New Delhi, Nov 21 (KNN) The Ministry of Railways is considering to bring all the units producing locomotives and rolling stock under an umbrella public sector undertaking (PSU), reported Mint.

Two people in the know-how told Mint that the government is planning integration of these units under one entity to help professionalise the organisation and make it self-sustaining.

It also aims to achieve scale along the lines of China Railways Rolling Stock Corporation (CRRSC) and it is likely to be named Indian Railway Rolling Stock Company (IRRSC).

Indian Railways has eight production units including three coach factories that complement and supplement each other’s operations.

Improving the ability of the new entity to get access to state-of-the-art technology and cheaper capital and facilitate faster execution of projects, the measure is also expected provide more flexibility in the manufacturing of key railway equipment.

Centre’s budgetary allocation for capital is the main internal arrangements which decides the course of Railway manufacturing.

According to one of the two persons, a report on the matter has been forwarded by the cabinet secretariat to the railway board for immediate action, reported Mint.

The proposal is now expected to be confirmed soon by the railways and may be announced as part of budget proposals for 2023-24 next year before taking the approval of the Cabinet. (KNN Bureau)