Research and Markets: Indian Rail Industry Chugs Along with Increased Private Participation and Renewed Focus on Freight and Infrastructure Development

DUBLIN--(Business Wire)--
Research and
Markets(http://www.researchandmarkets.com/research/c3f3c8/strategic_analysis)
has announced the addition of Frost & Sullivan's new report "Strategic Analysis
of the Growth Opportunities in the Indian Rail Industry" to their offering.

Research Overview

This Frost & Sullivan research service titled Strategic Analysis of the Growth
Opportunities in the Indian Rail Industry provides current market size,
forecasts, as well as the key market drivers and restraints. In this research,
Frost & Sullivan's expert analysts thoroughly examine the following markets:
passenger rail services and coaches, freight rail services and wagons, rail
infrastructure, locomotives and wheels, as well as signalling systems and
technology.

Market Overview

The Indian Railways, which runs more than 18,400 trains, covering 6,856 stations
daily, is all set to benefit from higher private participation. The magnitude of
the Indian Railways' infrastructure upgrade and modernization program has made
private participation an integral component of all developments for key
initiatives. The ongoing and proposed Metro Rail projects in several Indian
cities, including Delhi and Mumbai, have encouraged large-scale private
participation in the areas of providing engines and coaches as well as
infrastructure development for both domestic and multinational companies. These
projects can expand the reach of railways as a preferred mode of passenger
transportation. Apart from persuading private participants, the Indian Railways
is also looking to bolster its revenues through the use of technology and
investment in port connectivity and rail infrastructure.

Meanwhile, the opening up of the container rail segment for private
participation has given a huge boost to the cargo segment. Private investments
have gone a long way in reducing the infrastructural limitations of the Indian
Railways and creating opportunities in the extremely profitable freight
transportation services. "Already, the 15 approved operators have gained high
volumes of freight from various industries, including transportation of cars by
rail, which was not done earlier by the government-owned Container Corporation
of India Ltd. (CONCOR)," says the analyst of this research. "Once the ongoing
project of Dedicated Freight Corridors becomes a reality, several more
participants are expected to join the competition of container rail operations
and fulfill the vast demand for rail freight services."

Acknowledging the business opportunity presented by the steadily growing freight
segment, the Indian Railways plans to invest in connectivity for all major
ports. This will allow cargo from/to the hinterlands to be transported directly
from/to the port to avoid the bottlenecks of road transportation and existing
rail routes. India has the second largest railway network in the world, covering
over 63,600 km and carrying about 30 percent of the nation's cargo. "However,
within the rail network, some key routes such as Delhi-Mumbai and Delhi-Kolkata
have a utilization of more than 140 percent," notes the analyst. "To add to the
congestion, there are no dedicated routes for cargo traffic and hence, the cargo
traffic not only subsidizes the passenger traffic, but is also accorded lower
priority."

After being written off as a financially unviable organization by industry
experts, Indian Railways has made a dramatic turnaround in the last few years.
There has been a paradigm shift from the tariff regime (using freight services
to subsidize passenger services) to a focus on freight as a primary growth
driver. Meanwhile, Indian Railways' customer-friendly approach to passenger
services has ensured that both passenger as well as freight revenues will
escalate, throwing open numerous opportunities for companies in diverse segments
of railways. India's emergence as a manufacturing hub for various sectors has
buoyed the economy and attracted investments in infrastructure as well as hiked
demand and consumption. "A sharp rise is expected in the traffic flow between
manufacturing centers, ports, and inland container depots (ICDs) over the next
four to five years," observes the analyst. "Owing to the cost benefits of rail
transportation, the Indian Railways is likely to gain significant revenues from
these trends."

Market Sectors

Expert Frost & Sullivan analysts thoroughly examine the following market sectors
in this research:

* Passenger rail services and coaches
* Freight rail services and wagons
* Rail infrastructure
* Locomotives and wheels
* Signaling systems and technology

Technology

The following technology is covered in this research:

* Railway signaling and communication technologies

Key Topics Covered:

* 1. Executive Summary
* 2. Indian Rail Industry
* 3. Passenger Rail Services and Rolling Stock
* 4. Freight Rail Services and Rolling Stock
* 5. Rail Infrastructure, Locomotives and Wheels
* 6. Conclusions - Future Growth Opportunities
* 7. Database of Key Industry Participants
* 8. Annexure

For more information visit
http://www.researchandmarkets.com/research/c3f3c8/strategic_analysis

Research and Markets
Laura Wood, Senior Manager,
press@researchandmarkets.com
U.S. Fax: 646-607-1907
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