IIL will require an initial investment of around $60 million over the next two years, says Glenn, with much of that going toward rolling stock in the form of more than 300 rail wagons already on order from Titagarh Wagons Ltd. in Kolkata. That process conjures up a vicious multi- sector, multimodal circle, as several of the multiple steel plant expansions pending in India from companies like Tata and POSCO have either been delayed or affected by the dramatic need for transport infrastructure to and from mines and ports.
   Land transport from Kolkata to Mumbai is in sore need as well: Should it take a truck eight days to travel the 1,340 miles (2,158 km.) between the cities? Due to a rash of rules, poor road quality and state border crossings, including 32 hours queuing up at tollbooths and checkpoints, that's how long the trip currently takes, reported The Economist in June 2006. India currently has 40,365 miles (65,000 km.) of national highways, but only 9 percent of those are composed of four lanes.
   Asked whether the rail infrastructure along that Mumbai- Kolkata route might allow NOL to envision possible freight rail investment, Glenn says, "It's possible, but the Kolkota Port draft is currently so limited there will always be a question of whether it's economical from a vessel- cost perspective to move freight in that corridor."
   Would NOL entertain the concept of a rail or logistics JV with end- users like the steel companies in the interest of speed- to- market for all parties? "If it makes sense to do so, we will continue to look at all options, including organic growth options, joint ventures, alliances and mergers and acquisitions," Glenn says. "The aim is always to enhance service to customers and strengthen the company's competitive position."
   NOL also is in the process of securing land in north India for an inland container depot, says Glenn. "The rail JV complements our other recent investment in a joint venture with rail operator CONCOR to build and operate a container freight station near Delhi with an annual throughput capacity of 90,000 TEU," he says. CONCOR has plans for some 75 intermodal facilities throughout the country.    "The development of an integrated transportation system is essential, but projects must be properly planned and adequately financed," Glenn says. "Right now, India Railways has approved projects worth billions of dollars awaiting execution. But at the current rate of investment, India Railways will need at least 10 years to complete just the projects that are on the table.
   "The model for introducing private sector expertise, capital and competition, which has been successfully applied to India's ports, needs to be replicated across all transportation modes," he continues. "Today, there are pockets of progress but often projects are undertaken in isolation. Important questions must be asked such as: Is there a pressing need to develop many new infrastructure projects throughout India? Or is it more important to improve cargo flow and throughput around existing facilities that serve the key hinterlands?"
   Where transport is concerned, China again may have the answers, Glenn says.
   "Key lessons are to ensure projects must be consistent with a central plan or blueprint and are adequately funded, have world- class facilities and are cost- effective operations," Glenn says. "To put this into context, underdeveloped and/or underutilized physical infrastructure is a main reason why the cost of moving cargo in India is among the highest in the world at 11 percent of landed cost. This has stymied the flow of foreign direct investment to India, which is around 10 times less than China attracts each year. Healthy FDI inflows meant China was recently able to invest around 20 percent of its GDP on infrastructure, compared with India's 6 percent."