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Chapter 7 Lifelines Of National Economy
We rely on various materials and services in our daily lives. While some are locally available, others need to be brought from different places. The movement of these goods and services from where they are supplied to where they are demanded requires transport. People involved in this movement are often traders who facilitate the delivery of products to consumers.
The pace of a country's development is linked to both the production of goods and services and their efficient movement across space. Therefore, effective transportation systems are crucial for rapid development.
Movement can occur across three domains: land, water, and air. Based on these domains, transport can be classified into land transport, water transport, and air transport. Over time, advancements in science and technology have expanded the reach of trade and transport. Today, efficient and fast transport systems have significantly interconnected the world.
Transport systems are complemented by equally developed communication systems. Hence, transport, communication, and trade are considered complementary to each other.
Despite its vast size, diversity, and varied population, India is well-connected globally. Modern modes of transport (railways, airways, waterways) and communication (newspapers, radio, television, internet) have played a vital role in India's socio-economic progress. Trade, both within India and internationally, has bolstered the economy, improving living standards and providing amenities and facilities.
This chapter explores how contemporary transport and communication systems act as the lifelines of India and its modern economy, underscoring that a dense and efficient network of transport and communication is essential for today's local, national, and global trade.
Roadways
India possesses one of the most extensive road networks globally, ranking second in the world with approximately 62.16 lakh km of roads (as of 2020–21). Road transport predates railways in India and maintains advantages due to the ease of construction and maintenance of roads.
Advantages Of Road Transport Over Rail Transport
Road transport holds several advantages over rail transport:
- Lower construction cost: Building roads is significantly cheaper than laying railway lines.
- Traverse difficult terrain: Roads are better suited for navigating dissected and undulating landforms.
- Negotiate higher gradients: Roads can handle steeper slopes, allowing them to traverse mountainous regions like the Himalayas, where laying railway lines is challenging.
- Economical for short distances: Road transport is cost-effective for moving fewer people and smaller quantities of goods over short distances.
- Door-to-door service: Roads provide direct service from origin to destination, reducing the cost and effort of loading and unloading goods.
- Feeder to other modes: Road transport links different modes by connecting railway stations, airports, and seaports.
Classification Of Roads
Roads in India are categorised based on their capacity and function. A major road development project includes the Golden Quadrilateral Super Highways, a network of six-lane superhighways linking India's mega cities: Delhi, Kolkata, Chennai, and Mumbai. This project also includes North-South corridors (connecting Srinagar and Kanniyakumari) and East-West corridors (connecting Silchar and Porbandar). Managed by the National Highway Authority of India (NHAI), these superhighways aim to reduce travel time and distance between major cities.
Other road classifications include:
- National Highways: Primary road systems connecting the extreme parts of the country. Many run in north-south and east-west directions.
- State Highways: Roads that connect a state capital with its various district headquarters.
- District Roads: Connect the district headquarters with other places within the district.
- Other Roads: Includes rural roads that link villages with towns. The Pradhan Mantri Grameen Sadak Yojana provides special provisions under this category to ensure every village is linked to a major town by an all-season motorable road.
- Border Roads: Constructed and maintained by the Border Roads Organisation (BRO), a government undertaking established in 1960. These roads are of strategic importance in border areas (northern and north-eastern), improving accessibility in difficult terrains and supporting economic development in these regions. *(The Atal Tunnel, built by BRO, is a notable example, providing year-round connectivity between Manali and Lahul-Spiti valley.)*
Roads are also classified by construction material:
- Metalled roads: Made of cement, concrete, or bitumen (coal derivative). These are all-weather roads.
- Unmetalled roads: These are typically mud or gravel roads that become unusable during the rainy season.
Railways
Railways are the principal mode of transportation for moving large quantities of freight and passengers over long distances in India. They facilitate various activities like business, tourism, and pilgrimage.
Role In National Economy
Beyond transportation, Indian Railways have acted as a significant integrating force for over 150 years, binding the country's economic life and accelerating industrial and agricultural development. The Indian Railway is one of the largest public sector undertakings in the country, currently reorganised into 17 zones. *(The first train journey in India took place in 1853, covering 34 km between Mumbai and Thane.)*
Distribution Pattern
The distribution of the railway network in India is influenced by physiographic, economic, and administrative factors. The vast northern plains, with their level land, high population density, and rich agriculture, offered ideal conditions for railway growth, although numerous rivers required bridge construction, posing obstacles. In the peninsular region's hilly terrain, tracks are laid through low hills, gaps, or tunnels. High-relief Himalayan regions, sparse population, and lack of economic opportunities make railway construction unfavourable. Laying lines is also challenging in the sandy plains of western Rajasthan, Gujarat swamps, and forested areas of Madhya Pradesh, Chhattisgarh, Odisha, and Jharkhand. The Konkan railway along the west coast, developed in recent times, has improved connectivity in this economically important region, although it faces issues like track sinking and landslides.
*(The Indian Railway network spans over 67,956 km, operating on multiple gauges: Broad Gauge, Metre Gauge, and Narrow Gauge.)*
Challenges
Despite their importance, railways face challenges, including passengers travelling without tickets, theft and damage to property, and disruptions caused by unnecessary chain pulling or train stopping. These issues lead to delays and losses for the railway system.
Pipelines
Pipeline transport is a relatively new addition to India's transportation map. Initially used for water transport to cities and industries, pipelines are now crucial for transporting crude oil, petroleum products, and natural gas from production fields to refineries, fertilizer factories, and power plants. Solids can also be transported via pipelines after being converted into slurry.
Advantages Of Pipelines
Pipelines enable the location of refineries and gas-based plants in inland areas (like Barauni, Mathura, Panipat) far from production sites. While the initial cost of laying pipelines is high, subsequent running costs are minimal. Pipelines also eliminate trans-shipment losses or delays, making them an efficient mode for specific commodities.
Pipeline Networks In India
India has three major pipeline networks:
- From oil fields in upper Assam to Kanpur (Uttar Pradesh), with branches linking to Haldia, Maurigram, and Siliguri.
- From Salaya (Gujarat) to Jalandhar (Punjab), connecting through Viramgam, Mathura, Delhi, and Sonipat, with branches to Koyali and other places.
- The Hazira-Vijaipur-Jagdishpur (HVJ) cross-country gas pipeline, linking gas fields off the west coast (Mumbai High, Bassein) to industrial complexes in western and northern India.
India's gas pipeline infrastructure has significantly expanded, and plans are underway to connect all gas sources and markets across the country through a national Gas Grid.
Waterways
India has a long history as a seafaring nation, with seamen travelling extensively to spread Indian commerce and culture. Waterways are considered the cheapest mode of transport, especially suitable for carrying heavy and bulky goods. They are also fuel-efficient and environmentally friendly.
Inland Waterways
India has an inland navigation network stretching 14,500 km, although only a portion (5685 km) is navigable by mechanised vessels. The government has declared several waterways as National Waterways:
- N.W. No.1: The Ganga river between Allahabad and Haldia (1620 km).
- N.W. No.2: The Brahmaputra river between Sadiya and Dhubri (891 km).
- N.W. No.3: The West-Coast Canal in Kerala (Kottapurma-Kollam, Udyogamandal, Champakkara canals, 205 km).
- N.W. No.4: Stretches of Godavari and Krishna rivers along with the Kakinada-Puducherry stretch of canals (1078 km).
- N.W. No.5: Stretches of river Brahmani, Matai river, delta channels of Mahanadi and Brahmani rivers, and the East Coast Canal (588 km).
Other inland waterways with substantial transportation include Mandavi, Zuari, Cumberjua, Sunderbans, Barak, and the backwaters of Kerala.
Major Sea Ports
With its long coastline (7,516.6 km), India has 12 major and about 200 notified minor/intermediate ports. The major ports handle 95% of India's foreign trade volume (68% by value).
- Kandla (Kuchchh): A tidal port, developed after Independence to manage trade previously handled by Karachi port. It serves a productive hinterland including states in North and Northwest India.
- Mumbai: The biggest port with a spacious natural and well-sheltered harbour.
- Jawaharlal Nehru Port: Planned to decongest Mumbai port and serve as a regional hub port.
- Marmagao (Goa): Premier iron ore exporting port, handling about half of India's iron ore exports.
- New Mangalore (Karnataka): Caters to the export of iron ore concentrates from Kudremukh mines.
- Kochchi (Kerala): Extreme south-western port, located at the entrance of a lagoon with a natural harbour.
- Tuticorin (Tamil Nadu): Extreme south-eastern port with a natural harbour and rich hinterland, handling various cargoes for trade with neighbouring countries and coastal regions.
- Chennai: One of the oldest artificial ports, second only to Mumbai in trade volume and cargo handling.
- Vishakhapatnam (Andhra Pradesh): Deepest land-locked and well-protected port along the east coast, originally an outlet for iron ore exports.
- Paradwip (Odisha): Specialises in iron ore exports.
- Kolkata: An inland riverine port serving the large hinterland of the Ganga-Brahmaputra basin. It is a tidal port requiring constant dredging of the Hoogly river.
- Haldia: Developed as a subsidiary port to relieve pressure on Kolkata port.
Airways
Air travel is currently the fastest, most comfortable, and prestigious mode of transport. It can easily navigate difficult terrains such as high mountains, deserts, dense forests, and long oceanic distances.
Advantages Of Air Travel
Air travel is particularly important and preferred in challenging regions like the north-eastern states of India, which have big rivers, dissected relief, dense forests, and frequent floods, making surface transport difficult. Air travel significantly improves accessibility in such areas.
Air Services In India
Various airlines operate in India, including the national carrier. Pawanhans Helicopters Ltd. provides helicopter services for offshore operations (e.g., ONGC) and to inaccessible areas in difficult terrains like the north-eastern states and parts of the Himalayas. The UDAN (Ude Desh ka Aam Nagrik) scheme is a government initiative (Regional Connectivity Scheme - RCS) to promote regional aviation by making air travel affordable for common citizens and incentivising airlines to operate on regional and remote routes.
Communication
Communication refers to the process of transmitting information. While various means have been used throughout history, the pace of change in communication technology has been rapid in modern times, making long-distance communication easier without physical movement.
Means Of Communication
Major means of communication in India include personal communication (like postal services and telecommunications) and mass communication (television, radio, press, films). The Indian postal network is the world's largest, handling both parcels and written communication (cards, envelopes, book packets, newspapers, periodicals). Special mail channels (Rajdhani, Metro, Green, Business, Bulk Mail, Periodical Channels) facilitate quick delivery in large towns/cities.
India has one of Asia's largest telecom networks, with STD (Subscriber Trunk Dialling) telephone facilities extended to a large number of villages. Efforts are being made to provide 24-hour STD connectivity to every village with uniform rates nationwide, integrating space and communication technology development.
Mass communication plays a crucial role in providing entertainment and creating awareness about national programs and policies. All India Radio (Akashwani) broadcasts diverse programs in various languages. Doordarshan, the national television channel, is one of the largest terrestrial networks globally, offering entertainment, educational, and sports programs for different age groups.
India is a major publisher of newspapers and periodicals annually in numerous languages and dialects (most in Hindi, then English and Urdu). India is also the largest producer of feature films globally, producing various types of films. The Central Board of Film Certification is the authority that certifies films in India.
*(Digital India is a government program aimed at transforming India into a knowledge-based society through technology, making technology central to enabling change for 'India Tomorrow'.)*
International Trade
Trade refers to the exchange of goods among people, states, and countries. A market is the place where these exchanges occur. Trade between two or more countries is called international trade. It can be conducted via sea, air, or land routes. Local trade happens within cities, towns, and villages, while state-level trade occurs between states.
Economic Barometer
The growth of a country's international trade is considered an index of its economic prosperity and is often seen as an economic barometer for the nation. Due to the uneven distribution of resources, no country can be entirely self-sufficient and must engage in international trade.
Components Of Trade
The components of international trade are export (selling goods to other countries) and import (buying goods from other countries). The balance of trade is the difference between the value of a country's exports and imports.
- Favourable balance of trade: Occurs when the value of exports exceeds the value of imports.
- Unfavourable balance of trade: Occurs when the value of imports exceeds the value of exports.
India maintains trade relations with major trading blocks and regions globally. Commodities exported from India include gems and jewellery, chemicals, agricultural products, etc. Commodities imported by India include petroleum crude/products, gems/jewellery, chemicals, base metals, electronic items, machinery, agricultural products.
India has also emerged as a significant player in the global software industry, earning substantial foreign exchange through the export of information technology services.
Tourism As A Trade
Tourism has developed into a significant form of trade and industry in India over the past three decades.
Growth And Contribution
Tourism has grown substantially, directly employing millions of people. It contributes to national integration, supports local handicrafts and cultural activities, and promotes international understanding of India's culture and heritage. Foreign tourists visit India for various purposes, including heritage tourism, eco-tourism, adventure tourism, cultural tourism, medical tourism, and business tourism.
There is significant potential for tourism development across all parts of India, and efforts are being made to promote different types of tourism within this growing industry.