RITES to prepare DPR for corporatisation of Indian Railways train production units

New Delhi, India (Urban Transport News): India's national transporter Indian Railways is planning to corporatize its production units located in various parts of the country with the aim to increase efficiency. The consultation period will be of two-three months between April-June next year, according to the Chairman and Chief Executive Officer of the Railway Board Vinod Kumar Yadav.

The railway consultancy firm RITES Limited would prepare a detailed project report (DPR) for the proposed corporatization of Indian Railways' production units. The production units which are listed under the corporization plan are Integral Coach Factory, Chittaranjan Locomotive Works, Diesel Locomotive Works, Wheel and Axle Plant, Diesel Modernization Works, Rail Wheel Plant, Modern Coach Factory and Rail Coach Factory.

The plan of corporatization will be discussed with the unions in the period of April-June next year. The unions of Indian Railways had opposed the decision of the Railway Ministry to turn the production units into corporate entities, raising worries about job losses.

Recently, Railway Board Chairman and CEO Vinod Kumar Yadav said that once the project report by the Rail PSU is ready, the board will discuss with the unions to see if it can be taken forward, and ensuring that the interests of the Indian Railways staff are taken care off.

According to the Indian Railways, new Vande Bharat train sets will be manufactured at Integral Coach Factory in Chennai, Rail Coach Factory in Kapurthala as well as at the Modern Coach Factory in Raebareli. 

On 1st December 2020, Banaras Locomotive Works, Varanasi, has surpassed its own record of manufacturing 31 electric locomotives in a month, achieved in July 2020 with the turnout of the 40th 6,000 HP electric locomotive for the month of November 2020.

Earlier in the month of November 2020, Indian Railways loading was 109.68 million tonnes which are 9% higher compare to last year’s loading for the same period (100.96 million tonnes). In this period Indian Railways earned Rs 10,657.66 Crores from freight loading which is also Rs 449.79 Crore (4%) higher compared to last year’s earnings for the same period (Rs. 10,207.87 crores).