TN to attract Rs 30,000-cr investments

The Tamil Nadu government is in the process of attracting around 27 major investments aggregating Rs 30,000 crore, said state industries minister P Thangamani.

The state is also in the process of arranging Rs 1000 crore from the Japan International Cooperation Agency (JICA) as a policy loan and infrastructure-related project loan, said a government official.

Thangamani was addressing industry leaders at the national executive committee meeting of the Federation of Indian Chambers of Commerce and Industry (Ficci) here on Monday.

The government has recently signed MoUs with five major companies that include Daimler, Yamaha Motors, Ashok Leyland-Nissan, Royal Enfield and Phillips Carbon. The government would shortly come up with sectoral policies for thrust sectors namely automobiles and auto components, biotechnology and aerospace industry, he added.

 

O Panneerselvam, finance minister of Tamil Nadu, reiterated the state government's commitment to attract investments. as part of Vision 2023, a roadmap created by the state government to make the state number one with estimates of around Rs 15 lakh crore investment in the next 11 years.

The JICA and the state government have agreed upon a Rs 1,000-crore loan for the state, said an official. Of this, around Rs 500 crore would be for policy support and the rest would be for project support. The project support would emphasis on developing small-scale infrastructure projects. However, he refused to divulge more on the development. It is awaiting the approval of the central government to commence the fund infusion.

The government is also looking at completing acquisition of around 8,000 acre of land in various parts of Tamil Nadu through SIPCOT, to facilitate space to the industry. It would also look at acquiring around 20,000 acre from various parts of the country, in the next 18 to 24 months.

It is to be noted that the land bank with SIPCOT has been utilised by the industry, and the state government has been looking at opportunities in acquiring more land as part of inviting further industrial investments into the state.

The government has also assured the industry of improving infrastructure, including the connectivity to ports to ensure better logistic services. Under the state Budget for a2012-13, the government has made provisions for projects to improve road infrastructure to the Ennore and Kattupalli ports through public-private partnership (PPP).

It also plans to develop industrial estates along the road to the Ennore and Kattupalli ports, including an engineering industrial estate. Further, the rail, road and port connectivity would improve through a proposed master plan lead by TKA Nair, advisor to the Prime Minister, to develop Chennai and its surrounding regions.

The state is also looking at bigger industries to enter the agriculture sector, which could tie-up with the farmers for mutual benefits. This would be in line with the contract-based tie-ups between sugar companies and the sugarcane farmers, said an official. The state government would contribute 25 per cent of the equity, on behalf of the participating farmers for such new ventures, he said.

The government is also working on a second document on its Vision 2023, which would clearly state the role of the government in each of the projects under the Vision 2023 plan.