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Indian tranport sector 1

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Indian transportation sector as on 2007

Indian transportation sector as on 2007

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  • 1. INDIAN TRANSPORTATION SECTOR: AN OVERVIEW SUBMITTED BY: AMAR ASHISHSUBMITTED TO: Dr. ASHISH MBA(PSM) MANOHAR URKUDE SAP ID: 500015422 ROLL NO: R310211003
  • 2. INDIAN TRANPORT SECTOR •India’s transport sector is large and diverse; it caters to the needs of 1.1 billion people. In 2007, the sector contributed about 5.5 percent to the nations GDP,. •However, the sector has not been able to keep pace with rising demand and is proving to be a drag in the economy. Major improvements in the sector are required to support the country’s continued economic growth and to reduce poverty.
  • 3. RAILWAYS: Indian Railways is oneof the world’s largest railwaysunder single management. Itcarried some 17 millionpassengers and 2 million tonnesof cargo a day in the year 2007and is one of the world’s largestemployers. The railways play aleading role in carryingpassengers and cargo acrossIndia’s vast territory.However, most of its majorcorridors have capacity constraintrequiring capacity enhancementplans.
  • 4. ROADS: Roads are the dominantmode of transport in India today.They carry almost 90% of thecountry’s passenger traffic and 65%ofits freight. The destiny of India’shighway network- at 0.66 km ofhighway per square kilometer of land-is similar to that of UnitedStates(0.65) and much greater thanChinas (0.16) and Brazil’s (0.20).However, most highways in India arenarrow and congested with poorsurface quality, and 40 percent ofIndia’s villages do not have access toall-weather roads.
  • 5. AVIATION: India has 125airports, including 11 internationalairports. Indian airports handled 96million passengers and 1.5 milliontonnes of cargo in year 2006-2007, an increase of 31.4% forpassengers and 10.6% for cargotraffic over previous year. Thedramatic increase in air traffic forboth passengers and cargo in recentyears has placed a heavy strain onthe country’s major airports.Passenger traffic is projected to cross100 million and cargo to cross 3.3million tonnes by year 2010.
  • 6. PORTS: India has 12 major and187 minor and intermediate portsalong its more than 7500 km longcoastline. These ports serve thecountry’s growing foreign trade inpetroleum products, iron ore, andcoal, as well as the increasingmovements of containers. Inlandwater transportation remainslargely undeveloped despiteIndia’s 14,000 kilometers ofnavigable rivers and canals.
  • 7. CHALLENGES:Indian Roads are congested and of poor quality Rural Areas have poor access
  • 8. The Railways are facing severe capacity constraints Ports are congested and inefficient
  • 9. Urban centers are severely congested Airport infrastructure is strained
  • 10. Increasing public funding for KEY GOVERNMENTtransportation in its five year plans STRATEGIES: Financing the development and maintenance of roads by creating a Central Road Fund (CRF) through an earmarked tax on diesel and petrol.India’s Eleventh Five Year Plan identifiesvarious deficits in transport sector which Improving rural access by launchinginclude inadequate roads/highways, old the Pradhan Mantri Gram Sadaktechnology, saturated routes and slow speed Yojana (Prime Minister’s Rural Roadson railways, inadequate berths and rail/road Program).connectivity at ports and inadequaterunways, aircraft handling capacity, parking Reducing the congestion on railspace and terminal building at airports. corridors along the highly traffickedGovernment aims to modernize, expand, Golden Quadrilateral and improvingand integrate the countrys transport port connectivity by launching theservices. It also seeks to mobilize resources National Rail Vikas Yojana (Nationalfor this purpose and to gradually shift the Railway Development Program)role of government from that of a producerto an enabler. In recent years, the The development of two DedicatedGovernment has made substantial efforts to Freight Corridors from Mumbai totackle the sector’s shortcomings and to Delhi and Ludhiana to Dankuni.reform its transport institutions. Theseinclude
  • 11. Cont. Improving urban transport under Jawaharlal Nehru National Urban Renewal Mission (JNNURM). Upgrading infrastructure and connectivity in the countrys twelve major ports by initiating the National Maritime Development Program (NMDP). Privatization and expansion of the Mumbai and New Delhi Airports and development of new international airports at Hyderabad and Bangalore. Enhancing sector capacity and improving efficiencies through clear policy directive for greater private sector participation. Large parts of the NHDP and NMDP are to be executed through public private partnerships (PPP).
  • 12. WORLD BANK SUPPORT: The World Bank has been a major investor in the transport sector in India. At present, it has ten projects in transport portfolio which include seven state road projects and one each for national highway, rural road and urban transport with total loan commitments for the transport sector in India as US$3.48 billion. The main activities include: NATIONAL HIGHWAY DEVELOPMENT PROGRAM: The World Bank is financing highway construction on the Lucknow-Muzaffarpur corridors. It is also involved in other sector activities such as improving road road safety. RURAL ROADS PROGRAM: The project supports the PMGSY in providing all weather roads to villages in four states – Uttar Pradesh, Jharkhand, Rajasthan and Himachal Pradesh. STATE ROADS PROJECT: State Highways are being upgraded in the states of Kerala, Mizoram, Uttar Pradesh, Tamil Nadu, Punjab, Himachal Pradesh, Orissa and Andhra Pradesh. SUSTAINABLE URBAN TRANSPORT PROJECT: The project aims to promote environmentally sustainable urban transport in various cities and support implementation of the India National Urban Transport Policy (NUTP).
  • 13. STUDIES: In addition to the above, the Bank is involved in the preparation of various analytical works (AAA) in the transport sector in India. These include: INDIA PORT SECTOR STUDY: The purpose of the proposed effort is to review the demand-supply situation with respect to the port sector, identify physical, financial and policy constraints to sector development and suggest mitigation measures for the same. INDIA CONSTRUCTION INDUSTRY STUDY: Given the large development programs being launched to support the rapidly growing economy, the supply side constraints in terms of the construction industry capacity are a serious cause of concern. The study reviews these limitations and suggest mitigation measures. This study has produced two outputs titled "Indian Road Construction Industry: Ready for Growth?" and "Indian Road Construction Industry - Capacity Issues, Contraints and Recommendations". While the Bank will continue to support the upgrading and development of roads and highways in the country, it plans to scale up its involvement in railways and urban transportation.SOURCE: http://go.worldbank.org/FUE8JM6E40
  • 14. INDIA: TRASPORT SECTOR KEY STATISTICS UNITS AS OF 2009LENGTH OF ROADS KM. 3,516,452MAIN ROADS KM. 666,452PAVED ROADS % 47.3ACCESS TO ALL SEASON ROADS % 61ROAD DESTINY KM/1000 sq. KM. 1115RAIL TRACK LENGTH KM. 63,327TURNAROUND TIME DAYS 3AIRPORTS 125INTERNATIONAL 11NO. OF PORTS 199