areas which have been identified by the Railway Ministry are manufacturing of new modern rolling stock like high horsepower locomotive, trainsets, special spares, light weight railway coaches, components of rolling stock as well as signalling and telecom equipment. According to Railway Ministry, its procurement is compliant with Public Procurement Policy Order, 2017, that is in preference to Modi government’s ambitious Make in India initiative.

Several other items have also been identified for the ‘Make In India’ initiative that are under the categories of track, electrical, civil, signal and telecommunication as well as rolling stock, in the course of implementation of Mumbai-Ahmedabad High Speed Rail project. Interestingly, Indian Railways’ first semi-high speed self propelled train, the Train 18, has also been manufactured under the ‘Make in India’ initiative by ICF Chennai.

Under the ‘Make in India’ initiative, many projects have been undertaken by the private sector, while, some of the projects are being carried out with government investment or on the basis of assured off take by the government. The projects which have been undertaken with an investment of government are Madhepura’s High Horsepower Electric Locomotive factory (Alstom’s factory for 12,000 HP electric locomotives), Marhowra’s High Horsepower Diesel Locomotive factory and Rae Bareli’s forged wheel factory. So far, the total investment made for these factories is around Rs 1,500 crore. The past experience has conveyed that indigenisation minimizes the cost noticeably compared to import. However, at present, precise savings in cost of manufacturing due to implementation of ‘Make in India’ movement cannot be quantified, the Ministry said in its reply.

The ambitious ‘Make in India’ initiative was launched in the month of September, year 2014 by Prime Minister Narendra Modi as part of a wider set of nation-building initiatives. The program has been devised to transform the country into a global design as well as a manufacturing hub.

Source: FE

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