More investment (in Railways) to increase supply and reduce prices...

Railways in INDIA is as supply constrained as the Indian-Economy itself… It is a developing economy which is still trying to manage its economy’s demand with supply and still shies away from foreign-dependence, imports and/or investment in domestic supply-chains… Any country generally disapproves foreign-hands because it can crowd-out employment creation within the economy and price competition can drive-out the domestic producers… We should be more concerned with the employment it generates within the economy and the stability in prices it restores in the market … For example, FDI in the multi-brand-retail sector should be weighed according to the jobs it creates and destroys in the sector within the economy. The number of jobs it creates within the economy must outnumber the jobs it destroys to prove it fruitful… Wherever there is a problem of low supply and high prices and there is demand, we need to scale up investment so that supply catches demand and reduce prices… Indian-Railways is a government-run organization and the number of players in the market points lack of investment and supply… Although we have a number of other transport facilities available within the economy, but nothing World-class, except Airways, but charges are high… who will pay? So the way out is to increase supply of these facilities and reduce prices… More investment, not less is needed… Setting-up of railway-lines is equivalent to setting-up lines for development… The demand for (almost) everything goes-up… As far as Indian-Railways is concerned we have the base, but we need investment in capacity expansion and modernization… which remained the theme of the Indian-Rail-Budget 2014…

The scale of consumers of Railways, as everywhere in INDIA because of high population, is so high that it is really not impossible to lower the prices and provide world-class service as we have done in the telecom. More investment is needed to increase supply…