![]() Financial Daily from THE HINDU group of publications Monday, Sep 29, 2003 |
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Logistics
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Roadways Quadrilateral project must include `smart highways' Our Bureau
Chennai , Sept. 28 THE Golden Quadrilateral (GQ) road project, which is today spoken of as the icon of India, must also include features to make the roads "smart highways", Mr R. Seshasayee, Managing Director, Ashok Leyland, and immediate-past President, Society of Indian Automobile Manufacturers (SIAM), has said. For example, the roads must have electronic gadgets that would detect overladen vehicles and deny entry to them. Electronics must be made use of, also in areas like remote collection of toll charges, Mr Seshasayee said. He was speaking at a meeting organised here by the Equipment Leasing Association of India and the South India Hire Purchase Association (both associations of NBFCs). He said that the GQ project would have far reaching consequences for the automotive industry, in terms of altering transport economics, upgradation of technology and competition from abroad. He said transport economics of today favoured old vehicles on the road. Overloaded and aged (and depreciated) vehicles were able to quote lower freight charges and were hence in a better position to get business. Because of this, imports of commercial vehicles were not happening not even imports of used vehicles. However, the GQ project would mean a new demand for vehicles with higher technology, which might be better in terms of power, torque, speed and acceleration. This demand could attract competition from abroad, Mr Seshasayee said. On the other hand, the upgradation in technology would also mean that Indian commercial vehicles manufacturers could look at global markets for business. Mr Seshasayee observed that Indian vehicle OEs were prepared to catch up with the European emission standards, in half the time that the Europeans themselves took to reach where they are. This, the Indian companies were doing without the benefit of high volumes.
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