LAHORE, Jan 2: Pakistan Railways’ marketing directorate is preparing a presentation to brief the federal minister about its future business plan and the problems it is likely to face in its implementation.

Minister Ghaus Bakhsh Mehr will visit the railway headquarters here next week.

The business plan envisages removal of certain subsidies in various sectors and evacuating railway land from encroachers and bringing it under profitable use.

It has already embarked on some projects, most of them relating to licensing of business activities like sole distribution rights of various food items and beverages on railway network.

According to sources, the directorate has so far signed 24 agreements fetching Rs540 million despite “hurdles created in its smooth working by the railway officials.”

A total of Rs8.7 million per annum are being incurred to run the marketing directorate.

The directorate officials say they are planning to initiate projects in major towns to restore investors’ confidence in the organization and in small towns to create employment and business opportunities and residential-cum-commercial interests of masses.

The directorate had been facing piecemeal objections from the railway bureaucracy, they say.

Non-availability of funds and long procedural delays are other major problems faced by them. According to the officials, lack of documentation and record and title of its land was the main hurdle in its utilization.

The officials say they would suggest some joint ventures as well as straight lease agreements during the briefing to the minister.

They believe that the wide railway network, its lands and resources will be sufficient to generate ample employment and investment opportunities through micro-level projects.