The Central Government has convinced Japanese funding agency Japan International Cooperation Agency (JICA) that three quarters of the metro rail supplied by Japanese companies will be made in India. For this, Japanese companies will either plant their plants in India or cooperate with Indian companies.
This agreement has been signed with JICA for the second phase of the Chennai Metro Rail Project. Japan International Cooperation Agency will contribute Rs 20,196 crore for the project. This agreement is being considered as a positive signal for the promotion of similar in-metro and other rail projects to promote the Make In India initiative.
According to the details of the recent meeting, it has been decided that in order to promote the assembly in India, the Japanese side will encourage Japanese rolling stock manufacturers to reduce costs.