MMRDA cancels Rs 500 cr monorail tender as both bids were from Chinese manufacturers

Amid the Indo-China stand-off, Mumbai Metropolitan Region Development Authority (MMRDA) cancelled the bidding process for a Rs 500 crore monorail tender since both the bid that they had received were from Chinese manufacturers. According to the transport and infrastructure authority, two China-based companies had responded to the bid -- China Rail Road Corporation and Build Your Dream, who were asking for revisions in the terms and conditions and eligibility criteria, even after uploading of CSDs. 

MMRDA Commissioner RA Rajeev in a press release stated that "In the current economic situation due to COVID-19, as well as with the policies announced by the Government of India to encourage the 'Make In India' schemes,  it has been decided to look for an Indian Technology partner for development and long term support."

He further added that considering this, the present tender has been cancelled, and the re-tendering process will start immediately with revised eligibility criteria such as manufacturing facilities established in India for the last 10 years on similar projects to enable participation of Indian companies.

Read: Mumbai: MMRDA adds 1,000 beds to COVID-19 hospital

Further, the authority's release stated that along with it, they have also decided to initiate a dialogue with Indian manufacturers like BHEL, BEML, and so on. According to them, they do not want to create a "Scomi-like situation" where they've to depend on foreign manufacturers for spare parts of monorail coaches. "In the situation that the two Chinese companies are dictating us to change tender conditions, MMRDA administration has decided to search for technology partners in India and develop it in India," stated the release. 

The Rs 500 crore monorail project is for sourcing 10 rakes for the Jacob Circle-Wadala-Chembur monorail line in Mumbai. The bidding process is for the design, manufacture, supply, testing, and commissioning of the rakes. Meanwhile, the current situation between India and China has put the Chinese contractors on Indian infrastructure projects under additional scrutiny.

Read: Maharashtra: MMRDA begins construction of 1000-bed COVID-19 hospital at BKC

India-China face-off

As many as 20 Indian Army soldiers were martyred during a violent face-off between India and China while the de-escalation process was underway in the Galwan Valley. According to the Editor-in-Chief of the Chinese mouthpiece Global Times, the Chinese side also suffered casualties during the physical clash. Sources revealed that an Indian colonel was attacked by Chinese Army personnel with iron rods without any provocation leading to a strong retaliation from the Indian side. As per US intelligence reports, 35 Chinese soldiers have been killed.

Read: Mumbai: BMC converts MMRDA grounds in BKC into wholesale market that operates at night

Read: No exodus of migrant labourers, says MMRDA