![]() Financial Daily from THE HINDU group of publications Monday, Feb 28, 2005 |
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Industry & Economy
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Railway Budget AP Chambers welcome Railway Budget Our Bureau
Hyderabad , Feb. 27 APEX chambers in Andhra Pradesh have welcomed the Railway Budget for 2005-06. They were particularly impressed by the proposed reforms by the Railways, welcoming private investments in freight management. The Federation of Indian Chambers of Commerce and Industry (FICCI - AP) described the reforms as innovative. "These reforms will make Railways a much more freight customer-friendly organisation," said Mr C. Parthasarathy, Chairman of FICCI (AP). The move to forge private-public partnerships would allow the industry to use the railway infrastructure optimally. The Rail Minister attempted to rationalise the norms for classification of freight tariff. The exact cost implications for specific industries could be assessed only after studying the new classification regime, Mr Parthasarathy said in a press release. He, however, was worried by the continued cross-subsidy in passenger fares. "By leaving passenger fares untouched, the Minister chose to continue with the cross-subsidisation of freight rates. We have argued for long to end this practice to free resources for development projects," he said. The Federation of AP Chambers of Commerce and Industry (FAPCCI) too welcomed the Budget that proposed no hike in freight charges and passenger fares. The proposal to increase speed of goods trains up to 100 km and introduce aluminium containers and double-decker containers will greatly help trade and commerce, Mr O.P. Goenka, President of FAPCCI, said. Mr Ramakrishna, former Chairman of AIMO (All-India Manufacturers' Association - AP), termed the Budget as "status quoits". Railways faced challenges in the backdrop of low-cost air services and other modes of transport. "We expected the Minister to rise to the occasion and address these challenges," he said. "There is no great vision in the Budget." The Chief Minister, Dr Y.S. Rajasekhara Reddy, is happy about the special attention given to the State. "The State got seven of the 46 new trains and six of the 28 extensions," he said, reacting on the Railway Budget. He welcomed the move to offer special fare to farmers and milkmen. Reduction in freight for kerosene and LPG would help the common man. He, however, said the Railway Minister should include the second phase of multi-modal transport system and the Obulavaripalle-Krishnapatnam port railway line in the Budget. Ms Panabaka Lakshmi, Union Minister of State for Health and Welfare, thanked the Minister for introducing the Secunderabad-Gudur Express. She wanted him to name the train `Simhapuri Express'.
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