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Sunday, October 22, 2006

Infrastructure

Infrastructure development plays a very important role in the Country’s development and GDP growth.

The size of opportunity is quite large. Consider this.

1. Government is envisaging power for all by 2012. More than 1,00,000 MV of power is envisaged to be added during 10th and 11th plans.

2. Only 9 % of Indian highways are 4-laned. Average speed less than 50 km/hr.
Approx. Rs. 2,46,000 crore of proposed investments in the next 5 years.

3. Very few airports considering the country’s size. Top 6 airports account for 70% of the air traffic, while a large number of airports are under utilized.

Rs. 23,000 crore (approx.) of investment planned in Airports in the next 5 years.

4. Freight cost accounts for 10% of the import value as compared to 6% global average.
Rs. 25,000 crore of investment planned in ports in the next 5 years.