New Delhi, Feb 25 (KNN) The Railway Budget 2016 which was presented by Union Minister Suresh Prabhu today has been welcomed by the industry. The industry from across the country has hailed the announcement to boost rail infrastructure, no hike in freight charges, passenger fare and focus on improving facilities for the common man.

Let’s have a look at what the industry has to say on the Rail Budget:

FISME: The budget can only be mentioned as a damp squib. There is no mention how the Minister is going to cover the huge capital costs in bullet trains and Loco factories. Also how Railways will raise funds for the joint ventures to be set up with the states, the initiative started with much fanfare.

Tamil Nadu Small & Tiny Industries Association (Tanstia), Tamil Nadu: Industry is quite happy with no increase in the freight charges. But there has been no announcement of any new train in this Budget. The industry has been demanding a train from Coimbatore to Bangalore since last ten years but it was not announced this year too. However, announcements to boosting infrastructure like wi-fi, toilets, etc is welcomed by us.

Manesar Industries Welfare Association (MIWA): We welcome the Railway Budget . This budget is progressive rather than expansive. Also, boosting of rail infrastructure and announcements like wi-fi etc is a welcome move for all.

Karnataka Small Scale Industries Association (KASSIA): KASSIA welcomed the Railway Minister’s announcement to work with the Karnataka government for suburban rails stating that this will go a long way to reduce daily traffic snarls and congestion in Bengaluru. The micro and small scale industries were also relieved that the budget had left the freight rates untouched though a cut in the rates could have helped to increase revenue from freight,. The proposal to develop three dedicated freight corridors on high priority to accommodate the increased demand in freight transport and the full-fledged market study on freight basket being undertaken to revive the freight share could help to increase freight volumes.

Ficci: The rationalization of freight policy and review of PPP policy framework would help to attract private players for transforming rail transportation and increasing the revenue. Initiatives towards developing an integrated railway network, greater emphasis on dedicated freight corridors, and improving port connectivity as well as north-east connectivity would go a long way in expanding the freight business.

Assocham: Railway Minister Suresh Prabhu has given a no-tariff hike budget without compromising on the capital expenditure for increasing carrying capacity, both passengers and freight even in a challenging economic environment marked by a severe slowdown in the commodity sectors, which are lifeline of the Railways’ earnings. Increased involvement of the private sector both for the passenger amenities like upgrading of stations and freight movement is a welcome sign and he is following a businesslike approach in moving towards the medium term targets of providing reservation on trains on demand and giving A rated service to the freight customers. Besides, the plan to diversify his revenue source, other than the present narrow basket of a few commodities is timely. (KNN Bureau)