Luxury on wheels by the Indian Railways

[Asskicker]

Agree with you partly. But govt stands to earn a lot more by collecting service taxes from Private players. Have you checked out the kind of taxes they collect from airlines and private buses? Any government organization is usually a behemoth in India and looses a lot of funds to running the administration that actual operations. Modernzation by privatization allows for a leaner organization which can do it with minimum price hikes. To give you another example, the telephone services! Remember when we paid Rs.15 for incoming mobile phone calls! All that changed with privatization!

Also, privatization is best when the sector is profitable! Who would take on the sector if it isn't???

I agree but its not same in all the case buddy,for example take power rates.In Mumbai Reliance charge around Rs.7.per unit and tata power around Rs.5 per unit,Where as in chennai power sector is gov undertaken,and they charge Rs.3 per unit, So the additional charge is Rs.2 and Rs.4 per unit consequvitely ,makes a big difference to a common man.