Telangana may have got short shrift from the Centre on not fulfilling the promise made in the State Bifurcation Act about establishing a railway wagon factory, yet it has managed something better.
It has got a home grown firm, Medha Servo Drivers Private Ltd., to set up a modern wagon, rail & metro, manufacturing unit at Kodungal in Vikarabad district.
To be set up a cost of ₹800 crore in an area of 100 acres allotted by the Telangana State Industrial Infrastructure Corporation Ltd (TSIIC), the ground breaking ceremony will take place early next year and production of the wagons - both for the Indian Railways and the upcoming metro projects across the country are likely to roll out in about two years. Industries & IT Minister K.T. Rama Rao was over the moon at the Memorandum of Understanding (MoU) ceremony held between the firm and the TSIIC here on Friday.
ADVERTISEMENT
“Despite repeated reminders the Centre has not taken any step to set up a rail wagon factory, but I am delighted our Hyderabad company is establishing one,” he said.
Medha Servo Drivers “have been going about their business of supplying propulsion systems, signalling, rolling stock and other critical rail components without hype or hoopla, I feel this is the first important step towards making TS a manufacturing hub which the Chief Minister has been talking about,” he said.
Mr. Rao urged promoters to scale up from wagon making to rail engines, electric and diesel in the coming years and hoped the unit would lead to development of an eco-system of small, medium and micro enterprises in the area leading to jobs and more investments.
ADVERTISEMENT
The MoU was signed by Medha Servo Drivers Managing Director Y. Kasyap Reddy and Industries Secretary Jayesh Ranjan on behalf of the Government in the presence of TSIIC MD E.V. Narasimha Reddy and others. Medha Chairman Y. Yungandhar Reddy recalled how his firm, set up in 1984, has grown to a ₹1000-crore. They found it tough initially to convince the railways to accept their products. It has now became a world leader competing with global rail giants.
It has also been involved in supply of 3KW compact power unit for electric locomotives, making of Multiple Electric Power Units (MEMU), etc., plus Kolkata metro trains. “About 50% of diesel locomotives of railways are run with our components. We are also now working with the Integral Coach Factory (ICF) for design of a new train - Train 18, which can travel at 160 kmph,” said Mr. Kasyap Reddy.
Once operational, the rail firm could provide direct employment to 1,000 persons and double the number indirectly. Talks are also on with a foreign firm to be taken as a strategic partner to explore the exports market although its components have been sourced to countries like Sri Lanka, Iran, Bangladesh and others.