Till early 1980s Indian Railways was importing about 55% of requirement of wheels and axles. Indigenous capacity was available only at Tata Iron & Steel Company [TISCO] and Durgapur Steel Plant [DSP]. The TISCO plant was technically not capable of meeting the changing requirement of wheels and axles for the new designs of rolling stock and production was discontinued. DSP was only able to partially meet Indian Railways’ needs. The cost of imports was high with prices rising in the world market. Financing of imports, delays in supplies and limited availability of foreign exchange adversely affected wagon production and rolling stock maintenance.
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