Task Force on Infrastructure
Draft Discussion Paper on Integrated Transport Policy

Introduction


1.1 The Indian economy is at a critical juncture in its developmental process. The rate of growth has accelerated but it needs to accelerate further to at least 7.5% in the first decade of the new millennium and faster growth in future must be accompanied by a wider regional dispersion of benefits. Achievement of this objective will require massive expansion and improvement in the various modes of transport.

1.2 Our transport system comprises a number of distinct modes and services, notably railways, roads, road transport, ports, inland water transport, coastal shipping, airports and airlines. Railways and roads are the dominant modes of transport domestically carrying more than 95% of total traffic generated in the country. Although other modes of transport like coastal shipping and inland water transport will have a greater role in future, the railways and roads would continue to be the dominant modes of transport in the foreseeable future.

1.3 For purposes of policy planning, the transport system must be viewed as an integrated structure in which various modes of transport complement each other, interface appropriately and where possible also provide healthy competition to each other. This competition must be conducted within the framework in which each mode is able to operate on a "level playing field" so that in comparative advantages and economic efficiencies are properly reflected in the costs for users.

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