— Photo: AP

Prime Minister Manmohan Singh and Railway Minister Lalu Prasad flag off additional suburban trains after laying the foundation for the Freight Corridor (Western) project in Mumbai on Thursday.

MUMBAI: Prime Minister Manmohan Singh on Thursday laid the foundation stone here for the Western Railways' dedicated freight corridor project.

Costing Rs. 2,200 crore, it is the country's largest single infrastructure project, and will link ports in the west to industries across northern and central India.

Dr. Singh said the corridor would boost industrial development and trade in agricultural commodities, and thereby give a fillip to the economic development of some of the most backward regions. Besides, it would create employment opportunities and reduce the cost of transportation, making Indian goods more competitive in global markets.

He asked the Railways to plan more freight corridors to link the southern region as well. "This will then truly link the entire nation to a grid."

He said the modernisation of the Railways and creation of infrastructure were a priority for his Government.

"It is now commonly agreed that if India is to continue on its high growth trajectory, it must invest in infrastructure," he said, stressing that the dynamism of industry must not be choked by poor infrastructure.

Focus on infrastructure

"We are building world class airports, adding metros in Mumbai and Bangalore, building new ports and in a few years the landscape will change beyond recognition," Dr. Singh said. He also flagged off two rakes of suburban trains for 12 additional services on the Western and Central Railways, between Thane and Vashi and Churchgate and Borivali.

He said the United Progressive Alliance Government was committed to making Mumbai "the most modern metropolis" and referred to the Centre's decision to provide Rs. 1,200 crore for the city's stormwater drain project.

He said the Mumbai Urban Transport Project involving the Railways was going ahead and through the Jawaharlal Nehru National Urban Renewal Mission, New Delhi would support the Worli-Bandra sea link and the trans-harbour link.

Investments were also being made for sewage disposal and drainage of the Mithi river.

Dramatic turnaround

Dr. Singh praised Railway Minister Lalu Prasad for "the turnaround he has achieved in Indian Railways." He said the Railways was in deep financial trouble when the UPA Government came to power and "there seemed to be no light at the end of the tunnel. Laluji showed a new light to this organisation."

Under Mr. Prasad, the Railways staged a "dramatic turnaround" with the same employees and assets. "Laluji's win-win turnaround has been based on simple principles — higher freight volumes using the same wagons, more passengers per train by dynamically lowering fares, controlling costs and more efficiencies in the system," he said.

"Although these principles seem simple, applying them in a vast organisation like the Railways is not an easy task."

He said the Railways had once again become an engine of growth for the nation.

Dr. Singh said his Government would give India a world-class railway system and the dedicated freight corridor was in fulfilment of the promise.

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