With hardly any scope for industrial expansion in Ambattur, manufacturing units there are looking for space in and around Chennai to create an ancillary industrial estate.
Established in 1964, the Ambattur industrial estate now stretches across 1,300 acres and is home to over 1,500 small and medium enterprises, specialising largely in automobile components.
In keeping with the growth in engineering industries, several entrepreneurs want to expand their units but are unable to do so due to lack of space. The Ambattur Industrial Estate Manufacturers Association (AIEMA) has decided to search for space so as to develop another industrial estate.
Recalling the Chief Minister’s announcement last year that the government would encourage industrial units that want to expand and shift out of cities, AIEMA president K. Sai Sathya Kumar said the infrastructure on the new estate would be developed with the government’s subsidy. The government had announced that it would extend a subsidy of 50 per cent up to a limit of Rs.10 crore to industrial associations wishing to set up private industrial estates.
“We are looking for space within a radius of 40-50 km from Chennai. While the industrial units in Ambattur will be given priority, proposals from other manufacturers will also be considered,” said Mr. Sathya Kumar.
A special purpose vehicle comprising 20 AIEMA members has been formed to purchase property and monitor setting up of the industrial estate.
There are close to 10 industrial estates developed by the Tamil Nadu Small Industries Development Corporation in and around the city.
“We require a minimum of 50 acres to develop the new estate with the investment of the unit holders. We will zero in on the space by this year-end,” said S. Gautaman, chairman of Chennai Auto Ancillary Industrial Infrastructure Up-gradation Company.
