Friday, January 9, 2009

In Lalu rests India's Redemption from Recession

Is Lalu the answer to India's Recession woes ? 

This thought hit me right between the eye as I read an article which talks about the importance of  investment in high speed rail for the US & the pitfalls that Mr. Obama faces if he does'nt take certain steps. 

- excerpts :
" One area that is ripe for such investment--and that is not, from what I have seen, a declared priority of the Obama administration--is high-speed rail. .... They would be the most energy-efficient and quickest means of getting between places like Boston and New York, or Los Angeles and San Francisco. But they would require a massive investment. .......... " 

Cut to India ,  Thanks to Mr Lalu the Indian Railways has turned around to the extent that among other plaudits Deutsche Bank in its sectoral review of 2006, mentioned -- " IR's competitiveness will increase substantially vis-à-vis the road sector". 

Can the current problems of the HCV segment traced to this ?  

Imagine if we had a highspeed rail linkbetween Bangalore & Pune - the time taken might be 5-6 hrs assuming a 120 km/hr speed. Chennai - Bangalore  might be just over a couple of hours.

Probably Mr Lalu can give it some thought. Especially when Government spending seems to be the Need of the hour , why not? We need some drastic measures to get the economy moving, the engineering/manufacturing sector - the  stimulus packages might not contribute much to raise the current level of Business confidence and may be just - drops in the ocean

High Speed rail links in India was in News as far back as in 2007.There is this article in TOI mentiong plans for HS links between Delhi - Howrah & Delhi - Mumbai 

There is another mention about  high speed rail corridors in the South but, nothing else hence.

Perhaps this is just the right time for it. 

What do you think? 

(Lalu's image- credits to helloji)