New Delhi [India], November 20 : Asserting that the Indian Railways must take immediate steps to support India's growth ambitions, Shishir Priyadarshi, President of the Chintan Research Foundation (CRF) said the sector needs "partial, calibrated and sequential" privatisation to improve efficiency, productivity and investment flow.
Speaking to ANI on the sidelines of Railway Conclave 2.0, organised by CRF in New Delhi, Priyadarshi said the Railways cannot reach the scale India needs, especially as the economy targets the USD 10-trillion mark, without adopting structural changes.
"Railways are clearly a lifeline of the Indian economy... but can we reach developed country status by 2047 with railways in its present form? Unlikely," he said.
Explaining the framework he proposes, Priyadarshi stressed that privatisation must not be sweeping or abrupt. "The first is that it has to be partial. We are not talking about the privatisation of the entire railway system, but a gradual privatisation," he said.
He added that the process must be carefully targeted. "Calibrated is a very targeted privatisation, where you look at those areas where bringing in the private sector will bring in capex, technology, job creation and, above all, efficiency and productivity."
Calling it a step-by-step journey, he added, "Sequential privatisation really means that you look at privatisation as a journey in which you take sequential steps."
Priyadarshi cited global examples to underline that India must design its own path. "Japan and China have had successful experiences with varying degrees of privatisation. The United Kingdom, which went for a big-bang approach, had bumps. That is where India needs to learn the most," he said.
He emphasised that the process must begin with a mindset shift. "As long as the Railways does not see this as a dilution of turf, and instead sees it as essential for India's journey to developed-country status, solutions will automatically emerge," Priyadarshi said.