In Arasur, the park would come up on a 102-acre site and in Manickampalayam the park would have an area of 65 acres. The Central Government has sanctioned Rs 5 crore for providing basic infrastructure like roads, office building etc.
Coimbatore, Jan. 11
THE Coimbatore Tiny & Small Foundry Owners Association (Cosmafan) is gearing up to begin work on the establishment of `Foundry Parks' at Arasur and Manickampalayam in Coimbatore district that would involve an investment of more than Rs 100 crore, including the cost of establishment of manufacturing facilities.
The association is elated that the move coincides with the boom time the foundries are witnessing because of increasing demand from various sectors such as engineering and auto components not only from within the country but from abroad too.
Business Line, Mr P. Udayakumar, Secretary, Cosmafan, said the work relating to the `Foundry Parks' are being taken up as part of the Coimbatore Industrial Cluster project being implemented by the Southern India Engineering Manufacturers' Association (SIEMA) in collaboration with others.
While in Arasur, the park would come up on a 102-acre site, in Manickampalayam, the park would have an area of 65 acres. He said the Central Government has sanctioned Rs 5 crore for providing basic infrastructure like roads, office building etc.
He said the association was hopeful that the Tamil Nadu Government also would extend assistance to the project. Already, a few banks have shown interest in providing financial assistance on a long-term basis to the foundry units that would be established in the parks to meet the cost of construction of buildings, raw material, working capital requirements etc.
He said 132 foundry units have expressed a desire to establish their units in the two `Foundry Parks' and have booked land ranging from 50 cents to one acre. Work on road formation within the park area would commence later this month. He expected the land allotment process for the foundry units to be completed in about six months and was hopeful that the units would be able to begin their operations within one year.
Mr Udayakumar, explaining the advantages of the establishment of the foundry parks, said the units would be having induction furnaces and these would be modern foundries.
Hence, there would be no reason for concern over pollution. The units would produce steel castings for diverse industries like engineering, auto components etc.
Since each unit would require an investment of a minimum of Rs 50 lakh up to Rs 1 crore, the total investment in the project is expected to exceed Rs 100 crore. He said the foundry units have seen a buoyant demand and buyers from European countries have also been placing orders with the foundries here.