Announcing this on Monday, Railway Minister Lalu Prasad Yadav said he wanted a close coordination with the private sector for which the expert group, comprising representatives of apex chambers of commerce and retired members of the Railway Board, would be consulted to take the PPP projects forward.

He was speaking at a conference organised jointly by the Federation of India Chambers of Commerce and Industry (FICCI) and Railways Ministry.

While lauding the Railways for the turnaround in its performance, FICCI President Saroj Kumar Poddar called for allowing the private sector to bring in design rail wagons on an exclusive basis , subject to clearance of the design by the railways.

Once approved, the private sector would be willing to invest in the freight wagons , provided the railways assured sufficient orders over a five-year period to allow for covering costs and reasonable returns on investment, he stated. Poddar also sought a change in the tendering system as it favoured only the lowest cost bidder and was prone to delays, a FICCI press release said.