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Metro companies will have to buy 75% coaches, 25% equipment made in India


Government has made it mandatory for the metro rail companies to procure minimum 75 per cent of train cars and 25 per cent of critical equipment from within the country. Such a norm has been made compulsory under the ‘Make in India’ campaign.

Urban Development Ministry has incorporated these mandatory conditions in the metro companies’ tender documents which have been circulated to them, making the new norms effective immediately.

At present, it is not mandatory for the companies to procure metro train cars manufactured in India. The requirement of metro cars at the state level will be clubbed to enable applicability of local procurement norms.

As many as 1,912 metro coaches are operational in the country at present and there is an immediate requirement of 1,420 cars. Over the next three years, more than 1,600 metro cars would be required and each coach is estimated to cost about 10 crore rupees. The norms also make it mandatory for the metro companies to purchase 25 per cent of the critical equipment and sub- systems from within the country.

Meanwhile, the ministry has also standardised norms for rolling stock (coaches) and signaling equipment norms, covering 90 per cent of the imports. This will incentivise setting up of manufacturing facilities in the country due to increase in orders.

At present, metros are operational in Delhi, Kolkata, Mumbai, Jaipur, Gurgaon, Bengaluru and Chennai with a total route length of 326 kms.

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