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New delhi date. 11 June 2023

The dispute between Indian and Russian companies regarding the production of Vande Bharat Trains is escalating.

Indian and Russian companies are to jointly manufacture 120 new Vande Bharat trains. This company is to get a contract worth Rs 30,000 crore for the maintenance of trains for the next 35 years.

The project involves Russia's Metrowagonmash, a company known for its design and production of trains. Indian Railways company Rail Vikas Nigam Limited has a partnership with this company.

According to a newspaper report, the Russian company has 80 percent participation and the Indian company has 26 percent participation in this joint project. Indian Railways wants its share in the project to be increased to 69 per cent and the Russian company's share to be reduced to 26 per cent. Also, Locomotive Electronic System will get a five percent share as a third partner.

For this, Rail Vikas Nigam Limited has also written a letter to the Russian company and said that, being a government company of India, it will be easier for us to get project clearance and we will also be able to handle the issue of involving local workers well. It will also make it easier for us to get money for the project in the domestic market. For this our participation in the project must be more and if this happens then this project will be beneficial for all.

However, the Russian company is opposing it and has raised the issue with the Russian government. The Russian trade representative has also written a letter to the Indian government on May 8.

Currently 10 Vande Bharat trains are running in India and both companies are planning to build more trains.