India's large and diverse transportation sector faces several challenges in meeting growing demand, including congested roads and railways, poor rural access, and strained airport infrastructure. The government is taking steps to modernize the sector through public funding, rural access programs, freight corridor development, and private sector participation. The World Bank supports these efforts through projects focused on highways, rural roads, ports, and sustainable urban transport.

1. INDIAN TRANSPORTATION SECTOR: AN OVERVIEW
SUBMITTED BY: AMAR ASHISH
SUBMITTED 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 one
of the world’s largest railways
under single management. It
carried some 17 million
passengers and 2 million tonnes
of cargo a day in the year 2007
and is one of the world’s largest
employers. The railways play a
leading role in carrying
passengers and cargo across
India’s vast territory.
However, most of its major
corridors have capacity constraint
requiring capacity enhancement
plans.

4. ROADS: Roads are the dominant
mode of transport in India today.
They carry almost 90% of the
country’s passenger traffic and 65%of
its freight. The destiny of India’s
highway network- at 0.66 km of
highway per square kilometer of land-
is similar to that of United
States(0.65) and much greater than
China's (0.16) and Brazil’s (0.20).
However, most highways in India are
narrow and congested with poor
surface quality, and 40 percent of
India’s villages do not have access to
all-weather roads.

5. AVIATION: India has 125
airports, including 11 international
airports. Indian airports handled 96
million passengers and 1.5 million
tonnes of cargo in year 2006-
2007, an increase of 31.4% for
passengers and 10.6% for cargo
traffic over previous year. The
dramatic increase in air traffic for
both passengers and cargo in recent
years has placed a heavy strain on
the country’s major airports.
Passenger traffic is projected to cross
100 million and cargo to cross 3.3
million tonnes by year 2010.

6. PORTS: India has 12 major and
187 minor and intermediate ports
along its more than 7500 km long
coastline. These ports serve the
country’s growing foreign trade in
petroleum products, iron ore, and
coal, as well as the increasing
movements of containers. Inland
water transportation remains
largely undeveloped despite
India’s 14,000 kilometers of
navigable 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 identifies
various deficits in transport sector which Improving rural access by launching
include inadequate roads/highways, old the Pradhan Mantri Gram Sadak
technology, saturated routes and slow speed Yojana (Prime Minister’s Rural Roads
on railways, inadequate berths and rail/road Program).
connectivity at ports and inadequate
runways, aircraft handling capacity, parking Reducing the congestion on rail
space and terminal building at airports. corridors along the highly trafficked
Government aims to modernize, expand, Golden Quadrilateral and improving
and integrate the country's transport port connectivity by launching the
services. It also seeks to mobilize resources National Rail Vikas Yojana (National
for this purpose and to gradually shift the Railway Development Program)
role of government from that of a producer
to an enabler. In recent years, the The development of two Dedicated
Government has made substantial efforts to Freight Corridors from Mumbai to
tackle the sector’s shortcomings and to Delhi and Ludhiana to Dankuni.
reform its transport institutions. These
include

11. Cont.
 Improving urban transport under Jawaharlal Nehru National Urban Renewal
Mission (JNNURM).
 Upgrading infrastructure and connectivity in the country's 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 2009
LENGTH OF ROADS KM. 3,516,452
MAIN ROADS KM. 666,452
PAVED ROADS % 47.3
ACCESS TO ALL SEASON ROADS % 61
ROAD DESTINY KM/1000 sq. KM. 1115
RAIL TRACK LENGTH KM. 63,327
TURNAROUND TIME DAYS 3
AIRPORTS 125
INTERNATIONAL 11
NO. OF PORTS 199