Rail Budget to spell out strategy to shore up revenue

July 7, 2014

New Delhi, Jul 7: Having done a pre-budget hike of 14.2 per cent in passenger fares and raised freight rates, Railway Minister Sadananda Gowda's maiden budget is likely to adopt a realistic approach in announcing new trains, lines and survey in view of the cash crunch of Rs 26,000 crore.Sadananda Gowda

With the growth in passenger earnings declining, railways is likley to spell out its strategy to earn additional revenue to reach the target in the current fiscal.

While many unviable projects may be scrapped, Gowda will also announce some new projects on priority basis in the rail budget 2014-2015 tomorrow.

Since the government is grappling with ever-increasing fuel cost, harnessing alternative energy like solar power and bio-diesel in a big way is likely to feature in the NDA government's first Rail Budget as it is believed to be the vision of Prime Minister Narendra Modi who wants use of non-renewable energy in rail sector so that the dependence on fuel is less.

Gowda is likely to announce pilot project for introduction of automatic closing of doors in Shatabdi coaches and EMU coaches in Mumbai suburban train as safety measures for passengers to prevent accidental fall from running train.

There will be provision for a few new trains including premium and services connecting various pilgrim centres in the Rail Budget 2014-15.

Managing passenger service through cross-subsidy from freight earnings, railways may spell out its policy on FDI to attract foreign capital in expansion of rail infrastructure including modernisation of station and high speed train.

The Rail Budget will spell out details of future course of action plan for having a 'Diamond Quadrilateral' to run high speed trains.

The budget will also reflect the views of NDA government on Rail Tariff Authority and High Speed Rail Authority.

Though involvement of private players in big ticket projects is becoming a necessity now, the state-run transporter has to come out with win-win formula for investors in a hassle-free environment.

Hinting at the possibility of private investment in rail sector, the Prime Minister had recently said that private parties would be ready to invest in rail sector like development of stations.

"This would be a win-win situation project and we want to move ahead in this direction in the coming days," Modi had said.

Former Railway Minister Mallikarjun Kharge had set a revenue target of Rs 1.65 lakh crore in the interim budget which includes Rs 1.06 lakh crore from goods and Rs 45,255 crore from passenger and balance from coaching and other sources.

Railways, which have sought about Rs 40,000 cr as Gross Budgetary Support is likely to keep the annual plan at about Rs 64,000 crore.

In its bid to increase carrying capacity of wagons, Gowda will propose development of higher capacity milk van for National Dairy Development Board, parcel van and light weight wagon for carrying salt.

With the focus on alternative fuel, the budget will have proposals for bio-diesel plant and LNG locomotives in view of increased fuel prices.

The budget will emphasise on switching over to solar power for rail workshops, colonies, hospitals and stations. Besides the proposal of setting up of power plants at vacant land and installing solar panels on rooftop of trains, the commissioning of solar power plant at Raebareli coach factory are likely to be announced.

Gowda is likely to encourage use of innovative measures to perk up revenue and for use of latest technology to prevent mishaps while proposing installation of track side equipment to find fault such as overheating bearings, wheels and brake system and other damaged parts of rolling stock.

Introduction of on board integrated coach monitoring and communication system in trains to display GIS-based information on real-time to the passenger about the next upcoming station, arrival and departure timings, platform and coach position among others is also likely to find mention in the Rail Budget on July 8.

Gowda has made it clear after assuming charge that his focus will be on safety, security and speed. So, the budget is likely to focus on providing better amenities to passengers including improved catering service in rail premises.

Expansion of coach house keeping scheme on 90 additional trains, clean station scheme in five more stations and a comprehensive pest and rodent control treatment for all coaches are slated to be part of Gowda's budget speech.

Strengthening of fire safety mechanism and accident prevention measures will be specifically mentioned by the new Railway Minister to highlight government's concern for passenger safety.

The budget is likely to consider the demand of Delhi Division for additional funds for building separate parcel terminal to ease out load on busy platforms.

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News Network
February 14,2020

New Delhi/Washington, Feb 14: India has offered to partially open up its poultry and dairy markets in a bid for a limited trade deal during US President Donald Trump's first official visit to the country this month, people familiar with the protracted talks say.

India, the world's largest milk-producing nation, has traditionally restricted dairy imports to protect the livelihoods of 80 million rural households involved in the industry.

But Prime Minister Narendra Modi is trying to pull all the stops for the US President's February 24-25 visit, aimed at rebuilding bonds between the world's largest democracies.

In 2019, President Trump suspended India's special trade designation that dated back to 1970s, after PM Modi put price caps on medical devices, such as cardiac stents and knee implants, and introduced new data localization requirements and e-commerce restrictions.

President Trump's trip to India has raised hopes that he would restore some of the country's US trade preferences, in exchange for tariff reductions and other concessions.

The United States is India's second-largest trade partner after China, and bilateral goods and services trade climbed to a record $142.6 billion in 2018. The United States had a $23.2 billion goods trade deficit in 2019 with India, its 9th largest trading partner in goods.

India has offered to allow imports of US chicken legs, turkey and produce such as blueberries and cherries, government sources said, and has offered to cut tariffs on chicken legs from 100 per cent to 25 per cent. US negotiators want that tariff cut to 10 per cent. The Modi government is also offering to allow some access to India's dairy market, but with a 5 per cent tariff and quotas, the sources said. But dairy imports would need a certificate they are not derived from animals that have consumed feeds that include internal organs, blood meal or tissues of ruminants.

New Delhi has also offered to lower its 50 per cent tariffs on very large motorcycles made by Harley-Davidson, a tax that was a particular irritant for President Trump, who has labelled India the "tariff king." The change would be largely symbolic because few such motorcycles are sold in India.

President Trump will be feted in PM Modi's home state of Gujarat, then hold talks in New Delhi and attend a reception that the hosts have promised will be bigger than the one organised for former president Barack Obama in 2015.

But it is far from clear whether India's offers will be enough to satisfy US Trade Representative Robert Lighthizer, who cancelled plans for a trip to India this week. Instead, he has held telephone talks with Commerce Minister Piyush Goyal.

The US dairy industry remained sceptical on Thursday that a viable deal is at hand.

"We're always looking for market access, but in terms of India, as of today I'm not aware of any real progress going on," said Michael Dykes, president of the International Dairy Foods Association and a member of USTR's agricultural trade policy advisory committee.

Mr Dykes said the US dairy industry was looking for access in viable commercial quantities.

A USTR spokesman and India's trade ministry did not respond to requests for comment.

A parliament panel is reviewing a draft data privacy law that imposes stringent controls over cross-border data flows and gives the government powers to seek user data from companies.

It is not clear whether it will be passed, or in what form, but the possibilities have unnerved US companies and could raise compliance requirements for Google, Amazon.com Inc, and Facebook.

The draft law is not part of the trade discussions, Indian officials say, because the issue is too difficult to resolve at the same time.

"The privacy and localization piece will be raised independently and in concert with the trade discussions," said a Washington-based source with knowledge of the US administration's thinking.

President Trump on Tuesday was non-committal about sealing a trade deal before his visit. "If we can make the right deal, we'll do it," he told reporters.

Two US sources said progress had been made on proposed alterations to the medical device price caps. India's new import tariffs on medical devices, walnuts, toys, electronics and other products on February 1 surprised US negotiators, however.

The new tariffs were aimed at China, which also makes medical devices, according to an Indian government source. "We have to protect our market and our companies," the source said.

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News Network
June 23,2020

New Delhi, Jun 23: The Delhi High Court Tuesday granted bail to Jamia student Safoora Zargar, who is pregnant and was arrested under anti-terror law UAPA in a case related to communal violence in northeast Delhi during protests against the Citizenship Amendment Act, as Solicitor General Tushar Mehta did not oppose it on humanitarian grounds.

At the outset of the hearing, Mehta, representing Delhi Police, submitted that Zargar can be released on regular bail on humanitarian grounds and the decision has not been taken on merits of the case and should not be made a precedent.

Justice Rajiv Shakdher, who conducted the hearing through video conferencing, released Zargar, who is 23-week pregnant, on bail on furnishing a personal bond of Rs 10,000 and surety of like amount.

The court said she shall not indulge in any activity for which she has been charged with and shall not hamper the investigation or influence the witnesses.

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News Network
May 27,2020

New Delhi, May 27: As per the prediction from the IMD, severe heatwave conditions continued in several parts of north India with Delhi recording the country’s second-highest temperature at 47.6 degrees Celsius. On the other hand, Churu in Rajasthan sizzled at 50 degrees Celsius, reporting the highest temperature in the country. Also Read - Delhi Temperature: Heatwave to Continue, IMD Issues Alert, Mercury Rises to 46 Degrees

In Delhi, the mercury soared to 47.6 degrees Celsius in Palam area and most places recorded their maximum temperatures six notches above normal. The Safdarjung Observatory, which provides representative figures for the city, recorded a maximum of 46 degrees Celsius.

The last time when the mercury at the Safdarjung weather station touched the 46-degrees-Celsius mark was on May 19, 2002.

The IMD said the weather stations at Lodhi Road and Aya Nagar recorded their respective maximum at 45.4 degrees and 46.8 degrees Celsius.

In its earlier forecast, the IMD has said that dust storm and thunderstorm with winds gusting up to 60 kilometres per hour is likely over the National Capital Region on Friday and Saturday.

On the other hand, severe heatwave conditions prevailed in several parts of Rajasthan on Tuesday, with the mercury touching 50 degrees Celsius in Churu district.

The IMD said this is the second-highest maximum temperature recorded in Churu district in the month of May in the last 10 years.

Other areas such as Bikaner, Gangangar, Kota and Jaipur recorded maximum temperatures of 47.4 degrees Celsius, 47 degrees Celsius, 46.5 degrees Celsius and 45 degrees Celsius, respectively.

In the adjoining areas of Chandigarh, the severe heatwave condition continued in Haryana, Punjab with Hisar being the hottest place in the region at 48 degrees Celsius.

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