The Hindu Business Line : TN zone export units' turnover to cross Rs 5,000 cr

EXPORTS from 100 per cent export oriented units (EOUs) in the Tamil Nadu zone, which covers Tamil Nadu, Pondicherry and Andaman and Nicobar islands, are likely to be Rs 5,000 crore for fiscal ending March 31, 2005 against Rs 4,704 crore last fiscal.

Similarly, exports from the Madras Export Processing Zone (MEPZ) units are likely to be Rs 1,300 crore for fiscal ending March 31, 2005, against Rs 1,038 crore, according to Mr B. Vijayan, Development Commissioner, MEPZ Special Economic Zone, which caters to the needs of both units in the special economic zone as well as of 100 per cent EOUs in Tamil Nadu, Pondicherry and Andaman & Nicobar islands.

"Our aim is to double exports in MEPZ in the next couple of years," he told Business Line.

There are 354 active units under 100 per cent EOU scheme and 101 units inside MEPZ, he said.

According to Mr Vijayan, despite the rupee value going down in the last few months, performance of MEPZ units and 100 per cent EOUs in the State was quite satisfying for this fiscal.

For instance, up to February 25, exports from electronics industry in MEPZ were Rs 323 crore compared with Rs 290 crore for fiscal ending March 31, 2004.

Similarly, exports from engineering units till February 25 were Rs 284 crore (Rs 220 crore), he said.

However, due to a major fire in one of the large units, exports from the garment sector are likely to reduce this fiscal.

Till February 25, export from the sector was Rs 255 crore (Rs 309 crore), he said.

Covansys, the largest exporter in MEPZ, achieved an export turnover of Rs 212 crore till February 25 as against Rs 197 crore last fiscal.

Ambattur Clothing, a garment manufacturer, would cross last year's export performance of Rs 125 crore this fiscal, he said.

Igarshi, the Japanese manufacturer of micro motors for automobiles, is expected to achieve exports of Rs 80 crore for current fiscal as compared to Rs 48 crore last fiscal, he said.

Among 100 per cent EOUs, the Orchid Chemicals and Pharmaceuticals group, including Orchid Health Care, has achieved Rs 700 crore till February 25 (Rs 522 crore) .

Similarly, Visteon, an automobile ancillary unit, has crossed Rs 300 crore (Rs 292 crore), he said.

It's a top drawer zone

There is a beeline among investors for setting up manufacturing units in Tamil Nadu and in MEPZ, according to Mr Vijayan. "On an average we receive two applications a week from manufacturers for setting up EOUs in the State. It is a similar story for MEPZ. There are least two investors every day meeting us for possible investment in the State," he said.

According to Mr Vijayan, Pearl Global, a Gurgaon-based garment manufacturer, has got an approval to set up a unit inside MEPZ, and another large garment manufacturer has approved MEPZ for setting up a unit. Eleven new units came up in this fiscal inside MEPZ, he said.

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