With the relaxation of FDI norms for the country's rail sector, foreign investors are now free to push staggering sum worth Rs 90,300cr in India's rail infrastructure availing the lax foreign direct investment route norms, railway ministry said in a recent media statement, adding that the Rs 63,000cr Mumbai-Ahmedabad high-speed corridor project is the single largest project currently available for foreign investors. The other major infra projects in the rail sector included Rs 14,000-crore CSTM-Panvel suburban corridor, to be implemented in public-private partnership (PPP), and the Rs 1,200cr Kachrapara rail coach factory, besides multiple freight line, electrification and signaling projects. The railway is holding two investor meets to apprise potential investors of the kind of models and projects on offer for participation, Railway Board Chairman Arunendra Kumar said, adding that the ministry had earlier held an investor meet that saw participation of about 150 top executives from 65 private companies.
Ensuring investors' friendly environs, railways minister in a recent statement said that the ministry would put in place an "investor-friendly framework to transform the national transporter into an efficient organization, attract investment on a long-term sustainable basis. Mumbai-Ahmedabad high-speed corridor stretches 534 km and will be implemented on a design-build-finance-operate-transfer (DBFOT) basis, with government-to-government cooperation. And for the Kachrapara rail coach factory, the ministry has finalized the lowest price per coach as the bidding parameter. The facility is being planned to roll out 500 coaches per annum. The discussions at the previous investor meet veered around the overview of five models of participative policy, framework of engineering, procurement and construction (EPC) contracts and sector wise guidelines for foreign and domestic investment, besides the ministry's brass has also deliberated on a new model concession agreement under the PPP model and new projects like station development to be rolled out under this model.