Ennore SEZ set to take off following Rs 26 cr funding

Ennore SEZ set to take off following Rs 26 cr funding
BINDU D MENON & V HEMAMALINI

TIMES NEWS NETWORK[ SATURDAY, FEBRUARY 10, 2007 04:28:09 PM]

CHENNAI: The multi-product special economic zone (SEZ) project, coming
up on 1,000 hectare at Ennore, in Tamil Nadu is expected to take off
following the Rs 26-crore allocation received under the Centre's
Assistance to States for Infrastructure Development for Exports (ASIDE)
scheme.

The much awaited Ennore SEZ, near the first corporatised port, is
finally taking shape with the bottlenecks for developing the road and
rail access having been cleared.

The state-level export promotion committee, chaired by Chief Secretary L
K Tripathi, has sanctioned Rs 26 crore under the ASIDE funding scheme
for both road and rail access, a top official of Tamil Nadu industrial
development corporation (TIDCO) told ET.

In August 2004, the government gave its in-principle clearance. The
government has sanctioned Rs 16 crore for the road leading to the SEZ
and Rs 10 crore for a three kilometre rail link, he elaborated.

Tidco has filed an application for getting the formal nod from the Board
of Approval (Ministry of Commerce). Subject to the approval, the
allotment of space is scheduled to commence from April 2007. "The
marketing initiative of the site will also begin soon," the official said.

The Ennore SEZ is also planning to develop and connect the National
Highway five (NH5) route. While TIDCO would have an equity of 50%, the
balance would be held by SIPCOT and Ennore Port equally.

A special purpose vehicle, the Ennore SEZ Company (ESCO), formed for the
purpose, is implementing the project. Once commissioned, it is expected
to boost the export basket by an estimated Rs 9,000 crore. By then, the
employment generation is slated to cover 50,000 people. It is proposed
to implement the project in 18 months.

The topographic contour, boundary, soil investigation studies were
completed during the 2005-06 period. A comprehensive master plan has
also been chalked out for the project. The estimated project cost for
developing the infrastructure is about Rs 636 crore, according to sources.

The industrial suburb to the north of Chennai Ennore has the potential
to emerge as a huge industrial hub when the project takes shape, the
sources added.

It will attract investments for diverse industries such has general
engineering, pharma, garment, light engineering, plastic goods, leather
goods, electronics, auto components, logistics and container terminal.

"There are already enquiries received from various industries," the
sources said, adding the SEZ, which was 30 km away from the city limits,
was just a 45-minute drive from the airport. It has well-connected
rail-road infrastructure and the nearest railway station is Athipettu.

http://economictimes.indiatimes.com/News/Economy/Infrastructure/Ennore_SEZ_set_to_take_off_following_Rs_26_cr_funding/articleshow/1589972.cms