TN to expand industrial estates, set up more SEZs

TN to expand industrial estates, set up more SEZs:

Chennai , Aug. 23 

• The Tamil Nadu Industrial Development Corporation (TIDCO) will promote a joint venture company for oil and natural gas exploration, production and distribution, announced the Chief Minister, Mr M. Karunanidhi, in the Assembly on Wednesday.

• Replying to the debate on the demand for grants to the industries department, he said that the objective would be to enhance the energy security of the State. 

• Natural gas resources have been identified in the Cauvery Basin and the Krishna-Godavari Basin, which could be exploited. The new company would set up a Statewide natural gas distribution network. TIDCO would soon identify a private sector partner. 

To acquire new land :

• The Chief Minister also announced plans to acquire over 2,000 acres land near Sriperumbudur and Oragadam (on the Chennai-Bangalore highway) to expand the existing industrial estates. The State Industries Promotion Corporation of Tamil Nadu (SIPCOT) will set up a 250-acre special economic zone (SEZ) at Oragadam for automobile component manufacturers. 

• Chennai accounts for over 35 per cent of the automobile components manufactured in India. Many of the component manufacturers also cater to the export market. The SEZ would meet the needs of new investors and those planning expansion, he said. 

• With the industrial development rapid in these areas, a Rs 300-crore plan to upgrade the 24-km stretch of road between Singaperumal Koil and Sriperumbudur and the 20-km road between Vandalur and Wallajahbad would be taken up. These would be developed as 4-lane and in important stretches as 6-lane roads, he said. 

Multi-product SEZ :

• TIDCO would also set up a 3,000-acre multi product SEZ in Perambalur district to attract investments of Rs 5,000 crore. Over 3,000 acres of land has been identified near Perambalur about 250 km south of Chennai. Initially, garment units and light engineering units would be established with 250 acres set aside for each of these sectors. 

• With land cost high in and around Chennai, manufacturing industries need new locations where land is available at viable costs. The SEZ would be equidistant from Tuticorin and Chennai ports and the land is located on the national highway. 

• Mr Karunanidhi said that a leather SEZ would also come up near Chennai. This facility would be established by SIPCOT. 

• He has also sought the Central assistance of Rs 115 crore to set up reverse osmosis facilities at the common effluent treatment plants to recycle leather tannery effluents, he said. 

• SIPCOT would also establish an industrial estate near Madurai, which would contribute to the economic development of the southern districts. 

• The Government has emphasised on land acquisition for industrial estates to allot to the manufacturing sector, as there is stiff demand for land. With land costs soaring in Chennai's vicinity and the available land with the industrial promotion agencies fully taken up by manufacturers there is immediate need for developed land. Tamil Nadu needs such land banks to attract new investors.