Seven years after being conferred Industrial Area Local Authority (IALA) status by A.P Industrial Infrastructure Corporation (APIIC), the JRD Tata Industrial Estate here got the Union Ministry of Micro, Small and Medium Enterprises (MSME)’s nod for upgrading of infrastructure with an outlay of nearly Rs 7.70 crore, including a contribution of Rs 1.54 crore by industrial units operating in the 42-acre estate.
A major portion of it (Rs. 6.25 crore) goes to roads and drains which are in extremely bad shape. It is under Micro & Small Enterprises- Cluster Development Programme (MSE-CDP) that the Ministry of MSME sanctioned Rs. 4.85 crore for laying roads and Rs. 1.40 crore for constructing drains and the balance for other amenities.
A sum of Rs. 50 lakh has been earmarked for street-lighting and Rs. 36 lakh for water supply.
Formed in 1996, the JRD Tata Industrial Estate has about 100 functional units, most of them into automobile servicing, and 44 more are set to revive their plans having already acquired the plots. A good number of the units are headed by women entrepreneurs.
The existing units have an impressive annual turnover of approximately Rs. 200 crore. But, the lack of basic amenities has been their bane. However, the clearance for upgrading of infrastructure has come as a relief for the industries which are currently operating under pathetic conditions with worn-out gravel roads and stagnant drains.
JRD IALA (The Kanuru Notified Panchayat JRD Tata Industrial Area Services Society) chairman V. Ramesh Babu told The Hindu that it was decided that the APIIC which is the implementation agency, has to bear any expenditure over and above the total project cost. Initially, a sum of Rs. 2 crore was released in April this year. Foundation stones for the works are scheduled to be laid by the month-end.
“A.P which lags far behind states such as Gujarat and Tamil Nadu in promoting the cluster model of development, can fare better only if the government departments respond quickly to the needs of industrialists and their actions are duly complemented by political will”, Mr. Babu said.
