M&M, Royal Enfield plant proposals get AP Govt nod

The State Investment Promotion Board of Andhra Pradesh has approved a bunch of investments proposals including one by automotive major Mahindra & Mahindra for its tractor plant near Zaheerabad, Hinduja Foundries in Medak district, and Royal Enfield plant at Tada on the State border, and seven cement plants.

An SIPB meeting chaired by the Chief Minister, Mr N.Kiran Kumar Reddy, cleared 25 proposals with a total investment outlay of Rs 25,672 crore and direct employment potential of 41,406 people in the State, according to a statement from the Chief Minister's Office.

According to the project proposals, these projects will be commissioned by the end of 2012.

Sector-wise breakup

Sector-wise break up of proposals shows that food and agriculture will have five units, automotive sector (three), cement (seven), steel and ferro alloys (5), chemical, glass, mineral sand, ceramic and tyre, one each among others.

The cement plant proposals include that of the KC, in Krishna district, Orient Cement, Adilabad; Ultratech Cement Industries, Ananthapur; Jaypee Cements, Krishna; and Dalmia Cement (Bharathi) Ltd, Kadapa. Other important proposals include that of AGI Glaspac at Nalgonda district, Sathavahana Ispat Ltd, Trimex Sands and SBQ Steels.

M&M teams are in negotiations with State officials for a tractor manufacturing unit with an installed capacity of about one lakh vehicles an annum, close to the capacity of theplant in Zaheerabad.

Eicher Motors' proposals for a manufacturing base in Andhra Pradesh have also been cleared. The company had earlier outlined their intention to locate the plant either in Tamil Nadu or Andhra Pradesh, to cater to growing market demand and also cut down on waiting period for its bikes.