Plastic park in Mangaluru to boost investments in the region: CPMTA

AJ Vinayak | | Updated on: Jan 24, 2022

The project is to be implemented by the SPV incorporated by the Karnataka Industrial Areas Development Board with an outlay of ₹62.77 crore.

With the Central government giving final approval for establishing a plastic park at Ganjimath in Mangaluru taluk, the plastic manufacturing industry is expecting more investments in the sector and the creation of new jobs in the region.

While giving the final nod, the Department of Chemicals and Petrochemicals under the Union Ministry of Chemicals and Fertilizers said the plastic park will be implemented by the special purpose vehicle (SPV) incorporated by Karnataka Industrial Areas Development Board (KIADB) with an outlay of ₹62.77 crore, including ₹31.38 crore of Central grant.

Being the key promoter for this project, KIADB will facilitate the project implementation, guarantee financial closure for the project within one year of the final approval, and maintain a minimum stake of 26 per cent in the SPV, it said.

BA Nazeer, President of Canara Plastic Manufacturers’ and Traders’ Association (CPMTA), told BusinessLine that CPMTA proposed the plastic industries park to the Central government in 2015 to then Union Minister for Chemicals, Ananth Kumar. Following this, the former Minister immediately responded to the proposal and advised the Karnataka government to send the request l to the Centre.

Thanking the Central government and the Member of Parliament from Dakshina Kannada, Nalin Kumar Kateel, for sanctioning a plastic park to Mangaluru, he said this would boost the plastic manufacturing sector in the region. The project is likely to attract investments to the tune of ₹600 crore in the coming years.

Nazeer said the plastic park would be established on 96.05 acres of land at Ganjimath on the outskirts of Mangaluru. With modern infrastructure, the proposed park will have about 80 units. He said CPMTA would request the Government to focus on recycling and innovative technologies.

He hoped that the proposed park would attract investments to the tune of ₹600 crore in the next two-three years. The proposed park is expected to generate around 3,000 direct employment opportunities and around 8,000 indirect jobs.

Stating that the petrochemical complex of MRPL (Mangalore Refinery and Petrochemicals Ltd) offers raw materials for the plastic manufacturing sector in the region, he said the plastic park in Mangaluru would help increase the competitiveness, polymer absorption capacity and value addition in the domestic downstream plastic processing industry through adoption of modern, research and development-led measures.

He said it would also increase investments in the sector through additions in capacity and production, creating quality infrastructure and other facilitation to ensure value addition and increased exports.

Published on January 24, 2022
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