Rlys scraps tender for Vande Bharat trains

THE MOVE HAS COME IN THE BACKDROP OF A CHINESE JOINT VENTURE COMPANY EMERGING AS THE ONLY FOREIGN BIDDER FOR THE TENDER FLOATED IN JULY

nNEW DELHI: The Indian Railways has cancelled a global tender for manufacturing 44 sets of semihigh speed Vande Bharat trains, the ministry of railways announced late on Friday.

“Tender for manufacturing of 44 sets of semi high speed train set (Vande Bharat) has been cancelled. Fresh tender will be floated within a week as per Revised Public Procurement (Preference to Make in India) order,” an official statement from the ministry said.

The ministry, however, did not specify the reason behind the cancellation of the tender.

The announcement has come in the backdrop of the Chinese joint venture company, CRRC Pioneer Electric (India) Private Limited, emerging as the only foreign bidder for the tender floated in July by Indian railways’ Integral Coach Factory, Chennai.

The JV was established by China-based

CRRC Yongji Electric Co. Ltd. and Gurugram-based Pioneer Fil-med Private Limited in 2015.

According to officials familiar with the matter, the tender was scrapped after the Chinese JV was shortlisted and was likely to win the contract.

A new tender, aimed at giving impetus to government’s Atmanirbhar Bharat campaign and promote Indian firms, will now be issued.

The other five bidders included state-owned Bharat Heavy Electricals Limited, Bharat Industries, Sangrur, Electrowaves Electronics (P) Ltd, MEDHA Servo Drives Private Limited, Powernetics Equipment

India Private Limited, according to the railway ministry.

The development comes at a time when India and China are involved in a border stand-off along the Line of Actual Control in Ladakh, after a brutal clash in Galwan Valley on June 15 left to 20 Indian soldiers and an undisclosed number of Chinese soldiers dead.

Earlier, when India and China were involved in a tense border stand-off along the Line of Actual Control (LAC) in Ladakh, the railways had scrapped a tender for thermal cameras meant for “COVID-19 surveillance” after Indian firms alleged that the tender specifications favoured a Chinese company.