Work on Japanese satellite township to be completed by 2014

C Shivakumar

Chennai:

The Rs 3,500 crore Japanese industrial township near Chennai would be completed by 2014, according to director general of Japan External Trade Organisation Shinya Fuji.

Fuji told Express on the sideline of a seminar on ‘Tamil Nadu – A Potential Investment Location for Automotive Related Industry’ organized by Confederation of Indian Industry here on Tuesday that almost 1,500 acres of land in the Old Mahabalipuram Road has been acquired for Omega Satellite township project. “We are short of few acres of land and hope it would be acquired soon,” he added.

He said work on the satellite industrial township would begin once it gets Environment Inpact Assessment clearance from the government.

He said work is also on to provide infrastructure facilities for the township. He said the newly opened Nemelli desalination plant would provide 20 MLD of water to Japanese township.

The agreement to set up the township was signed between Tamil Nadu industrial investment facilitating agency, the Guidance Bureau, Ascendas and a Japan consortium comprising Mizuho Corporate Bank, JGC Corporation, a programme management contractor and investment partner. 

Interestingly, this also comes in the wake of more and more Japanese companies vying to invest in the state particularly Chennai as it gives the Japanese firms access to port.

The growth of automobile sector in Chennai has also been one of the prime factors which has forced many global firms to target Chennai. Interestingly, Japan has been keen to have a share in the growth of automobile sector in Chennai. This could also be seen in the keenness of 55-member delegation of small and medium enterprises in Japan from 46 automobile industries vying to understand the business requirements in Chennai.

Soichi Yoshimura of JETRO told reporters that the focus is to create investment environment suitable for Japanese SMEs in Chennai and also across the country. Interestingly, Japanese Ministry of Economy Trade and Industry (METI) director of Financial Cooperation Division Masashi Iwanaga is expected to meet Tamil Nadu Chief Minister J Jayalalithaa for third round of talks on continued cultural cooperation with Tamil Nadu. He also vowed Japanese help in developing the infrastructure of the state.

M Velmurugan, executive vice chairman of State Guidance Bureau wooed the Japanese SMEs to invest in Tamil Nadu stating that many global auto majors have set up plants in Chennai. He said BMW is planning to set up its third plant in Chennai and Hyundai is planning to set up a third plant in the city. He said in the next four to five years Chennai will become the world’s largest auto corridor.

Joseph Ravi, state additional director of directorate of industries and commerce and  L Ganesh, former chairman of Confederation of Indian Industry and chairman of Rane Group also spoke on the occasion