Monday, April 19, 2021

Indian Land Acquisition a Major Hurdle in Bullet Train Project with Japan

India’s bullet train project constructed by Japan might miss the 2023 deadline. The $15 billion bullet train project connecting financial capital Mumbai with Ahmedabad, is facing major land acquisition problems. According to Bloomberg, “a year after the project was kicked off, only 0.9 hectares of land has been acquired out of the 1,400 hectares.”

Land acquisition in India has been a major roadblock in the execution infrastructure projects such as railways, bridges and airports. Earlier, India unveiled a scheme to spend $60 billion over the next 15 years to construct over 100 airports. Chinese state media Global Times believes that land acquisition is going to a major problem especially in densely populated areas and “democratic” countries like India.

Chinese organisations might be enthused about India’s prospects, but they should be fully aware of the risks involved in infrastructure projects, warns the Chinese media.

Chinese organizations have been aggressively competing with other global companies from a major share of infrastructure development projects in Asia. Some companies are under competitive pressure to provide low-interest funding to obtain more orders. If high acquisition costs further squeeze profits, some medium-sized companies may have to give up on those projects.

Along with the development and promotion of the Belt and Road initiative, Chinese firms are carrying out or planning construction projects in more than 60 countries and regions. Land acquisition has been a thorny issue not only in India but also most economies along the BRI routes. The Global Times warns Chinese businesses to draw lessons from the bullet train project in India and find effective solutions to land acquisition problems during BRI projects.

Other News at EurAsian Times

Featured News

US-India EEZ Row: US ‘Tones Down’ Naval Ops Squabble In India’s Maritime Zone; China Calls It QUAD Dilemma

After calling it an innocent ‘passage’, the US has further toned down the controversy surrounding its naval operation in India’s exclusive economic zone (EEZ)...

As India ‘Rethinks’ S-400 Acquisition, Russia Puts ‘Everything On Table’ For Pakistan

As India could be re-evaluating its stand on acquiring the Russian S-400 air defense system fearing US sanctions, its rival Pakistan may have quietly...

Northern Sea Route: Can Russia’s Arctic Game-Plan Outdo US’ Strategy In The Indo-Pacific?

**Russia defines the Northern Sea Route as a shipping lane from the Kara Sea to the Pacific Ocean, specifically running along the Russian Arctic...

Why Is India Not On The Same Page With Its ‘Democratic Allies’ On Myanmar’s Military Regime?

Days after condemning the ongoing violence in Myanmar at the United Nations, India has again changed its tone with regard to the country's military...

US’ F-35 Stealth Jets Not A Great Choice For Clash With China — Top USAF Official

A senior US Air Force officer has questioned the utility of the American F-35A stealth fighters against the adversary in a hypothetical US military...