Tata Steel to invest Rs 15 bn on Gopalpur SEZ infrastructure

Twenty investors how interest to set up units in the industrial park

Tata Steel plans to invest about Rs 15 billion in phased manner for development of infrastructure at Gopalpur Special Economic Zone and industrial park in Odisha.

Nearly 20 companies from India and abroad have shown interest to set up their units in the park.

The SEZ and industrial park is spread over 2600 acres. Out of that SEZ portion is 1235 acres. Tata Steel plans to develop 500 acres initially to accommodate various units interested to set up their shops there.

Though the company has been holding roadshows, both within the country and outside, to attract investors to the park over last couple of years, the response has been lukewarm.

“This is because unfamiliarity of the location with global investors and also general downturn in global business scenario”, said an official of the company. “But things are looking up of late”, he added.

Among the 20 investors who have shown interest to set up units in the park, are a Taiwanese firm for a naptha plant, a Russian company for a steel downstream unit, a US-based NRI for a wellness product facility, a domestic telecom player for setting up of a cell phone manufacturing hub and a food stuff exporter for a poultry processing unit of international standard.

Provisional booking of plots for these units have already been done. Things would take a final shape in next 6 to 7 months, said the official.

Tata Steel, which is the developer and anchor tenant for the industrial park project, intends to develop 500 acres of land in the first phase with provisions of facilities like road, water, electricity, affluent treatment, solid and waste management, land scaping and office building.

Already an aerial target manufacturing facility has been set up in the park by Mumbai-based Sure Safety Solutions Ltd in collaboration with UK's Megitt Defence.

As anchor tenant of the industrial park, Tata Steel has set up a 55,000 tonne per annum ferro chrome plant at an estimated cost of Rs 5.41 billion.