Salcomp expected to invest Rs 1,300 cr in 5 yrs: TN govt

The Tamil Nadu government on Tuesday said it expects Salcomp, largest manufacturer and supplier of chargers for Apple iPhones, to make investments of around Rs 1,300 crore over next five years at Sriperumbudur near here.

The statement comes a day after the Centre had announced that Salcomp has reached an agreement to take over entire facility of Nokia at Sriperumbudur near here which was non- operational for around 10 years.

The state government in an official release on Tuesday said Finland-based Salcomp Manufacturing India had signed a memorandum of understanding during the second edition of Global Investors Meet held in January to manufacture mobile chargers at an investment of Rs 500 crore at the Nokia Telecom Special Economic Zone.

Through this initiative, 5,600 new jobs were expected to be created.

FIH India Developer Pvt Ltd, a unit of Taiwan-based Foxconn, also had signed an MoU with state government to invest Rs 2,500 crore for production of electronic equipment that would generate 20,000 new jobs, it said.

"Currently, Salcomp Manufacturing has reached an agreement to purchase the Chennai plant and is expected to commence mobile chargers production from March 2020.

"The company is expected to make investments of Rs 1,300 crore during the next five years and additional 10,000 jobs will be created..," it added.

The government said the initiative by Salcomp Manufacturing to purchase the Chennai plant was a major victory to it, the unit would revive the Nokia SEZ in Sriperumbudur.

"The government will continue to take necessary steps to make Sriperumbudur as one of the major electronic equipment manufacturing zone (in future)", the release said.

On Monday, IT Minister Ravi Shankar Prasad had announced that Salcomp has reached an agreement to take over entire facility of Nokia handset that was lying closed for 10 years.

He said it would become operational from March 2020.

The unit would manufacture chargers and other equipment.