We're evaluating Nokia's facility: Shashi Ruia

Don't want to miss the best from Business Standard?

Confirming Essar Group’s interest in buying Nokia’s facility at Sriperumbudur near here, chairman Shashi Ruia said on Wednesday the company was assessing it.

“We are still evaluating and don't have a commitment,” said Ruia, here to receive the ‘Global Indian Award’ from the Rotary Club of Madras East.

Business Standard broke the story that Essar was eyeing the Nokia facility, frozen by the income tax department following a Rs 21,000-crore tax dispute.

Ruia said he was near the facility the day the plant suspended operations and felt pity for the workers, especially women.

“We can skill them and turn them into operators in 15 days,” said Ruia, who refused to comment for what purpose the facility would be used.

According to Ruia, the electronics sector, estimated to be worth $40 billion (Rs 248,763 crore) a year, offers great scope.

He added that import of electronics would surpass oil and the import of mobile handsets would touch Rs 1 lakh crore next year, compared to Rs 75,000 crore now.

India offers tremendous opportunity for investment and growth; however, things have to move forward on the policy front, said Ruia.

“We’ve got to get our policies revived,” he said. “You can’t go and cancel coal blocks from 1993 onwards.”

These developments scare away businessmen, he said.

According to Ruia, the government has done its best to revive manufacturing in a transparent way. Bringing in the land Bill and reallocation of coal mines and telecom spectrum are laudable, he added.

Ruia said till about a decade ago, the Essar Group was predominantly an Indian company. It started an international foray with Indonesia in 1997 when Essar Indonesia, which manufactures cold rolled steel, started operations.  

He noted the group’s business processing outsourcing (BPO) arm, Aegis, was at the time a $40-million company with 400 employees.

The BPO business employs 55,000 people.