These are GE Equipment Services, IL&FS, Srei Infrastructure Finance Ltd, Mitsui & Company India Pvt Ltd, and Adani Logistics and Magma Leasing Ltd. Major builders like Texmaco Ltd, Titagarh Wagons and BESCO Ltd have also shown interest in the scheme.

The policy was proposed in the 2008-09 railway budget and aims to develop a strong wagon-leasing market by encouraging third-party leasing to bring in better-quality wagons.

Under the scheme, a company will be allowed to procure (even through imports) wagons and lease them to private container operators and the railways.

There are over 15 private container operators in the country who have to buy wagons themselves or lease it from the state-owned Container Corporation of India.

With the new policy, they will have a choice. Even the railways will have the option of taking on lease new wagons during its peak loading seasons. For both the railways and private operators, leasing would be a cost-effective way to expand capacities without incurring large investments.

Globally, wagon leasing is a huge market with an asset base of over $10 billion. The industry is worth $5 billion in the US alone.

A senior executive at GE Equipment Services Ltd said, "We see a business potential of over Rs 4,000 crore in India over the next five years".

Citing examples of the US and Europe, where the policy is a huge success, a senior railway ministry official said: "The railways will generate high traffic and revenue without any capital investment on wagons. The examples of the US and Europe show that the rail traffic has increased 3-4 times after the introduction of the wagon leasing system". However, the leasing companies have still not worked out the rentals.

The railways and private container operators have to incur a capital investment of Rs 10-17 crore on a single rake (which consists of 40-44 wagons). This means they have to pay Rs 25 lakh to Rs 40 lakh for different categories of wagons.

In 2008-09, the railways had planned to manufacture 20,000 wagons at an estimated cost of Rs 5,000 crore.

Private container operators who received licences from the railways last year are in the process of buying their own rakes and have planned an investment of over Rs 1,000 crore in next one year.

"The policy provides container train operators the option of taking wagons on lease. So during the busy season, we can take wagons on lease and return them during the lean season," says Sharat Misra, director, Inlogistics Ltd, a leading private container train operator.

But those in the business say there are some loose ends to be tied up before companies go in for registration. They claim the risk factor associated with the lessor has not been adequately addressed in the leasing policy.

Manish Tripathi, senior manager, IL&FS, said: "In the leasing business, there is always a risk of abandonment of the asset and non-payment of lease. The current policy doesn't address this contentious issue."