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http://www.hindustantimes.com/world...inese-media/story-iJSZKnD3vjwIAG0KyuIMaL.html
China could pump money, share tech to improve Indian Railways: Chinese media
Indian Railways has been a lifeline for 23 million Indians . (AFP File Photo)
China could pump money, share tech to improve Indian Railways: Chinese media
- Sutirtho Patranobis, Hindustan Times, Beijing
- Updated: Nov 22, 2016 12:49 IST
Indian Railways has been a lifeline for 23 million Indians . (AFP File Photo)
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The article advocated direct infusion of Chinese money into the railway sector in India and that the China-led Asian Infrastructure Investment Bank (AIIB) could lead the way.
“Following the Indore-Patna Express derailment, India and China may want to speed up cooperation in infrastructure and China could provide direct support for upgrading India’s railways,” it said.
“India currently holds the second-largest portion of shares and voting rights in the China-led AIIB, allowing the South Asian country to benefit from the bank’s efforts to improve infrastructure in Asia. Additionally, Chinese banks might provide concessionary loans to India if it allowed more Chinese enterprises to invest in its state-run railway network,” the article said.
In fact, New Delhi and Beijing have had several rounds of talks about cooperation in the railway sector but much of the discussions have remained in the drawing board stage.
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It was only in August that China’s biggest high-speed train and railway equipment maker announced that its first joint venture in India had been operationalised in Haryana. It was for the first time that China Railway Rolling Stock Corporation (CRRC) – a mammoth state-owned enterprise (SOE) in China with more than 1,75,000 employees – had set up a joint venture in south Asia.
Both countries realise that there is scope for cooperation in sharing and adopting technology.
“There is also potential for China and India to cooperate in railway technology. China’s technology is advanced even compared with some developed countries and the costs are lower, which are appropriate for being adopted in India. A 2014 research report from the World Bank showed that ticket prices for China’s railway were about a quarter of those in other countries,” the Global Times reported.
The Chinese company, of course, had been present in the Indian market since 2007 and supplied subway trains, engines and other equipment, as reported by Hindustan Times in August.
“Given more than 60,000 kilometers of railways in India, it is far from enough to build a single locomotive engine plant in India,” CRRS vice-president, Yu Weiping, had then said.
“CRRC will build more plants able to produce trains, locomotive traction systems and other key parts in India,” he added.