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Budget support to ease Indian Railways' component crisis

Shortage of bogies, wagons wheels and other components has severely impacted Indian Railways' plans

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The record investment proposed in the Interim Budget for railways is a much-desired requirement at a time when the sector is chugging along on its tracks with a lesser number of wheels, axles and wagons.

As the network of Indian Railways expands and new projects like Dedicated Freight Corridors set to begin operations after some delays, there is a growing demand for bogies, wagons, wheels and all those components used in developing passenger or goods trains.

"Railways is witnessing increased requirement of Rolling Stock. Rail Wheel Factory, Bangalore, Rail Wheel Plant (Bela) and Steel Authority of India (SAIL) need to ensure uninterrupted supplies to railways. Zonal railways have to closely monitor their requirements so as to make realistic projections during the quarterly meetings," said the minutes of a recent meeting between Railway Board officials and different manufacturing unit heads and also officials from SAIL, the state-run steel maker which also supplies crucial components like wheels and tracks.

The meeting noted the acute shortage of wheels amid production glitches at state-owned SAIL's plant at Durgapur.

The supply crunch has severely impacted Indian Railways' plans but the situation is likely to improve in the March quarter.

"Durgapur Steel plant uses the latest technology to cut ingots and feed the wheel & axle plant. A technical issue was developed during the third quarter of FY19. However, there was some effect on the supply, but it has been resolved and the requirements will be met in the fourth quarter," the official spokesperson of SAIL told DNA Money.

At the Railway Board meeting held earlier this month, the board members expressed concerns over the supply crunch with a SAIL official from Durgapur present at the meeting informing them of the issues.

The minutes of the meeting said "owing to a major breakdown, SAIL was unable to meet the requirements of loco wheels as per the allocation". However, the SAIL official assured of an uninterrupted supply of loco wheels in the fourth quarter.

Not only wheels, but shortages of axles were also witnessed.

"Considering constraints of axle production by Rail Wheel Factory, Bangalore, a realistic assessment needs to be undertaken by workshops regarding the availability of axles released from condemned wagons while ensuring that during undisking the axles are not rendered unserviceable," the director general of railway stores said at the meeting.

"Axle requirements for loco and coach production need to be closely monitored. Any hoarding of inventory, particularly that of axles needs to be avoided to allow RWF to meet loose axle requirements for LHB, locomotives and EMU. Considering below par performance of SAIL, it was advised to ensure compliance as per the allocation made during each quarter," another official of Railway Board said.

SAIL official present at the Railway Board meeting also briefed regarding the progress made in the production of LHB wheels and said the first lot of such wheels is expected to be supplied after inspection by end of January.

SAIL, the only domestic producer of forged wheels which are used for high-speed trains and locomotives, was given the mandate to substitute imported wheels for LHB coaches.

Currently, Railways is executing an ambitious plan to modernise all rail coaches by replacing the old, or Integrated Coach Factory (ICF), coaches by those designed by Linke-Hofmann-Busch of Germany popularly known as LHB coaches.

As per the plan, Railways would stop manufacturing the older ICF model by end of FY19 by scaling up making of LHB coaches.

There has been a shortfall in the procurement of wagons by the railways at a time when transportation of essential items of fuel like coal is not being carried at railway's optimum capacities resulting in shortages at several power plants.

As per data till December, wagon production by private and public sector entities was 29% below the target. As against the planned target of 9,000 units in April-December period, only 6,405 has been procured during this period.

ON SLOW TRACK

  • 29% – below the target of wagon productin by private and public firms
     
  • 9,000 – units of wagons procurement planned in Apr-Dec
     
  • 6,405 – wagon units procured during 9 months of this fiscal
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