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India:The Infrastructure OpportunityWhy the outlook is positive for TILThe key to sustaining India’s growth rate lies in developing India’s infrastructure. Keeping this in mind, the government istargeting an investment of Rs. 1,036.12 billion over the next two years in the infrastructure sector. The scheme aims to take upinfrastructure projects under public-private partnership (PPP) with maximum private investment.Confederation of Indian Industry (CII) pegs the GDP growth at 6.1 per cent in 2009-10. This scenario factors in sectoral growth rates of2.8-3 per cent, 5-5.5 per cent and 7.5-8 per cent, respectively, for agriculture, industry and services.The Eleventh five year plan plan has given a lot of priority to the Infrastructure sector which are outlined below:PortsThe government has identified 276 projects entailing an investment of Rs. 610.08 billion.According to the Planning Commission, there is an investment opportunity of Rs. 1,271.00 billionby 2011-12 in India’s shipping and ports sectors, as the country seeks to double its ports capacityto 1,500 million tonnes. Segment-wise, while the ports sector would provide a Rs. 699.05 billioninvestment opportunity, shipping and inland waterways are likely to present a Rs. 571.95 billioninvestment opportunity.AirportsThe government plans to attract private players through the PPP model for the development ofover 300 airports and airstrips. It would invest Rs. 457.56 billion to modernise existing airportsby 2010. The Civil Aviation Ministry plans to develop 35 Greenfield airports across India by 2010with an investment of Rs. 1,779.40 billion.RailroadsThe Indian Railways industry has one of the largest developed networks in the world. The IndianRailways has made ambitious plans for both national and state level projects. Large scaleinvestments are expected to continue in the sector under the PPP scheme. Freight and passengertraffic is projected to grow at rates of 8.6 per cent and 6 per cent respectively during theEleventh five year plan. Indian Railways has major capacity expansion plans and the total plannedoutlay for Indian Railways in the Eleventh Plan Period is about Rs. 2,510 billion.