CII pitches for engineering, fabrication park in Tiruchi

New business model of BHEL has had an impact on ancillary units

March 11, 2015 12:00 am | Updated 05:41 am IST - TIRUCHI:

Segments such as Defence, Oil and Gas, Construction, Ship Building, farm equipment can be explored by fabrication units in Tiruchi, says a CII report.— File Photo

Segments such as Defence, Oil and Gas, Construction, Ship Building, farm equipment can be explored by fabrication units in Tiruchi, says a CII report.— File Photo

The District Development Plan of the Confederation of Indian Industries (CII) has pitched for the establishment of Engineering and Fabrication Industrial Park in the district to boost growth and generate employment.

While stating that Tiruchi is the “Boiler Capital of India” and known as the “Energy Equipment Manufacturing and Fabrication Capital of India”, the CII document, which critically analysed the prevailing industrial climate in Tiruchi, said that there was a change in business model of BHEL, which outsourced about 55 per cent of its activities to the ancillaries mainly in Tiruchi, because of the decline of boiler market, and a huge working capital with low margins. It had its impact on the overall functioning of ancillary industries that predominantly focused on boiler manufacturing. Hence, there was a need to focus on other areas of engineering and manufacturing.

The document, which was released recently by Electricity Minister Natham R. Viswanathan, said that segments such as Defence, Oil and Gas, Construction, Ship Building, Agriculture farm equipment, power (wind and solar), and Synthetic Gem Cutting Equipment could be explored. The Engineering and Fabrication Industrial Park could promote engineering units with required state of art facilities with a focus. The project would utilise the talent of local workforce gained over a period of time. Defence industry could be an anchor player in the park.

The document said that apart from the manufacturing facilities, the park should have other internal infrastructure such as warehouse, logistics, and other common infrastructure such as water, power, communication, utilities, and so on. There could be a common facility centre. The project could be integrated with the Tamil Nadu Vision 2023 project establishment of industries in “Chennai-Tiruchi Industrial Corridor”. It should be implemented through Private Public Partnership (PPP).

While stating that Tiruchi airport stood second after Chennai in the State in terms of international passenger traffic between 2011 and 2014, the District Development Plan of CII said the passenger and cargo traffic was bound for rapid growth. There was a need for expansion and development of Tiruchi airport. The terminal had to be expanded to handle about 1,075 passengers capacity in peak hours. The runway should be expanded to 12,500 feet to enable operation of wide bodied aircraft.

Proposal says state-of-the engineering units should be promoted

‘Chennai-Tiruchi corridor should be established through PPP’

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