In the months to come, India can undoubtedly pick a few lessons from China and with appropriate
improvisations lead the way to making policy changes that bring in a radical change in the ease of doing
business as well as supplying its domestic needs and international demands. By DR. POORNIMA
ADVANI
The road construction companies are eying 20 per cent growth through this fiscal. With this, a plethora of opportunities have opened up for road equipment industry.
The Union Budget for fiscal 2018 has a progressive outlook and encourages investments with initiatives like affordable housing being given infrastructure status to avail new funding avenues. The Budget has expanded the scope for the capital and bond markets.
The government´s ambitious push to port-led development under the Sagarmala project will help in saving as much as Rs.40,000 crore annually in logistics costs by 2025.
Macro developments suggest positive trends in the road sector with pickup in execution. Recent bids under the Hybrid Annuity Model (HAM) in May-June have seen participation increasing from two-four players to seven-eight players as the risk-reward equation is favourable.
The Chennai Port Trust has taken up six projects at a cost of over Rs.200 crore to strengthen its capacities and to brace up for competition from neighbouring ports.
Having expanded its influence in Nepal with road and rail network through Tibet, China is now looking to stretch its railway link to Bihar to improve connectivity with India and South Asia, state-run Chinese media reported.
The government is expecting investments worth Rs.25 lakh crore over the next three years in roads, railway and shipping infrastructure.
Presenting the Union Budget on February 29, Finance Minister Arun Jaitley announced that the total outlay for road and rail development would add up to Rs.2,18,000 crore this fiscal.
Union Minister of Road, Transport and Highways said that the government will set up a separate Transport Department comprising experts from automobile sector, alternative fuel, emission, etc. ´