Industry watchers raise concern about whether Indian Railways would be able to handle the targeted volume even if there is no dearth of traffic.
Government has set a freight traffic target of 1,025 million tonne (mn t) for 2012-13 in the Rail Budget.
Achieving the targeted volume presupposes daily loading of 48,000 wagons on an average. Industry data reveal that loading in excess of 46,000 wagons a day on an average for more than three consecutive days might throw up a difficult-to-meet situation for the Railways. The limited line capacity will pose a major challenge.
The Railway Board has urged zonal railways to go for what is called system improvement, that is, monitoring the terminal operation, keeping equipment failure as low as possible and rationalising empty and engine flow circuits to obtain optimum benefit.
The other avenues for raising resources such as budgetary support and market borrowing, too, do not appear to be promising. The public-private projects (PPP) are not taking off and attracting private investments is proving to be a challenge.