Hi all,
AP has been approved with 2nd highest number of SEZ`s after Maharashtra.
This thread exclusively focuses on the developments in the SEZ`s of Andhra Pradesh. http://commerce.nic.in/publications/image_Annualreport_2008/ch7-8.jpg http://i130.photobucket.com/albums/p278/danielstricker/bai4.jpghttp://www.sadanapalli.net/blog/wp-content/uploads/2007/07/waverock.gif

A Review on SEZ Scenario of AP
http://www.assocham.org/prels/pr_21092009.gif
Note: Source: Commerce min
Notified (“which have no problem of land acquisition”)
Formally Approved (which have received green signal from the respective state governments to acquire land).
http://www.stockwatch.in/files/imagecache/article/SEZ.jpg
Some of the Successfully operating SEZs in AP

HITEC City-Cyberabad

›› First Major PPP project with L&T & APIIC in1996
›› 89 % equity by L&T and 11 % by APIIC in shape of land
›› Project area - 158 acres
›› Total built up area - 18.08 lakh sft
›› Cyber Towers - 5.25 lakhs sft - fully occupied
›› Cyber Gateway - 7.83 lakhs sft - fully occupied
›› Cyber Pearl - 5.00 lakhs sft - fully occupied
›› Total Investment - Rs.450.00 crores
›› State of the art facilities, dedicated power supply
›› Successful and sustainable PPP model- putting
›› Hyderabad in Global I.T map
›› More than 100 MNCs operating and using facilities
›› Employment Generation of more than 65000 persons
Mind Space Project

›› A Special Project for IT & IT enabled services
›› Project area 110 acres at Madhapur
›› APIIC Ltd & K.Raheja Corpn. P Ltd have jointly promoted the project with 11 % and 89 %
equity, respectively
›› Modular Buildings with built up space of 4 million sft completed
›› Total investment is around Rs.2000 crores with employment generation of about
45000 persons
›› Secured approval for IT/ITES SEZ
Integrated Township & Convention Centre

›› 3 SPVs are formed for execution of the projects
›› APIIC Ltd and Emaar Holdings hold 26% and 74% equity in all 3 SPVs
›› Hyderabad International Convention Centre was built on an extent of 15 acres.
›› Besides equity, APIIC Ltd shall receive 2 and 3% Gross Annual Revenue as lease rentals
›› The Golf Course with Boutique Hotel is developed on an extent of 235 acres
›› The assets will revert to Govt. of A P after 66 years of lease without any encumbrances
›› Convention centre was inaugurated in Jan, 2006
›› Break-even in the 2nd year of operation as against normal period of 4 to 5 years
›› Business Hotel commenced operations in Mar, 2006
›› 18-hole Golf was started in April 2008
›› Integrated Township Project is under execution and model homes and villas are constructed
›› 703 flats in 8-blocks - construction works commenced and expected to allot by March 2010
Visakhapatnam Industrial Water Supply Company

›› Project designed to meet the industrial water needs of the RINL, NTPC, VMC
›› Project formulated under B O O T
›› Promoted by APIIC, L&T, IL & FS,VMC & PSL
›› Project cost Rs.453 crores
›› Project envisage drawals of 5 TMC of water from River Godavari & 5 TMC from Yeleru
›› Project commissioned in Dec., 2004
›› The SPV is restructured with GVMC and APIIC as the promoters with the exit of all private players

Source: APIIC

Godrej group seeks land
APIIC executive director, Sreedhar Cherukuri, said that the Godrej group had come forward to set up a facility in the state for manufacturing and assembly of all its consumer goods. “They approached us for allotment of 35 acre of land in Hyderabad, Nellore or Visakhapatnam. We are looking for allotment of suitable land for them,” he said, adding that Godrej was expected to invest about Rs 500 crore in the proposed unit.

According to Cherukuri, APIIC’s fine and speciality chemicals park, being set up over an extent of 1,000 acre at Atchyutapuram near Visakhapatnam, is also getting good response.:cheers:

40 Exporters to set up units at Spices Park in Guntur

The Spices Board has finally approved the proposals of 40 Exporters out of 100 who have expressed interest in setting up units at Spices Park which is supposed to be coming at Edlapadu Mandal of Guntur District.
http://t2.gstatic.com/images?q=tbn:2r1a73s0jmt0DM:http://www.thehindu.com/2010/04/22/images/2010042262520501.jpgAn employee of Spices Board showing the quality evaluation laboratory in Guntur on Wednesday
[/B]The Spices Board is setting up a park in Guntur in Andhra Pradesh to upgrade the quality of spices and ensure better prices for growers in the state. The Board will invest Rs 25 crore to build the infrastructure.
The proposed spices park will be set up in an area of 124.78 acres. Infrastructure Leasing & Financial Services, Cluster Development Initiative, New Delhi has been entrusted with the Techno Commercial Feasibility Study for the proposed park
http://docs.google.com/viewer?pid=bl&srcid=ADGEESjq3Pj6ygczh0Z47VJE_OsfzAmXLi5AwZu75i-hzn7OCP1yLDG_RKk8vmLUYL0V7dZtxKJEHFgxWyDL_eyZtofwKMfnuRDVFZAFMlZtcwRPsb7aiyDmdVX1XmMTERhWtgmO9uMQ&q=cache%3ALHwfDfSF-1kJ%3Awww.indianspices.com%2Fadmin%2Ftender%2FfeatelectricalVol-II-3of3.pdf%202010%20spices%20park%20Edlapadu%20Mandal%20in%20Guntur%20district&docid=46620421777e52cd70e2980c18349253&a=bi&pagenumber=1&w=800
The park will have raw-material warehousing, cleaning, drying, grading, sorting and packing facilities; pulverizing, blending, packaging in bulk as well as institutional and consumer packaging; extraction, sterilisation, finished products storage, analytical facilities, pre-shipment inspection and certification; customs clearing facilities, container loading facilities and banking and other related services.
In addition, the Board will also provide a world-class analytical laboratory to undertake analytical services and also to impart training on both pre-and post-harvest operations in spices to all sections of the trade. Research and Development facilities will also be set up

Rosaiah asks IFFCO to speed up Kisan SEZ work

http://www.blonnet.com/2010/02/22/images/2010022251901301.jpg
Chief Minister Mr K Rosaiah on Friday called upon IFFCO to speed up work on its Kisan Special Economic Zone coming up in Nellore district. The Chief Minister, however, approved concessions for the SEZ upon a request from the IFFCO. Reviewing the progress of the first ever Kisan SEZ, the Chief Minister approved for conversion of agriculture land into non-agriculture land, besides waiving fees for such conversion, Panchayat Raj cess and taxes.

http://media.linkedin.com/mpr/mpr/shrink_80_80/p/2/000/041/1c1/2b226e6.jpg
The Government would also approach Centre for allocation of 1.5 MMSCD gas for a captive power plant in the farmer-owned, farmer-developed SEZ, Mr Rosaiah said.
The infrastructure in the state-of- the- art SEZ will be developed with an investment of Rs 600 crore. It is expected to attract investments to the tune of Rs 6,500 crore and generate annual output of Rs 4,500 crore. Of which, products worth Rs 2500 crore will be exported.

Vizag sez eyes Rs 500 cr exports this year
http://vsez.gov.in/images/building_02.jpg

Andhra Pradesh Industrial Infrastructure Corporation Limited (APIIC) is targeting exports worth Rs 500 crore from the Atchutapuram Special Economic Zone during the current financial year.
APIIC has earmarked around 5,770 acres of land at Atchutapuram in Visakakhapatam district to develop this multi-product SEZ. So far, the corporation has spent over Rs 250 crore to create infrastructure.
“By the end of December, APIIC would spend another Rs 150-200 crore to develop infrastructure facilities like roads, drains and electricity,” Eswar Rao, executive director, APIIC, told Business Standard.
Major industrial houses like WS Industries, Pokarna Limited, Uniparts, Confidence Petroleum and Brandix India have set up their units here with an investment of about Rs 670 crore. “We are expecting more than Rs 500 exports from these units during this financial year. Exports from this SEZ is likely to touch Rs 10,000 crore over the next five years,” he said.
The other units that have begun construction work here include Anjaney Alloys Limited, Southern Online Bio and Nagarjuna Agrichem.
http://www.business-standard.com/india/news/vizag-sez-eyes-rs-500-cr-exports/386480/

Gitanjali Group eyes Rs300 crore exports from Hyderabad SEZ
Gems and jewellery giant, the Gitanjali Group, is targetting exports worth Rs300 crore from its Special Economic Zone (SEZ) in Hyderabad in the current calender year, its chairman, Mehul Choksi, said.
Hyderabad Gems SEZ Ltd, the group's first SEZ division, recently set up a factory spread over 1lakh sq ft at Rajiv Gems Park in Hyderabad. The campus houses about 75-100 diamond, colour stones, pearl, semi-precious stones, jewellery and jewellery-watch manufacturing units.


"The Hyderabad SEZ is fully ready and notified. Hyderabad (SEZ) will clock more than Rs200-300 crore exports this calender year," Gitanjali Group's chairman and managing director, Mehul Choksi, told PTI here
http://www.skillproindia.org/images/prj_photo_03.jpg
Hyderabad Gems SEZ Ltd also has a training centre for manufacturing jewellery and cutting and polishing of diamonds.
"The diamond-cutting and polishing units at the SEZ have commenced operations. Nearly 3,000 people are employed at the SEZ," Choksi said.
Besides, it will have facilities for gold investment casting, metal refining, gemology and assaying labs as well as CAD (computer animated design) and rapid prototyping for product development.
The Rs6,000-crore Gitanjali Group plans to develop seven SEZs to be operationalised in seven to eight years, and has already bought land in Panvel, outside Mumbai.

Space sanctioned to IT companies coming up at L&T Hitech City in Vijayawada.
http://andhrabusiness.com/NewsDesc.aspx?newsID=Facebook-India-gets-space-in-IT-SEZ.html

The growth of IT was not only restricted to Hyderabad, now it was spreading to tier-II cities like Warangal, Visakhapatnam, Kakinada, Vijayawada, and Tirupati. Vijayawada was being preferred as an alternative Tier-II IT location in view of its strategic location. Vijayawada – not only offers cost advantage in terms of physical infrastructure, hiring of human resources and social costs, but also provides a safe place and secure working environment.
Visualizing the potential of Vijayawada as a promising IT location, the IT companies were setting up and expanding their operations in Vijayawada.
An IT SEZ in an area of 30 acres with 2 lakh sq. ft was developed in Vijayawada by APIIC in association with L&T Info City and was ready for occupation.
The Development Commissioner, IT SEZ, sanctioned spaces in the Vijayawada SEZ to
Tektraks (2,350 sq. ft); Exranet Software Solutions (5,011); Indemax (4,895 sq. ft) and Galla IT Services (1,050 sq. ft)

Project pics of L&T Hitech City

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Facebook,JP Morgan & United Health Group to come up at IT SEZ`s in Hyderabad.
http://andhrabusiness.com/NewsDesc.aspx?newsID=Facebook-India-gets-space-in-IT-SEZ.html

Facebook will set up its office in the Raheja Mindspace special economic zone, though it will launch its incubator facility first in about a couple of months. A State Government communique said that the Union Government accorded approval to the social networking site's proposal for space in an SEZ.
The company was hiring people, especially in the marketing wing. The operations from the incubator would be regularised eventually.
Facebook’s new operations center in the city will complement the work done at its headquarters at Palo Alto, California, Dublin, Ireland and a recently announced location in Austin, Texas. The Hyderabad office will be the first office of Facebook in Asia.
http://t1.gstatic.com/images?q=tbn:d67dH1OGh4R_sM:http://lifeinthenhs.files.wordpress.com/2009/02/facebook.jpghttp://www.mynews.in/News/dailyimage/news/JP-Morgan-91399.jpghttp://images.businessweek.com/ss/08/03/0331_stocks/image/unitedhealth.jpg
The Union Government accorded sanction for five IT companies to set up their offices in an area of 3.91 lakh sq. ft in different IT SEZs in the Sate. The other prominent MNCs include Accenture, and Invesco(expansion).
Sources said Facebook was allotted about 50,000 sq. ft space and was going to recruit close to 500 people to run their operations. Facebook has about eight million subscribers in India and is said to be investing US $ 150 million initially. The social networking site has more than 400 million active users worldwide.
The provisional performance of IT sector in the State during 2010 has been quite encouraging, aacording to Principal Secretary K. Ratna Prabha, who heads the ICT department in the State Government.
During the year, new IT MNC like JP Morgan, United Health Group had come forward to set up their operations. Existing companies like Cognizant Technology Services, TCS, Infosys, Invesco, were significantly expanding their operations.
The IT companies began their annual recruitment and hiring plans. Further, she said that the recession did not have any impact on the creation and filling of office space in IT SEZs by the infrastructure developers. In fact during the recent past, infrastructure providers like Raheja and Divyasree, closed space booking deals of more than 32 lakh sq. ft of office space with renowned IT companies.

http://www.thehindubusinessline.com/2010/06/28/stories/2010062851631300.htm
New IT policy of AP to focus on small, medium units

Hyderabad, June 27

The five-year IT Policy (2010-15) of Andhra Pradesh has announced a special thrust on start-ups, small and medium enterprises (SMEs), product and research and development companies. It has also decided to give more incentives to the companies planning to set up shop in the tier-II cities of Visakhapatnam, Vijayawada, Tirupati, Kakinada and Warangal.

The policy continues some of the concessions offered by the earlier IT Policy, which expired in March 31 but was extended by three months to cover the interregnum period. The new policy is likely to be announced in the next few days.

The policy brings IT under the Essential Services Maintenance Act (ESMA), offers exemption from certain provisions of labour rules and the AP Pollution Control Act, besides allowing self-certification.

The start-ups would get a subsidy of 25 per cent on lease rentals and power bills for a period of three years. They will also get total reimbursement of stamp duty, recruitment assistance of Rs 2.5 lakh. For SMEs, the IT Department offers to seal alliances with reputed business analyst firms and facilitate linkages with bigger firms to get access to sub-contracts.

The new policy has set a target of Rs 70,000 crore of IT exports from the State by 2015, registering an annual growth rate of 17 per cent. This year, the State pegged the IT exports at 36,000 crore. Besides, it targets to create 1.5 lakh additional jobs. By the end of 2015, the IT and ITES industry exports would constitute 50 per cent to the overall exports from the State.

The 2010-15 policy proposed to develop a gaming, animation and digital entertainment facility with ready-to-use space for incubation, shared studios, processing labs, media centre and conference facilities.

It also proposed to establish an animation and gaming academy in association with top brands in the industry.

All the units set up at the facility will attract the general concessions such as power and stamp duty reimbursements.:cheers:

http://www.myiris.com/newsCentre/storyShow.php?fileR=20100628151607707&dir=2010/06/28&secID=livenews
Infotech Enterprises Commences Operations From New SEZ Facility
6/28/2010 5:47 AM ET

(RTTNews) - Infotech Enterprises, a global engineering services and technology solutions provider headquartered in Hyderabad announced that they have commenced operations from their new SEZ facility in Visakhapatnam at Rushikonda IT Park. This is the company's first SEZ development centre.

The company currently operates five development centers in India, two at Hyderabad, one each at Bangalore, Noida and Kakinada and this will be the sixth development centre of the company.

The new development centre at Visakhapatnam would be working on delivering engineering services and solutions to Infotech's customers in the offshore and marine segments which includes engineering of semi-submersible rigs, jack-up rigs, drill ships, bulk carriers, construction support vessels, pipe lay barges, offshore supply vessels, dredgers etc.:cheers:

Pics of Rushikonda IT SEZ @ Vizag
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The Hindu
State eyes 17% growth in IT sector

Sets target of 10 crore sq ft of space for IT, ITES, IT exports of Rs 70,000 cr by 2015-end.
Hyderabad, June 29

After witnessing deals for 32 lakh sq ft of office space, the Andhra Pradesh Government has set a target of 10 crore sq ft of space for IT and ITES, including in the Special Economic Zones earmarked for the industry, and creation of 10 lakh jobs in the next five years. Addressing a gathering after inaugurating the facility of IT solutions company Model N here on Tuesday, Mr K. Rosaiah, the Chief Minister, said the State targets IT exports to the tune of Rs 70,000 crore by the end of 2015, when the upcoming IT Policy comes to a close.

“We are going to hold a Cabinet meet on July 1 to clear the IT Policy for 2010-15. We are expecting an annual growth rate of 17 per cent from the present Rs 32,500 crore,” Mr Rosaiah said.

Stating that the State could wrest maximum number (57) of IT SEZs in a national total of 351, he said 55 companies had already started operations from about 15 SEZs. “The IT units in SEZs reported exports of Rs 2,351 crore for the nine-month period ended December 31, 2009, as against Rs 1,317 crore in the previous financial year,” he said.

While the Government had the mandate for 18 of the 57 SEZs, private players would get 28 SEZs. Eleven campuses of several IT companies were given the SEZ-tag.

ITIR plan

Meanwhile, the Government awaited the Union Government's response to its proposal to develop IT Investment Region (ITIR), encompassing three hubs in Hyderabad. “We have made a presentation to the Union Government. We expect their nod soon,” he said.:cheers:

The State had prepared a plan to develop about 200 sq km of area covering Gachibowli, Madhapur and Uppal to build space for office, commercial and residential purposes. Andhra Pradesh was one of the first States to respond to the ITIR concept proposed by the Union Government a few years ago.

The State forecast investments of Rs 2.20 lakh crore over a period of 25 years, providing 15 lakh jobs and earning revenues of Rs 3 lakh crore.:banana:

BDL to establish 2 missile Manufacturing Complexes (http://www.ptinews.com/news/755896_BDL-to-establish-2-nbsp-missile-manufacturing-complexes-)

Public-sector defence production unit Bharat Dynamics Limited (BDL) will set up two complexes for manufacturing missile systems in Andhra Pradesh at a cost of Rs 1,400 crore.

The proposed facilities are likely to come up at Ibrahimpatnam (500 acres) on the outskirts of Hyderabad and at the Lepakshi Knowledge Hub (600 acres) in Anantapur district, BDL Chairman and Managing Director Ravi Khetarpal said.

BDL CMD and Director (Technical) S N Mantha met Chief Minister K Rosaiah to brief him about their expansion plans and request the state government to allocate land for the proposed units.

"We are happy to note that BDL has decided to set up two new missile manufacturing facilities in Andhra Pradesh.

The required land will be made available to them," the Chief Minister announced while releasing the new Industrial Investment Promotion Policy here today.

The two new units are expected provide about 3,500 jobs directly and another 3,000 jobs indirectly, the BDL officials told the Chief Minister.

The proposed facility in Anantapur district will also have an integrated township for the employees.

Looks like Aerospace and Defence are going to be the future:cheers:

Though Technically a part of AP, its proximity to Bangalore is its USP


http://img694.imageshack.us/img694/4094/38771083.jpg (http://img694.imageshack.us/i/38771083.jpg/)


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Bhartiya setting up leather products unit at Nellore SEZ

Facility to focus on European brands, retailers.:cheers:

Bhartiya International has its own design studio in Italy which gives it the capability to offer complete solutions to its customers. It is not just a producer of products for other brands, but a full-fledged manufacturer with brands of its own.
Chennai, July 6

The Delhi-based Bhartiya International Ltd has started work on a Rs 40-crore leather products factory at the SEZ it is establishing in Nellore.

Mr Snehdeep Aggarwal, Chairman, Bhartiya International, said that the leather products factory would be focussed on the European markets.

It would manufacture a wide range of leather products including bags, belts and accessories under its own brand and for European brands and retailers.

Bhartiya's own brand for leather products, Ultimate, is an established brand in Italy, he said. Work on the 100,000 sq.ft factory has started and will be ready in the next nine months, he said.

The factory is located in the 250-acre Bhartiya International SEZ being set up at Tada, in Nellore district of Andhra Pradesh, about 100 km north of Chennai.

The company had entered into an agreement with the Andhra Pradesh Industrial Infrastructure Investment Corporation which allocated land for the project in 2008.

Mr Aggarwal said that Bhartiya International will invest Rs 90 crore in the SEZ.

Four Indian companies and two international players have evinced interest in setting up production facilities in the SEZ. Some of the occupants are likely to take a stake in the SEZ project also, but the details are yet to be finalised, he said.

Its own leather products unit coming up in the SEZ would contribute about Rs 100 crore annually to its business, he said.

Bhartiya International has its own design studio in Italy which gives it the capability to offer complete solutions to its customers. It is not just a producer of products for other brands, but a full-fledged manufacturer.

The company has also set up a training centre to provide skilled work force to the factories coming up in the vicinity, he said.:cheers:

Bhartiya International, a listed company, is a manufacturer of leather apparels and accessories with a turnover of Rs 180 crore in 2009-10.:banana:

Rosaiah lays stone for Apache shoe factory at Guntur
http://hindu.com/2010/08/01/images/2010080152340501.jpgChief Minister K. Rosaiah unveils plaque marking the foundation for Apache shoemaking unit at Obulanaidupalem in Guntur district

Chief Minister K. Rosaiah laid the foundation stone for Apache Footwear Company at Obulanaidupalem village in Pottur mandal on Saturday. This is the second unit of company to be set up in the state. The global shoe brand has already set up shoemaking unit at Tada in Nellore district.
The shoemaking unit was allotted 50 acres by APIIC and is scheduled to be completed by March 2011.
Company representatives said that the plant could scale up production to 3 lakh pairs of shoes.
Speaking on the occasion, Mr. Rosaiah observed that overall development of the State is necessary to sustain the growth.
Industries needed to be promoted, rail, road and sea connectivity should be improved and electrical generation should be augmented to meet the needs of industries. He thanked Apache for setting up a plant at a cost of Rs.150 crores and said that the plant would boost employment opportunities in rural areas.
Major Industries Minister Kanna Lakshminarayana said that the district would witness rapid industrial growth as a slew of industries, including solar city at Gurazala, Apparel parks at Bapatla and Budampadu and Tyres Factory at Mangalagiri are coming up.
Union Minister of State for Textiles P. Lakshmi, Ministers P. S. Bose, M. Venkata Ramana Rao, D. Manikya Vara Prasad, APIIC Chairman Siva Subramaniyam, MLAs and officials were present.

SEZs to retain tax sops, with riders
http://www.business-standard.com/india/news/sezs-to-retain-tax-sopsriders/403077/
Units located in special economic zones (SEZ) are likely to retain the income tax concessions even after introduction of the Direct Taxes Code. A compromise is being worked out by the commerce and revenue departments, though a continuation of the tax dispensation will come with certain riders for units in the duty-free enclaves as well as SEZ developers. The riders would be in the form of amendments to the SEZ Policy, which the ministry of commerce and industry is currently working on. The government is contemplating the introduction of certain eligibility criteria for the units to obtain the tax concessions.
“A compromise solution is being worked out. Changes in the SEZ Policy would be made soon but that does not mean there will be some kind of major shock therapy. We are trying to smoothen the process of transition, without creating problems of dislocation,” a senior commerce department official told Business Standard.
For instance, cases which have got more than a year extension, over and above the mandated three years to begin their work, are likely to be disqualified for the tax concessions. Also, those units that have failed to earn the required net foreign exchange (NFE) within the stipulated time would not be eligible for the tax holiday.

The provision to discontinue the tax benefits has resulted in severe backlash from the developers, as well as companies who have already put in large amount of investments into the projects, which have a large gestation period. An SEZ project, once approved, is given three years to start operations. It can also get extension for not more than one year to finish the work, after permission from the Board of Approval (BoA).
The revised discussion paper on the Direct Taxes Code has suggested continuation of the 15-year tax holiday on those units who would be operational by the end of March 2011. In other words, the units have to launch operations and begin exporting before March 2011 to avail of income-tax concessions available for SEZ units, even if they have got all the necessary approvals.
However, earlier this month Finance Minister Pranab Mukherjee said that the government would be giving additional time to the companies to begin their operations over and above the March 31, 2011 deadline.
The proposal to discontinue income tax benefits to the SEZ units has also not been favoured in the political sphere. During a recent meeting of the National Development Council, Andhra Pradesh Chief Minister K Rosaiah, Tamil Nadu Chief Minister M Karunanidhi, and Karnataka Chief Minister B S Yeddyurappa asked Prime Minister Manmohan Singh to ensure the incentives given in the SEZ Act were not taken away under the DTC regime.
Investments to the tune of Rs 1,66,526 crore have been made in SEZs so far. In 2009-10, export of goods and services from SEZs was estimated at Rs 2,20,711 crore, which was 121 per cent higher than the previous year’s level. At present, there are 114 operational SEZs across the country with more than 1,800 units that employ 550,323 people.
So far, the BoA, the single-window clearing agency for SEZs, has accorded formal approval to 576 SEZs, of which 358 have been notified, according to data compiled by the Ministry of Commerce and Industry.
SEZ units are given 100 per cent tax exemption for the first five years, 50 per cent for the next five years and 50 per cent of the ploughed back export profit in the following five years under section 10 AA of the Income Tax Act. Under section 115JB of the IT Act they are also exempted minimum alternate tax. Besides these, the SEZ units are also exempted from central sales tax, service tax, state taxes and levies.

Master plan for PCPIR soon
The Andhra Pradesh government is preparing a detailed master plan for the proposed Petroleum, Chemicals and Petrochemicals Investment Region (PCPIR). “The plan would be ready very soon,” said B R Meena, vice chairman and managing director, AP Industrial Infrastructure Corporation while addressing a seminar on PCPIR here on Thursday.
As on date, 73 SEZs have been notified in the state of which 22 are functional. In 2009-10, exports from these SEZs touched Rs 5,550 crore, said an official, adding this year exports would touch Rs 10,000 crore.

http://www.business-standard.com/india/news/master-plan-for-pcpir-soon/403684/

Ministry okays Rs 1,54,512-crore investment proposal in 3 PCPIRs
In a major boost for investment in the petrochemical sector, the Ministry of Chemicals and Fertilisers has approved a proposal of investments worth Rs 1,54,512 crore in three regions under its flagship petroleum chemicals and petrochemicals investment regions (PCPIR) policy.
Under the policy launched in 2007, this is the first status report on committed investments approved by an inter-ministerial high-powered committee last week. The investment includes Rs 44,812 crore for physical infrastructure development, and the rest is project-specific investments committed by various public and private companies in three PCPIRs — Visakhapatnam and East Godavari districts in Andhra Pradesh, Bharuch in Gujarat and East Midnapore in West Bengal. Investments in physical investments include a viability gap funding (VGF) by the finance ministry to the extent of 20 per cent in each PCPIR except for West Bengal. The VGF scheme provides financial support in the form of grants, one time or deferred, to infrastructure projects undertaken through public-private partnerships with a view to make them commercially viable.
Sources added the high-powered cabinet committee will take up the approval of the Paradip port PCPIR in the second week of August. The PCPIR scheme is aimed at promoting investment in the chemical and petrochemical sector so as to make India an important hub for domestic and international markets.
The ministry has also taken the initiative of organising major trade fairs in Europe and Latin American countries like Brazil, Argentina and Mexico to attract foreign investment sector.
“The priority for this sector is to increase capacity so that the growing demand is met with domestic output,” said an official.
The Visakhapatnam and East Godavari PCPIR has received investment commitment of around Rs 73,000 crore through its main or “anchor” investors — a consortium of Hindustan Petroleum Corporation Ltd and GMR. The state government has committed Rs 2,132 crore for developing physical infrastructure followed by Rs 10,565 crore from private parties and another Rs 6,334 crore through public-private partnership. Besides the anchor investors, various companies with committed investments are ONGC (oil and gas exploration in KG basin), Rain Commodities, Continental Carbon India Ltd, Indian Strategic Petroleum Reserve Ltd, Velankani Chemicals, Air Liquide India, Southern Online Biotechnologies, Reliance Industries Ltd, Bharat Petroleum Corporation Ltd, Hetero Drugs, Baker Hughes, Gangavaram Port Ltd, Visakhapatnam Port Trust, National Thermal Power Corporation, Hinduja Power Project and Kakinada SEZ.
Similarly, the Bharuch PCPIR in Gujarat with its main anchor investor, ONGC Petro Additionals Ltd (OPAL) — a joint venture of ONGC and Gujarat State Petroleum Corporation — has committed project investment of Rs 16,400 crore. The investments are for the Rs 13,000-crore multi-feed petrochemical cracker and Rs 3,400-crore carbon extraction unit. Investment in infrastructure is a combination of state government budgetary support of Rs 253 crore and public-private partnership of Rs 51,496 crore, which includes commitments of state government and private developers. Various companies which have committed investments are ONGC extraction plant, ABG Shipyard, Ruchi Petrochemicals, Gujarat Alkalies and Chemicals Ltd, DIC Fine Chemicals, Sajjan Speciality, Pidilite Industries, Rallis India, Lanxess India, Ginni Filament, Arcoy Biorefinery, Romano Tiles, India Peroxide and Neesa Infrastructure. The report has also stated that the total employment generation from the Gujarat PCPIR is expected to be 800,000.
Indian Oil Corporation (IOC) is the anchor investor in the West Bengal PCPIR with a committed investment of Rs 3,000 crore for expansion of its refinery and a new hydro cracker unit, Rs 1,800 crore for a coker unit and Rs 4,000 crore for a new paraxylene unit. The Spic group-controlled CALS refinery has proposed to set up a Rs 5,000-crore crude refinery complex for blending crude which is expected to be commissioned by the end of 2010. There are also grassroot refineries proposed by IOC and CALS, which will take the total investment to Rs 93,180 crore. For physical infrastructure, the Union government has also earmarked Rs 2,108 crore in its current five-year plan. The remaining Rs 15,923 crore has been committed through the state government jointly with public-private partnerships
http://www.business-standard.com/india/news/ministry-okays-rs-154512-crore-investment-proposal-in-3-pcpirs/403731/

Jute park coming up near Vizag
Andhra Pradesh Jute Development Centre Ltd (APJDC) has said, it has floated a special purpose vehicle for the establishment of a ‘jute park' on a 200-acre site in the Vishakhapatnam district.
In a letter to the Minister for Textiles, Mr Dayanidhi Maran, APJDC Vice-Chairman and Managing Director, Mr B.V. Rama Rao, said that the park has a potential to attract investments of Rs 500 crore and provide direct employment to 20,000 people. “It is expected that annual turnover will be in the range of Rs 200 crore in initial stages, which will gradually increase to Rs 800 crore during the fourth and fifth year of operation,” the letter said. Though the SP government has agreed for allotment of 50 acres of land, APJDC has asked for 150 acres more.
It has also requested the Central Government for assistance of Rs 40 crore under Special Integrated Textile Park (SITP).

Nod for Zensar, Accenture SEZ units
Proposals of Zensar Technologies and Accenture Services to set up their units at Special Economic Zones (SEZs) have been approved by the Unit Approval Committee of the Development Commissioner of Andhra Pradesh IT SEZs.
The committee, which met here on Monday, approved Zensar's plan to establish a facility with 300 employees at DLF Cyber City SEZ Private Ltd.
The facility would come up in an area of 23,615 sq ft. Accenture Services would expand its presence by setting up 35,756 sq ft office at TSI IT Park at Nanakramguda near here. It would employ 350 people.
The proposal of Konylabs IT Services Private Ltd to open an office at Phoenix Info City in Hyderabad, too, was approved by the committee. It would set about 900 people in an office of about one lakh sq ft, Ms K. Ratna Prabha, Principal Secretary (IT, Government of Andhra Pradesh), said here in a press release.
http://www.blonnet.com/2010/08/11/stories/2010081151342100.htm

AP petro-chem investment region to spur growth in Vizag, Kakinada
http://www.blonnet.com/2010/08/06/stories/2010080653081900.htm

The Andhra Pradesh Petroleum, Chemicals and Petro-chemicals Investment Region (PCPIR), coming up between Vizag and Kakinada in an area of more than 600 sq km, has huge potential for triggering growth in the zone.
It enjoys advantages that other PCPIRs such as those in Gujarat and West Bengal do not have, according to Mr B.R. Meena, Vice-Chairman and Managing Director of the AP Industrial Infrastructure Corporation. He is also the Chairman of the AP PCPIR.
He was speaking at a round-table session on the PCPIR organised by the Vizag chapter of the Confederation of Indian Industry here on Thursday.
Mr H.E. Jean-Joel Schittecatte, the Consul-General of Belgium, and a delegation from Antwerp also participated in the session.
Mr Meena said the master plan for the AP PCPIR was being prepared.
“Our PCPIR is much better placed in comparison with the ones proposed at Gujarat and West Bengal. Its proximity to the Krishna-Godavari basin, with its huge gas reserves, is a great advantage. The spread of the AP PCPIR (600 sq km) as well as the coastline (140 km) are much larger and there is no problem with regard to water and power,” he said.
Besides the Visakha refinery of the HPCL at Vizag, one more with a capacity of 15 million tonnes was proposed by an HPCL-led consortium near Vizag. The GMR group was also setting up a refinery of a similar capacity in the Kakinada special economic zone (KSEZ).
“Therefore, within the AP PCPIR region, there will be three major refineries that will provide the feedstock for the downstream units,” he said.
Environmental concerns: He said there was no need for concern on the environmental front as the State Government was preparing an exhaustive report on the related aspects and all steps would be taken to address the problem. “The global economic recession has slowed down the projects but the State Government is keen to go ahead with it and this PCPIR will become a reality and will transform the region,” he added.
Mr M.S. Rao, Development Commissioner of the Visakhapatnam Special Economic Zone, spoke about the existing SEZs in the PCPIR and the ones likely to come up. He said Andhra Pradesh was in the forefront in setting up SEZs and many more would come up in the PCPIR.
Mr V.N. Vishnu, Municipal Commissioner of the Greater Visakhapatnam Municipal Corporation, spoke of the GVMC's role in the establishment of the PCPIR. Capt. Sriram Ravi Chander, the Chairman of the Vizag zone of the CII, welcomed the gathering.
Mr Raj Khalid, Indian representative of the Port of Antwerp (Belgium), spoke about the petrochem region in the vicinity of the port, said to be the second biggest in the world, and promised all help to the AP PCPIR.

Maithan Alloys to invest Rs 250 cr in Vizag plant
BS Reporter / Chennai/ Kolkata August 26, 2010, 0:36 IST

Kolkata-based Maithan Alloys will be investing Rs 250 crore in setting up a ferro alloys plant in Vishakhapatnam.

“The project, which will come up in a special economic zone, will double our total capacity by 120,000 tonnes,” managing director Subhash Agarwalla said. The company has facilities in West Bengal and Meghalaya with a combined capacity of around 120,000 tonnes.

The company has applied for mines in Vishakhapatnam. “We are expecting the government to grant us mines,” Agarwalla said. Maithon would be exporting 100 per cent of the output.

“Our products are high-end and hence we are focusing on exports. We are one of the largest producers of manganese alloys and have extended beyond commodity grades to specialised grades,” Agarwalla said. The Vishakhapatnam plant would go onstream by June 2011.

Maithan has a mine in Orissa as well, which has run into environment issues. As part of its backward integration plan, Maithan has a captive power plant in Meghalaya.:cheers:

AP to set up IT SEZs in Warangal, Nalagonda

With a view to encouraging entrepreneurs to set up information technology units in the tier III cities, the Andhra Pradesh Government has decided to set up two special economic zones (SEZs) in Warangal and Nalagonda. The Government will develop these SEZs on its own and has no plans to give them to private developers.

“We have deputed a team comprising the IT Secretary and other officials to visit the two cities and come up with a plan. They have identified plots of 25 acres each for the proposed SEZs,” Mr Komatireddy Venkata Reddy, the Andhra Pradesh Minister for Information Technology, said.

Addressing a press conference here on Monday, he said the idea was to percolate the benefits to smaller cities. “These will generate direct and indirect employment to people in those districts,” he said.

“We have come out with an IT policy for 2010-15, in which we announced several incentives for entrepreneurs setting up facilities in tier II and tier III cities,” he said

Oswal Chemicals proposes Rs 7,000-cr fertiliser plant in AP

Oswal Chemicals & Fertilisers Ltd has come up with a proposal to set up a fertiliser plant manufacturing complex in Andhra Pradesh with a total investment of about Rs 7,000 crore, including a 100 MW plant.

The company plan includes a 1.2-million tonne per annum (mtpa) capacity urea plant based on natural gas with estimated investment of Rs 5,000 crore. Their request for gas allocation for the project has already been forwarded by the Ministry of Chemicals and Fertilisers to the Ministry of Petroleum and Natural Gas.

As a part of the investment plan, the company plan includes a one-million-tonne capacity Di-Ammonium Phosphate Plant with an investment of Rs 2,000 crore. Phosphoric acid required for the plant will be imported from Syria Arab Republic.

It has tied up for phosphate rock supplies from Syria for production of phosphoric acid. The ammonia requirement for the plant will be met out of surplus ammonia of urea plant.

Mr Abhay Oswal, Chairman and Managing Director of Oswal Chemicals and Feritlisers, today met the Chief Minister, Mr K. Rosaiah, to discuss the issue and take the proposal forward. The Chief Minister agreed to consider the proposal and ensure early clearance for the project.

Mr Oswal said the unit will also establish a 100 MW capacity power plant using surplus steam from urea manufacturing facilities supplemented by coal.

The Oswal Group has a one-mtpa capacity ammonia urea complex with required utilities and offsite facilities at Shahjahanpur in Uttar Pradesh.

The Group controls ownership interest in the coal mines in Indonesia with over 100 million tonnes of coal reserves.

It also has a two-mtpa Di-Ammonium Phosphate plant at Paradip, Orissa. This is the single largest manufacturing facility of DAP.

The Group has put up a gas-based ammonia plant of 2,200 TPD based at western Australia with an investment of $500 million investments.

Infosys, Satyam, Cognizant to set up units in SEZs

The Unit Approval Committee of Andhra Pradesh IT Special Economic Zones Development Commissioner has approved Satyam BPO, Infosys Technologies and Cognizant Technology Solutions to set up their new facilities in different SEZs in the State.

“Put together, these units will employ 6,800 people in a total space of 5.50 lakh sq ft,” Ms K. Ratna Prabha, Principal Secretary (Information Technology and Communications Department, Government of Andhra Pradesh), said here in a press release.

The new unit of Satyam BPO, which would come up at Satyam Computer Services' facility at Madhapur with an area of 1.60 lakh sq ft, would seat 2,700 employees.

The second unit of Infosys Technologies would be opened at its Pocharam SEZ in an area of 2.75 lakh sq ft, housing 2,750 employees.

Cognizant expansion

Cognizant Technology would set up a 1.12-lakh sq ft facility at DLF SEZ here as part of its expansion plan. It would employ 1,400 people, she said.

“The unit approval committee had sent letters of permission to these companies, giving go-ahead to their expansion plans,” she said.

“The performance of IT sector in the State during 2010 has been quite encouraging. The IT firms have revived their hiring plans,” she said.

Approvals for BPO units in AP SEZs

The Unit Approval Committee of Andhra Pradesh IT Special Economic Zones Development Commissioner has approved Satyam BPO, Infosys Technologies and Cognizant Technology Solutions to set up their new facilities in different SEZs in the State. “Put together, these units will employ 6,800 people in a total space of 5.50 lakh sq ft,” Ms K. Ratna Prabha, Principal Secretary (Information Technology and Communications Department, Government of Andhra Pradesh), said here in a press release. The new unit of Satyam BPO, which would come up at Satyam Computer Services' facility at Madhapur with an area of 1.60 lakh sq ft, would seat 2,700 employees. The second unit of Infosys Technologies would be opened at its Pocharam SEZ in an area of 2.75 lakh sq ft, housing 2,750 employees. Cognizant Technology would set up a 1.12 lakh sq ft facility at DLF SEZ here as part of its expansion plan. It would employ 1,400 people, she said. “The unit approval committee had sent letters of permission to these companies, giving go-ahead to their expansion plans,” she said. “The performance of IT sector in the State during 2010 has been quite encouraging. The IT firms have revived their hiring plans,” she said

CBay facility at SEZ

Mr Nadir Godrej, Vice-Chairman and Managing Director of Godrej Industries Ltd, has laid the foundation stone for CBay Infotech Ventures Private Ltd (CIVPL) at the Kokapet Special Economic Zone near here. “In the first phase, CIVPL would construct 2 lakh sq ft office space. In the subsequent two phases, it would build 4 lakh sq ft at the SEZ. It is expected to generate 2,500 jobs,” a CBay Systems Holdings press release said here. — Our Bureau

Govt okays 11 special economic zones

The government Thursday approved 11 new special economic zones, five of which are related to information technology and based in Karnataka .

Wipro has got the approval to set up two SEZs, one in Bangalore and another in Mysore district.

Infosys has got the government's nod to set a SEZ in Bangalore.

Formal approval has been granted for setting up 10 SEZs while in-principle approval has been given to a chemicals and pharmaceuticals SEZ by Vivimed Labs in Srikakulam district of Andhra Pradesh, an official statement said.

So far 577 formal approvals have been granted for setting up of SEZs, out of which 363 have been notified.

According to official data, Rs.1,66,526 crore have been invested in the SEZs, which are providing employment to 5,50,323 people.

During the financial year 2009-10, total exports of Rs.2,20,711 crore was made from SEZs. The exports in the first quarter of financial year 2010-11, has been to the tune of Rs.58,685.46 crore, registering a growth of 68 per cent over the exports of corresponding period of the previous financial year.

The other SEZs that have got the government's approval include Poornimadevi Tech Park Private Limited in Bangalore, Lepakshi Knowledge Hub Private Limited in Ananthapur district of Andhra Pradesh, Suryo Infra Projects Private Limited in Bhubaneswar, Orissa, and Jawaharlal Nehru Port Trust in Mumbai.

8 IT companies got approval from Govt
http://www.freeimagehosting.net/uploads/ac32586fb6.png (http://www.freeimagehosting.net/)

Three Malaysian Companies To Invest In India's Sri City(A Multi product SEZ in Chittoor District located close to chennai)

http://www.bernama.com/bernama/v5/newsbusiness.php?id=530966(Report from Malaysian Daily)
Three Malaysian companies are expected to sign several agreements before year-end to invest in Sri City, India's first integrated business city located about 55 kilometres North of Chennai.

Sri City Private Limited Vice President C. Saravanan said the three Malaysian companies were currently locked in negotiations.

"We expect the Malaysian companies to sign an agreement before the year-end and invest about US$25 million," he told reporters here Tuesday.

Saravanan is leading a delegation of Sri City top executives on a six-day official visit to Malaysia to lure Malaysian companies to establish industrial units in India.

He said the three non-listed Malaysian companies are keen to venture into the industrial machinery sector for both the export and domestic markets.

"Sri City has attracted over 35 multi-national companies with investments worth about US$150 million," he said, adding that 11 companies were currently in operation while five were still under construction.

"We are expecting to get at least another 15 companies to invest in Sri City before the first-quarter of next year," he said, adding that he will be meeting the InvestPenang branch representative in Perak tomorrow before heading to Kuala Lumpur to meet representatives from the Malaysia Investment Development Authority (MIDA).

Sri City, is sprawled over 2,000 hectares of which 1,520 hectares has been set aside for Special Economic Zones (SEZ) with well-demarcated industrial zones and necessary customs clearance.

"Well-demarcated industrial zones with the SEZ and Domestic Tariff Zones (DTZ) include automotive, engineering, logistics and warehousing, aerospace, electronic, biotech/pharma, renewable energy and other eco-friendly industries," he said.

With the strategic location on the border of two highly industrialised states of Andhra Pradesh and Tamil Nadu, he said Sri City offered unmatched connectivity through three sea-ports, two international airports, national highways and broad gauge railway service.

"The location advantage provides easy access to manpower resouces - from unskilled, semi-skilled to skilled labour and professionals," he said.

Master planned and designed by renowned Singapore-based Jurong Consultants, Sri City is being developed on the concept of Work-Live-Learn-Play model to emerge as a complete and integrated business city

Vivimed Labs gets approval to operate SEZ in Andhra Pradesh

Drug firm Vivimed Labs on Monday said it has received approval from the government to set up a special economic zone for chemicals and pharmaceuticals at Srikakulam district in Andhra Pradesh .

The "in-principal" approval to develop, maintain and operate an area of 131.68 hectares has been given by Department of Commerce , Ministry of Commerce and Industry, for sector specific SEZ , the company said in a statement to Bombay Stock Exchange .

In another filing to BSE, the company said its board has decided to raise funds up to $25 million (nearly Rs 110 crore) inclusive of premium through various schemes.

The company plans to raise funds by various instruments including Global Depository Receipts, American Depository Receipts, Foreign Currency Convertible Bonds and Qualified Institutional Placement, Vivimed added.

The board also approved to increase the authorised share capital of the company to Rs 20 crore.

The board, which met on October 9, also decided to increase Foreign Institutional Investor (FII) investment limit to 49 per cent of paid up shares capital.

Shares of Vivimed Labs were trading at Rs 334 on BSE, in the late afternoon trade, up 1.71 per cent from its previous close.

Guntur to be textile capital of the state
http://www.deccanchronicle.com/vijayawada/guntur-be-textile-capital-state-385
The Chief Minister, Mr K. Rosaiah, wants to make his home district Guntur the South India’s pride in cotton industry and AP’s cotton capital. He will set the foundation stone for the Textile Park at Boyapalem village in Guntur district on Friday. This full-fledged textile park is expected to receive investments of Rs 5,000 crore. As many as 40 entrepreneurs have applied for land for setting up spinning, weaving and garments units. This is the first major project Mr Rosaiah is getting to his native district in his one year rule as the Chief Minister.

The NSL Textiles alone invested Rs 300 crore in the textile park. Mr Rosaiah will inaugurate the NSL textile unit at Chandolu village of the district. This unit will produce 1,20,000 metres of cloth per day, while several more companies are set to pump in big investments. .

The Andhra Pradesh Spinning Mills Association president, Mr G. Punnaiah Chowdary said, “At least 60 weaving and garments units are expected to be set up at a cost of Rs 5,000 crore in the textile park. He said if infrastructure is provided in the park, at least 60 weaving and garment units will come up within a year which will provide employment opportunities to at least 6,000 workers.

He also said, “Entrepreneurs are setting up spinning mills outside the park also. He said at present 50 spinning mills are functioning in the district. Another 10 spinning mills are in the pipeline and another 20 units are expected to come up in the district very soon.”

The government has allotted 124 acres for the textile park in Boyapalem village of Yadlapadu mandal. As many as 40 entrepreneurs applied to the APIIC for the allotment of land for setting up of spinning and weaving related units in the textile park. The APIIC zonal manager, Mr B. Satyanarayana said, “We are preparing layouts in an extent of one and two acres for the allotment of land to entrepreneurs.”

After Mr Rosaiah became the Chief Minister, he took the initiative to solve land problem for the textile park. He explained the need for value addition for cotton to the central government. The union minister of state for textiles, Ms Panabaka Lakshmi and the minister for major industries, Mr Kanna Lakshmi Narayana met the union the minister for textiles, Mr Dayanidhi Maran, and exerted pressure for sanctioning the textile park.

AP is having explosive growth. Good job. I expect Hyd to start challenging Bangalore in IT soon.

AP to be first in country to produce choppers

HYDERABAD: Andhra Pradesh will soon emerge as the first State in the country to manufacture helicopters as the Tata Advanced Systems Ltd., (TASL) is firming up plans to manufacture helicopters at the Aerospace and Precision Engineering Special Economic Zone (SEZ) in Adibatla.

The company is expected to pump in about Rs 10,000 crore for the proposed project in the next 3-4 years.

TASL, in a joint venture with Sikorsky Aircraft Manufacturing, the helicopter manufacturing division of Hanford- based United Technologies Corp, has already set up a facility to manufacture helicopter cabins for the S-92 brand helicopters with an investment of over Rs 1,000 crore last July.

The first cabin from the manufacturing line, would be launched on November 7 and would be exported to the Sikorsky’s assembly unit in the US for further assembling on November 23.

“Apart from shifting helicopter cabin manufacturing from Japan to Adibatla, the company is also considering shifting its entire helicopter manufacturing line to AP. This will be done gradually in phases over the next 3-4 years,” B P Acharya, IAS, Principal Secretary, Department of Industries & Commerce & CIP, Government of AP told Express.

According to Acharya, the setting up of a full-fledged helicopter manufacturing facility in the State will give a fillip to high-end aerospace manufacturing activities in the country besides generating employment.

The State government has allotted 90 acres for the cabin manufacturing facility -- which is also the country’s first -- that will manufacture cabins for S-92 helicopters - a four-bladed twin-engine medium lift helicopter.

Sikorsky produced over 100 cabins in Japan and expressed willingness to shift the process to AP considering the skilled talent pool, logistics and economical benefits.

The helicopters perform search and rescue missions, transport oil workers to offshore platforms and military personnel for disaster recovery operations.

Tata to Centralize Aerospace Business in Hyderabad
HYDERABAD - Indian corporate major Tata Group has decided to centralize its aerospace and defense business in Hyderabad, capital of Andhra Pradesh considering the investment-friendly atmosphere, modern infrastructure, airport and other facilities here.

Tata Group Chairman Ratan Tata made an announcement in this regard Nov 4 while unveiling the first Sikorsky S-92 helicopter cabin manufactured in a facility here set by Tata Advance Systems and Sikorsky Aircraft Corp of USA.

“The Tata Group has decided that all its aerospace and defense will in fact be centered in Hyderabad in Andhra Pradesh. This is going to enthuse the private sector in defense and strategic areas-one of the larger new areas of Endeavor of Tata Group,” he said here.

The Andhra Pradesh government had allotted 50 acre land for the Indo-American collaborative project ‘Tata-Sikorsky’ in the country’s first aerospace SEZ to be set up at APIIC Aerospace and Precision Engineering SEZ.

An estimated investment of Rs 1,000 crore is expected to be pumped in to the JV, sources said.

Similarly, a joint venture between Tata Group and AgustaWestland of Italy is said to be considering setting up a helicopter manufacturing unit at GMR Group’s aviation special economic zone (SEZ) at the Rajiv Gandhi International Airport in Hyderabad.

Andhra Pradesh Chief Minister K Rosaiah, who announced the launch of chopper cabin, invited the Tata Group to make more investments in the state.

Bengal loses mega project to Andhra

The manufacturing industry in West Bengal suffered a jolt on Thursday with the Nagpur-based Abhijeet Group announcing that it was moving out of the state.

The Rs 15,000 crore group has shifted its proposed Ferro alloy project from Haldia, some 128 km from Kolkata, to Andhra Pradesh as it has not been able to get hold of land two years after kick-off.

Andhra Pradesh, on the other hand, took only a month to allot them land. Abhijeet Group has already started construction at the new location.

The CEO of Haldia Development Authority (HDA), Sharad Dwivedi, however, said he was not aware of this development.Two years ago, the Tatas had walked out of Singur because of land problems. Even the Bhushan Steel project near Asansol has run into land acquisition problems.

Abhijeet Group had planned a 1.15 million tonne ferro alloy project in Haldia with an investment of over Rs 550 crore. It could have generated 1,000 jobs, which is now going to Andhra Pradesh.

In 2009, the firm approached the Andhra Pradesh government for land as the project was getting nowhere in Haldia.

"Annoyed with the delay the group started negotiating with other states. Andhra was quick to give the land, resulting in the relocation of the project to the Special Economic Zone (SEZ), Atchutapuram, Vizag, under the banner of Abhijeet FerroTech," a source said. The then AP chief minister K Rosiah was present at the stone laying ceremony earlier this year.

Company sources say the group could become the largest ferro alloy producer of the country, once Abhijeet Ferrotech, which is setting up a facility in Visakhapatnam, starts commercial operation. The raw materials, ore and coke, will be imported from South Africa, Australia and South America and the finished alloys will be primarily exported to European and South East Asian Markets.

Courtesy: Digital Globe
Image Date: 10 JAN 2011

http://img337.imageshack.us/img337/8270/sricity.jpg

Andhra SEZ exports likely to double to Rs 11,200 cr

Special Economic Zones (SEZs) in Andhra Pradesh are expected to witness a two-fold jump in exports to Rs 11,200 crore in the current fiscal on the back of increasing demand in Western markets.

The jump in exports is mainly attributed to a surge in IT exports from these zones. However, while the IT sector currently accounts for the bulk of overseas shipments from these zones, the share of manufactured goods in overall exports is likely to increase to 70% in the next two-three years.

"Today, IT sector is dominating the overall exports from Andhra Pradesh SEZs, but in the coming two-three years, exports from non-IT or manufacturing will be more than the information technology segment," Visakhapatnam SEZ Development Commissioner M S Rao said.
Of the total Rs 8,029 crore worth of exports registered during April-December, 2010-11, more than 50% was contributed by the IT sector.

"Exports from manufacturing sector SEZs like Dr Reddy's, Brandix, Apache Footwear and Sri City are expected to increase, which will push the overall figure," Rao said.

In 2009-10, the shipments were worth Rs 5,554 crore. Of this, the share of IT and electronic hardware exports from the Vishakhapatnam SEZ was Rs 2,726 crore.

The government has approved 109 tax free enclaves in Andhra Pradesh. Of this, 31 SEZs with 311 units were operational as of December, 2010.

Andhra Pradesh has the highest number of SEZs in the country. Out of 74 SEZs notified in the state, 44 belong to the IT sector and the remaining from areas like textiles, pharmaceuticals, biotechnology, gems and jewellery and food processing.

Till date, SEZs in the zone have attracted a cumulative investment of Rs 13,113 crore, including FDI worth Rs 2,478 crore.

In recent years, SEZs have emerged as a prominent contributor to the country's overall exports, which amounted to $180 billion last fiscal.

Under the SEZ Act, units in these zones enjoy 100% tax exemption on their income during the first five years of operation and 50% in the next five years.

Royal Enfield Plans a New Production Facility in Andhra Pradesh

Just the last day we released an article wherein Royal Enfield was struggling to supply the required amount of motorcycles to the consumers. Guess what, Royal Enfield is now planning a new production capacity in the state of Andhra Pradesh. If this production unit is started early, people may expect to get their bikes faster.

The motorcycle manufacturer is taking every step to get this plant set up at Andhra Pradesh quickly. The documents and the project is still in review with the A.P government. The talks with the A.P government are on. However, the incentives that the company’s going to get are still unknown.

Enfield is planning to set up their new production capacity in Sri City. Sri City is located in Satyavedu in Chittoor district located in A.P and is one of the new SEZ in the states. Needless to say that Enfield will get certain incentives if they set up their production capacity in SEZ. Royal Enfield is planning to carry out two phased operations wherein in the first phase the production capacity will be bought up to 1.5 lakh units per annum with a total investments of 150 crore. On the contrary, the second phase will begin after two years wherein the company will enhance the production capacity by another 1 lakh unit with investments of 100 crores. All in all, Royal Enfield will spend a total sum of 250 crores spread in to two phases.

This new capacity is a necessity for the Royal Enfield group as the company is under supply blues. The group has not been able to produce enough motorcycles and the demand-supply sync is lapsed. They currently have only one plant in Chennai with a production capacity of 39,000 units per annum. The company is also planning to invest 70 Crores for new tools and product development. One can hope to see new products from the group once this new facility at A.P comes up. We can only wait for the new plant capacity to come up and see if they also roll out new products or not.

Projects worth Rs 25,000cr get clearance from panel

Projects worth Rs 25,000 crore were cleared on Thursday by the State Investment Promotion Committee.
What makes these projects important is that they are bound to materialise as the companies have already begun the process of setting up units like applying for land and licences.

The SPIC met under the chairmanship of the chief secretary, Mr S.V. Prasad, and cleared the proposals which will be put up for final approval to the State Investment Promotion Board (SIPB) headed by the Chief Minister, Mr N. Kiran Kumar Reddy. The SIPB, besides granting permission, will also approve various incentives envisaged in the industrial policy.

The investment proposals included a Rs 300-crore unit to manufacture Enfield motorcycles in Sri City in Chittoor and a Rs 300-crore facility to manufacture tractors by Mahindra and Mahindra in Zaheerabad in Medak district.
Cement majors like JP, Dalmia, Jindal, Ultra Tech and KCP have got clearance to set up new plants in different locations while six new vegetable oil mills will come up in the Krishnapatnam Port area in Nellore district.

A ferroalloy unit in Visakhapatnam and two medium-sized steel plants were also approved, according to the principal secretary, Industries, Mr B. Sambob.

no SEZ in districts like Adilabad,Nizamabad,warangal?

there seeems to be no SEZs of Industrial development these districts



full buzz is around Hyderabad , vizag <---> rajamundry coridor, vijayawad guntur........nellore and rayala seema...

no SEZ in districts like Adilabad,Nizamabad,warangal?

there seeems to be no SEZs of Industrial development these districts



full buzz is around Hyderabad , vizag <---> rajamundry coridor, vijayawad guntur........nellore and rayala seema...


Can you please provide a list of the SEZs that are near vijayawada and guntur?

Can you please provide a list of the SEZs that are near vijayawada and guntur?


below is the list just taken from this thread itself:--

-->40 Exporters to set up units at Spices Park in Guntur
--?Space sanctioned to IT companies coming up at L&T Hitech City in Vijayawada.

-->New IT policy of AP to focus on small, medium units


The five-year IT Policy (2010-15) of Andhra Pradesh has announced a special thrust on start-ups, small and medium enterprises (SMEs), product and research and development companies. It has also decided to give more incentives to the companies planning to set up shop in the tier-II cities of Visakhapatnam, Vijayawada, Tirupati, Kakinada and Warangal.

-->Rosaiah lays stone for Apache shoe factory at Guntur

-->Ministry okays Rs 1,54,512-crore investment proposal in 3 Petroleum, Chemicals and Petrochemicals Investment Region (PCPIR)

http://www.blonnet.com/2010/08/06/st...0653081900.htm
-->Guntur to be textile capital of the state


for the above what i mentioned, just follow 1 and 2 page of this thread...

I am not here to argue, i just wanted to know is there any SEZs declared other parts of the state like nizamabad,adilabad, kareemnagar, khammam..
..why govt is neglecting these parts.........

sheer nelect and nothing else. just go to APIIC www.apiic.in, look at the projects and you see the difference.
if you take away projects from hyd theres nothing else coming in the region.i just dont understand why govt doesnt encourage project in those places like adilabad.


below is the list just taken from this thread itself:--

-->40 Exporters to set up units at Spices Park in Guntur
--?Space sanctioned to IT companies coming up at L&T Hitech City in Vijayawada.

-->New IT policy of AP to focus on small, medium units


The five-year IT Policy (2010-15) of Andhra Pradesh has announced a special thrust on start-ups, small and medium enterprises (SMEs), product and research and development companies. It has also decided to give more incentives to the companies planning to set up shop in the tier-II cities of Visakhapatnam, Vijayawada, Tirupati, Kakinada and Warangal.

-->Rosaiah lays stone for Apache shoe factory at Guntur

-->Ministry okays Rs 1,54,512-crore investment proposal in 3 Petroleum, Chemicals and Petrochemicals Investment Region (PCPIR)

http://www.blonnet.com/2010/08/06/st...0653081900.htm
-->Guntur to be textile capital of the state


for the above what i mentioned, just follow 1 and 2 page of this thread...

I am not here to argue, i just wanted to know is there any SEZs declared other parts of the state like nizamabad,adilabad, kareemnagar, khammam..
..why govt is neglecting these parts.........

full buzz is around Hyderabad , vizag <---> rajamundry coridor, vijayawad guntur........nellore and rayala seema...

Hi the main reason for SEZ in Hyderabad it is the Captial of State and also it is the IT hub of andhra pradesh.

SEZS are mainly set up in consideration with Connectivity like AIR,ROAD and Sea Port.

hyd has Good Connectivity with road and air with entire state,country and as well internationally.
Vizag and Rajamundry are maily because of the road and Seaport Connectivity with nearly 3 major ports are in between these two cities these sezs are based on Trade and business and same things are vijayawad guntur........nellore(Krishnapatnam Port) where it is close to Sea ports.

Rayalaseema is due to following factors like Chittore is very near to Nellore with krishnapatnam port and also with Chennai.
Ananthpur is very close to Banglore IntAirport.

^^ But other regions in 'T' also have their own advantages.. For eg. Warangal is at the focal point of diversion of North-South Railway traffic.. Its after Warangal that lines from North split between Hyderabad/Bangalore and Chennai.. It is also a big cotton producing center..

I'm sure with Hyd-Warangal 4-laning work in progress it would lead to more employment generation there..

^^

If we see Medak,Rangareddy districts are having more SEZs as they are very close to HYD and even nalgonda is also getting IT sezs.

After the Expansion of the NH-9 then HYD-Nalgonda and Vijayawada Corridor will be good place for Investments as NH-9 connecting ORR and RGIA is the important factor in it.

Investments along Hyd-Vijayawada(267 Kms) is a given.

Considering the distance btw Hyd and Warangal(About 140 Kms) it has the potential with a little nudge from the Govt.. The present IT minister is from Warangal..

IMHO Just my views..

.
I'm sure with Hyd-Warangal 4-laning work in progress it would lead to more employment generation there..

who told u that the work is in progress,could u provide the source.am certainly not aware of that.

who told u that the work is in progress,could u provide the source.am certainly not aware of that.

Sorry my mistake..It turns out that it is being 4 laned till Yadagirgutta and the rest of the stretch is waiting for NHAI approval(DPR being prepared)..

I had seen the work on the initial stretch and there were some carriage way improvement works being done on the rest of the stretch so i thought it was being 4 laned all through..

http://timesofindia.indiatimes.com/city/hyderabad/AP-has-the-most-number-of-SEZs-Scindia/articleshow/7722625.cms

AP has the most number of SEZs: Scindia
TNN | Mar 17, 2011, 12.00am IST

HYDERABAD: Andhra Pradesh tops the list of functional Special Economic Zones (SEZs) in the country. This was stated by Union minister of state for commerce and industry Jyotiraditya Scindia in the Rajya Sabha on Wednesday in reply to a query posed by independent member Parimal Nathwani.

AP has 32 operational SEZs, followed by Tamil Nadu (22) and Karnataka (20) of the 130 SEZs in the country whose collective exports stand at Rs 2.2 lakh crore. Scindia said the total physical exports from the SEZs in the first three quarters of the current financial year 2010-11 was to the tune of Rs 2,23,132 crore.

This indicates a growth of 46.7 per cent over the exports of corresponding period of the previous financial year. The minister also stated that the investments in the SEZs were to the tune of Rs 1.95 lakh crore, while over six lakh people were employed in these SEZs.

In reply to the Nathwani's question, the minister said five states __ AP, TN, Karnataka, Maharashtra and Gujarat __ alone account for 103 SEZs of the total 130 in the country. Gujarat, which houses RIL's SEZ refinery at the world's largest refinery complex in Jamnagar, has 13 functional SEZs. Maharashtra has 16 SEZs.
:cheers:

http://timesofindia.indiatimes.com/city/hyderabad/AP-has-the-most-number-of-SEZs-Scindia/articleshow/7722625.cms

AP has the most number of SEZs: Scindia
TNN | Mar 17, 2011, 12.00am IST

HYDERABAD: Andhra Pradesh tops the list of functional Special Economic Zones (SEZs) in the country. This was stated by Union minister of state for commerce and industry Jyotiraditya Scindia in the Rajya Sabha on Wednesday in reply to a query posed by independent member Parimal Nathwani.

AP has 32 operational SEZs, followed by Tamil Nadu (22) and Karnataka (20) of the 130 SEZs in the country whose collective exports stand at Rs 2.2 lakh crore. Scindia said the total physical exports from the SEZs in the first three quarters of the current financial year 2010-11 was to the tune of Rs 2,23,132 crore.

This indicates a growth of 46.7 per cent over the exports of corresponding period of the previous financial year. The minister also stated that the investments in the SEZs were to the tune of Rs 1.95 lakh crore, while over six lakh people were employed in these SEZs.

In reply to the Nathwani's question, the minister said five states __ AP, TN, Karnataka, Maharashtra and Gujarat __ alone account for 103 SEZs of the total 130 in the country. Gujarat, which houses RIL's SEZ refinery at the world's largest refinery complex in Jamnagar, has 13 functional SEZs. Maharashtra has 16 SEZs.
:cheers:

Credit should probably go to the late YSR's hard lobbying to get SEZs in AP. I suppose this his positive accomplishments.

Solarsis-Abound venture mulls solar PV plant at Sri City SEZ

Solar Integration Systems India Private Limited (Solarsis), a Hyderabad-based company that offers ‘concept-to-completion’ services for grid-connected and off-grid systems using solar photovoltaic (PV) technology, is looking at the possibility of forming a joint venture (JV) with US-based Abound Solar for setting up a cadmium telluride thin-film PV solar modules manufacturing facility at one of its group companies — Sri City — a special economic zone (SEZ) at Tada in Nellore district of Andhra Pradesh, the southern border abutting the neighbouring Tamil Nadu.

“We are now making our second plant at Indiana in the US and our intention is to make facilities elsewhere. India is certainly one market, which we are interested in. The Indian market looks very strong and is a good place to put up a facility…certainly the Indian manufacturing plant’s plans will take shape in the next two to three years,” Julian Hawkins, senior vice-president (sales and marketing) o0f Abound Solar, told Business Standard.

Confirming the development, Solarsis chief executive of active investor Srini Raju-promoted Solarsis, Venkat Rajaraman, said Abound officials visited the Sri City SEZ recently and had discussions with them in this regard.

“We are working out the modalities, including the investments, shareholding pattern and the production capacities,” Rajaraman said.

“There is a lot of demand for local equipment and we expect the National Solar Mission to make it mandatory to use thin-film PV modules in building solar power plants in the country by next year. Discussions with Abound Solar are under way and a possible development on this front – from the current drawing board stage to reality – will crystalise sometime early next calendar year,” he added.

Abound Solar, based out of Colorado in the US, recently closed on a $400-million loan guarantee from the US Department of Energy (DoE) to fund the expansion of the company’s manufacturing capacity and help cater to the demand for its products in emerging markets such as India.

“Our second plant at Tipton in Indiana is under construction and our plan is to take our total manufacturing capacity to 840 Mw — 200 Mw at Colorado and 640 Mw at Indiana — by 2014,” Hawkins said.

Solarsis and Abound today entered into a long-term sales agreement under which the latter would supply cadmium telluride thin-film PV modules and both the companies would together provide solutions based on Abound’s next-generation modules serving project developers in the Indian market.

“The National Solar Mission envisages generating 800 Mw of solar power between this year and the next and 4,000 Mw in the next four years. Our idea is to garner a major chunk (500 Mw) of that. We expect to execute 10 per cent of the planned 500 Mw using Abound’s technology in two years from now,” Rajaraman said

Stating that the company had recently commissioned a 2-Mw solar power plant at Tada in Nellore district, he said the company was implementing one 1-Mw project at Kadiri in Anantpur district of Andhra Pradesh under the Indian Renewable Energy Development Agency (IREDA) programme, which was scheduled to be completed by September this year.

“The Kadiri project is the first to use Abound’s cadmium telluride thin-film PV technology in India,” he said, adding Solarsis earned revenues of Rs 21 crore last fiscal and was expecting Rs 75 crore this fiscal and Rs 250 crore in the next two years.

New IT policy to promote Tier-2 cities in AP

The government of Andhra Pradesh is going to come up with a policy with additional incentives to support the IT and ITeS industries in Tier-II cities of the state.

Chief minister Kiran Kumar Reddy emphasised the creation of job opportunities for the local people in the Tier-II and Tier-III cities.

The govt has also proposed to develop an animation and gaming special economic zone (SEZ). “Lot of animation companies have shown interest in setting up their shops in the state, so we are working towards this to develop the SEZ,” Reddy said.

The government would come up with a new policy within a month, to help IT and industries on the land issues. The policy would be transparent and would be beneficial for the industries, he said. The state IT department has created 250,000 direct employment and around 10 lakh indirect employment in the state.

On the imposition of 18 per cent MAT (Minimum Alternate Tax) in the recent budget, Reddy said the state government would discuss the issue and write to the central government. The demand for the office space would go up to 20 million sft from the current 6 million sft in the next four years.

The ITdepartment in association with Cushman and Wakefield, a real estate consultancy, has released a special report on the ICT industry in AP at the annual IT industry awards programme.

C&W conducted the study on Hyderabad and various Tier-II cities in the state including Visakhapatnam, Vijayawada, Tirupati, Kakinada and Warangal.

The report would list the advantage each of these cities offers the potential investors in terms of IT infrastructure, talent pool, social amenities, government support and growth potential.

Kobelco sets up mfg plant at Sri City SEZ

http://www.business-standard.com/india/news/kobelco-setsmfg-plant-at-sri-city/432254/

Company will invest Rs 100 crore over the next three-four years

Kobelco Construction Machinery Company Limited, a group company of Japan’s Kobe Steel Limited, today inaugurated its first manufacturing plant in India in Andhra Pradesh.

Built on an area of 68,000 sqm, the plant is located at Sri City, a private industrial park featuring a multi-product special economic zone and a free trade and warehousing zone, about 55 km north of Chennai.

The facility will have assembly, painting and shipping lines to produce hydraulic excavators. It will initially produce machines of 20-tonne class with an initial capacity of 1,200 units per year.

“Kobelco expects to grow rapidly with initiation of local manufacturing. The total investment will be about Rs 100 crore over a period of about 3-4 years,” Vikram Sharma, managing director & CEO of the Indian operations said.

The plant will be a part of the existing Kobelco Construction Equipment India Private Limited (KCEI), a joint venture between Kobelco and the Itochu Group with the former holding 95 per cent equity. KCEI currently markets and services Kobelco brand excavators from its headquarters in Noida, according to a press release.

Inaugurating the plant, Shigeto Kotani, president, Kobelco Construction Machinery, Japan, said, “ Kobelco realised that increasing its presence in the steadily growing Asian region is vital for its growth. This led to the decision to build a plant in the Indian market. The construction machinery market is a global business and the Indian market has a huge potential after China in the growing Asian region.”

State industries department principal secretary Sam Bob invited Japanese investors to the state to set up their manufacturing operations.

Kobelco, a member of the $2.8-billion Kobe Steel Group, has plants at six locations in Japan, China, Thailand, US, Italy and the newly-set up one here.

Sorry for the late reply

well except port, other areas near by hyderabad are very well connected
...
for example take the cities like nizmabad, karimnagar, warangal.. which are already well buit cities..

As u said that Ananthapur is near to bangalore airport(for ur info ananthapur is 190km approx from Bangalore) if we take the same concept

nizamabad is 180 km from hyderabad its very well connected with NH 7 already 4 laned except small streach which is in progress

if u take karimnagar it is 160km approx (karimnagar dist has major number of towns) from hyd and its a coal belt which was already industrialised long back so and one of the major Educational hub in the state

Warangal: which is old city is 150 km from hyd... I think i don't need to mention about this city , which was 4th biggest city in state (after hyd, vizag and vijayawada) is sheer neglecteed

karnool is 210 km from hyderabad.........

why did the proposal (nzb,warangal, kakinada corrider)which was earlier made by YSR(correctr me if iam wrong) was not at all heard now.............

why there is no proposal for HYD vijayawada corrider which will boost and will develop the backward areas in nalagonda and mahabubnagar

Hi the main reason for SEZ in Hyderabad it is the Captial of State and also it is the IT hub of andhra pradesh.

SEZS are mainly set up in consideration with Connectivity like AIR,ROAD and Sea Port.

hyd has Good Connectivity with road and air with entire state,country and as well internationally.
Vizag and Rajamundry are maily because of the road and Seaport Connectivity with nearly 3 major ports are in between these two cities these sezs are based on Trade and business and same things are vijayawad guntur........nellore(Krishnapatnam Port) where it is close to Sea ports.

Rayalaseema is due to following factors like Chittore is very near to Nellore with krishnapatnam port and also with Chennai.
Ananthpur is very close to Banglore IntAirport.




Sorry for the late reply

well except port, other areas near by hyderabad are very well connected
...
for example take the cities like nizmabad, karimnagar, warangal.. which are already well buit cities..

As u said that Ananthapur is near to bangalore airport(for ur info ananthapur is 190km approx from Bangalore) if we take the same concept

nizamabad is 180 km from hyderabad its very well connected with NH 7 already 4 laned except small streach which is in progress

if u take karimnagar it is 160km approx (karimnagar dist has major number of towns) from hyd and its a coal belt which was already industrialised long back so and one of the major Educational hub in the state

Warangal: which is old city is 150 km from hyd... I think i don't need to mention about this city , which was 4th biggest city in state (after hyd, vizag and vijayawada) is sheer neglecteed

why did the proposal (nzb,warangal, kakinada corrider)which was earlier made by YSR(correctr me if iam wrong) was not at all heard now.............

Sorry for the late reply
well except port, other areas near by hyderabad are very well connected
...
for example take the cities like nizmabad, karimnagar, warangal.. which are already well buit cities..
As u said that Ananthapur is near to bangalore airport(for ur info ananthapur is 190km approx from Bangalore) if we take the same concept
nizamabad is 180 km from hyderabad its very well connected with NH 7 already 4 laned except small streach which is in progress

if u take karimnagar it is 160km approx (karimnagar dist has major number of towns) from hyd and its a coal belt which was already industrialised long back so and one of the major Educational hub in the state

Warangal: which is old city is 150 km from hyd... I think i don't need to mention about this city , which was 4th biggest city in state (after hyd, vizag and vijayawada) is sheer neglecteed

why did the proposal (nzb,warangal, kakinada corrider)which was earlier made by YSR(correctr me if iam wrong) was not at all heard now.............
Hi Thanks for the info.
Ananthapur district is getting SEZ at the border of the Andhra Karnatake which is near to Banglore INT Airport.
For your information Warangal is not getting Neglected as now it is getting is place in IT market.As number of IT Companies are getting increased in the city.Here we have to consider the AIR connectivity factor with HYD INt Airport.

Vizag has more companies in Petro Chemical,Fertilizers,Steel etc..... which are based on Trade with two Major Ports Located in City.
PCPIR also considered with Connectivity of Kakinada and Vizag Ports.
Vizag has suffered a lot in Development of IT sector because of no International Airport.

Nalagonda is now developing as IT hub as more IT projects are coming up at Border of HYD and Nalgonda.Same Ranga Reddy also has teh same development.

But other districts are getting only companies which are depending on ports not on Airport.
Here we have to see the Connectivity factor.

Hi Thanks for the info.
Ananthapur district is getting SEZ at the border of the Andhra Karnatake which is near to Banglore INT Airport.
For your information Warangal is not getting Neglected as now it is getting is place in IT market.As number of IT Companies are getting increased in the city.Here we have to consider the AIR connectivity factor with HYD INt Airport.

Vizag has more companies in Petro Chemical,Fertilizers,Steel etc..... which are based on Trade with two Major Ports Located in City.
PCPIR also considered with Connectivity of Kakinada and Vizag Ports.
Vizag has suffered a lot in Development of IT sector because of no International Airport.

Nalagonda is now developing as IT hub as more IT projects are coming up at Border of HYD and Nalgonda.Same Ranga Reddy also has teh same development.

But other districts are getting only companies which are depending on ports not on Airport.
Here we have to see the Connectivity factor.

I am once again saying Ananthapur is apptox 200km

nzb is 180km(NH7 there is good connectivity), karimnagar is 160km (it has rajiv rahadhari) more over karimnagar is industrialized area long back itself

leave a side HMDA(which include some parts of nalagonda,medak, rangareddy)

and what about others

u said warangal is not neglected... warangal is bigger city than guntur but as per projext concerned its lagging..............

There is no development in rayalaseema but just looting of its resources such as mines and land. The people are economically poorer than telangana (not including hyderabad). ON the other hand there is real prosperity in telangana regions especially the districts around hyd where all sorts of people have seen tremendous growth in their land values.

THe BC's and SC's and tribes such as lambadas have benefitted hugely which resulted in a velama and reddy dora backlash in the form of separate telangana movement.

I am once again saying Ananthapur is apptox 200km

Hi Could please read by sentence.
Ananthapur district is getting SEZ at the border of the Andhra Karnatake which is near to Banglore INT Airport.

You are saying about the distance from the District to Bangalore but i am saying the border part so there is something which you are missing.

You are saying warangel is getting neglected from your point of what should be there in Wrangel and Rest of the districts which will make them developed.

leave a side HMDA(which include some parts of nalagonda,medak, rangareddy)

How can we leave them as they are also part of the district in the same way if a sez comes in guntur nellore or some other district then we cannot say that whole district has got developed.

In the same way if INT Airport is Constructed in HYD will not mean that entire state got good connectivity with the rest of the world.

Chill Guys.. Every location has its own advantages/disadvantages.. There is Lepakshi Aerospace SEZ in Anantpur near the border..

It is also true that Telangana districts other than those around Hyd have potential.. The reasons are varied but being affected by naxalism till recently hasnt helped them. But with naxalism finding little support and the more focus on these districts bcos of T-Agitations things are finally looking good for them.

Warangal is the point where all rail traffic from North India/Delhi gets distributed to other South Indian cities.. Moreover closure of Asaf Jahi Mills(By privatisation during TDP rule) has severely hurt industrial growth of that city.. Setting up of Wagon/Coach factory at Kazipet would have done a lot for industrialization there.. There was a Garments SEZ proposed by Brandix which got axed bcos of recession.. It has the potential to be an industrial hub with NIT,Warangal(regularly ranked among top 10 engg colleges) and Kakatiya University..

In the same way if INT Airport is Constructed in HYD will not mean that entire state got good connectivity with the rest of the world.

U are right about entire state not getting connectivity.. But Shamshabad airport is good enough for international connectivity for Vijayawada, Guntur, Kurnool, Most of Telangana towns etc..(Radius of 250-300 Kms) with good road connectivity.. (Travel time of around 3-4 hours)... While BIAL and Chennai Intl airports are good for south coastal cities and Rayalseema dist. It'll be evenmore faster if the proposed high speed link from Hyd-Vijayawad materialises.

Need of the hour is more domestic flights from Vizag,Rajahmundry and if possible from Kakinada to connect them.. Whenever there is sufficient demand intenational operation will start from Vizag because there is a huge lacunae in international connectivty from North Coartal Andhra Dist.

There is no development in rayalaseema but just looting of its resources such as mines and land. The people are economically poorer than telangana (not including hyderabad)

There might be no visible development in Rayalaseema but highest per capita GOVT spending is on Rayalaseema Districts and this has been since a very long time

thanks to our inefficient govt oddessey science city is stalled

..The government is hopeful of a revival of industrial investments in Andhra Pradesh with several manufacturing units coming forward to set up their facility in different parts of the state.

The Andhra Pradesh Industrial Infrastructure Corporation (APIIC) has cleared land allotment to several companies proposing an investment of Rs 3,500 crore.

The state-level allotment committee met here and approved allotment of 100 acres to KPR Chemicals in East Godavari for setting up chemical and pesticide unit with investment of Rs 1,000 crore.

Sri City, a multi-product SEZ in Chittoor got 222 acres, which in turn will allot it to rail coach manufacturing major Alstorm and other companies which proposed an investment of Rs 750 crore.

Nova Integrated System will be given 75 acres in Nadurgul on the city outskirts for an aerospace facility worth Rs 337 crore.

The Vaishnovi Infratech SPV is allotted 130 acres in Ibrahimpatnam for setting up a textile park. Stemcor Steels was given 55 acres for the `500 crore facility in Anantapur district.

The APIIC managing director, Mr B.R. Meena, told this newspaper that the allotment committee scope had also been extended by roping in representatives from agencies like Pollution Control Board.
.http://www.deccanchronicle.com/channels/cities/hyderabad/apiic-clears-land-several-firms-222

GMR speeds up work on Rs 26,000-cr Kakinada SEZ
http://www.business-standard.com/india/news/gmr-speedsworkrs-26000-cr-kakinada-sez/441136/

Bangalore-based infrastructure firm GMR is fast-tracking its proposed special economic zone (SEZ) in Kakinada, Andhra Pradesh. It has initiated talks with possible anchor tenants for the multi-product, port-based SEZ, and will kick-start work on the physical infrastructure like roads, water and port connectivity in the next few months. The estimated investment potential into the SEZ by various companies is in the range of Rs 6,000-30,000 crore.

“We have already acquired all of the 10,000 acre land required for the SEZ. We will be investing Rs 3,000-4,000 crore in developing the SEZ,” said CEO S G K Kishore. GMR expects to spend around Rs 2,000 crore for developing and operating the port.

GMR is currently meeting domestic and international companies interested in setting up shops. The infrastructure major also said it was close to finishing the design, master planning of the port.

It also proposes to set up a liquefied natural gas (LNG) terminal within the SEZ, for which it plans to rope in interested equity investors.

Among the projects envisaged in the SEZ are refinery projects, petrochemical units, ports and possibly an LNG terminal. Kakinada, which is strategically close to the natural gas belt in the Krishna-Godavari basin, is also close to a number of gas-based power projects coming up in the area. GMR itself has a natural gas-based 388.5-megawatt (Mw) project in Vemagiri, which it is expanding by 768 Mw.

GAIL proposes naphtha cracker plant in PCPIR

http://www.business-standard.com/india/news/gail-proposes-naphtha-cracker-plant-in-pcpir/441087/
Gas Authority of India Limited (GAIL) has proposed to set up a naphtha cracker plant in the Petroleum Chemicals and Petrochemicals Investment Region (PCPIR) coming up on the Andhra seacoast.

Citing the intent of GAIL and its subsequent negotiations with the Andhra Pradesh Industrial Infrastructure Corporation (APIIC) regarding the proposed plant, chief minister N Kiran Kumar Reddy requested Union Petroleum Minister S Jaipal Reddy to issue directions for the expeditious execution of the project.

“The project was discussed at length by the team of senior officials of the state government with the representatives of GAIL. APIIC is working closely with the the organisation for creating the required infrastructure for the project. This project is crucial for the development of the PCPIR and will make it a hub for the entire east coast in the country,” the chief minister said in his letter.
He assured the Petroleum Ministry that the state government would extend all support to make it a reality, according to a release from the Chief Minister’s Office.

When contacted, state-owned APGas Infrastructure Corporation (APGIC) officials said GAIL was keen on setting up downstream processing units starting with naphtha cracker plant.

The actual investment and other details of the projects are yet to be finalised, according to the officials.

Source: Businessline

Visakhapatnam, Sept. 21:
Exports from the special economic zones in Andhra Pradesh may be doubled and are likely to exceed Rs 25,000 crore during the current financial year (2011-12), according to Mr M.S Rao, Development Commissioner in charge of SEZs in Andhra Pradesh and Chhattisgarh.
At a press meet here on Wednesday, on the eve of a one-day seminar on SEZs being organised by the Visakhapatnam Special Economic Zone (VSEZ) and Assocham here on Thursday, he said there were currently 33 operational SEZs in Andhra Pradesh and their export performance during the first quarter was very encouraging. Together, the SEZs in the State had exported goods worth Rs 4,170 crore in the first quarter of the current fiscal against Rs 1,860 crore during the corresponding period last year (2010-11).
Exports

“Many new units have started production during the current year and therefore the growth rate of 124 per cent is likely to be sustained throughout the financial year.
"As the total SEZ exports in the State during 2010-11 amounted to Rs 13,336 crore, we are projecting a figure of more than Rs 25,000 crore for the current fiscal. I am sure it is a realistic one,” he said.
Mr M.S Rao said that even though the introduction of MAT (minimum alternative tax) had some what dampened the enthusiasm of the investors, still SEZs in Andhra Pradesh were doing very well.
Best package

“Setting up an export-oriented unit in a special economic zone is still the best bet for an exporter and is the best available package. Therefore, there is no reason for too much despondency even after the withdrawal of some of the tax incentives,” he said.
He said there was only one SEZ in Chhattisgarh and none in Yanam (Puducherry). He was also in charge of those two territories. “We are trying to promote SEZs in Chhattisgarh on the Andhra Pradesh model,” he said.
Mr Vinay R. Sharma, Assocham, said the seminar on Thursday would be useful for investors, entrepreneurs and others. Many experts from different fields would participate and dispel misconceptions about SEZs.

Source: http://www.indiainfoline.com/Markets/News/Infotech-Enterprises-commences-operations-in-new-facility-at-Kakinada-SEZ/5257804167

This facility is an extension of the company’s business strategy to take advantage of SEZs and also foster inclusiveness by locating development centers in Tier- 2 cities.






Infotech Enterprises Limited, a leading Global Engineering Services company, headquartered at Hyderabad, India, commenced operations in its new development centre from its facility at the IT SEZ, Sarpavaram, Kakinada, Andhra Pradesh on 30th Sept. 2011.
This facility is an extension of the company’s business strategy to take advantage of SEZs and also foster inclusiveness by locating development centers in Tier- 2 cities. The first phase of this new development center - 150 seats by end Oct. 2011, would be scaled up to 400 seats by Jan. 2012.
Infotech Enterprises Ltd is the first company in IT SEZ in Kakinada. This is Infotech’s sixth facility in India - two at Hyderabad (Madhapur and Manikonda), one at Bangalore (Electronics City), Noida and Vizag (Rushikonda SEZ IT Park) - and second facility in an SEZ being developed on a five acre campus over a built up area of 1, 00,000 sq ft. having 1000 seats. Infotech proposes to build a high tech facility of global standards with superior IT infrastructure, connectivity and with latest amenities.
B. Ashok Reddy, President Global HR and Corporate Affairs, Infotech Enterprises Limited, formally commencing the operations said, “The first phase has been completed in record time of four months. From 150 seats we would be adding another 250 seats and operating it in two shifts, this 300 people Development Centre would grow to 800 people by January 2012. This is in line with our growth strategy to create facilities in SEZs and in Tier-2 cities. This will enable us provide employment opportunities to the rich engineering talent available from universities in and around Kakinada”.
Infotech commenced operations in Kakinada early in February 2007 from STPI’s incubation center. Today, Infotech has 470 associates between the two locations - the city center and STPI. Over 30% of Infotech employees in Kakinada are women and over 90% are locals from in and around Kakinada. The development centres at Kakinada largely caters to Infotech’s Oil and Gas customers around the world.

Infotech Enterprises commences operations in new facility at Kakinada SEZ

Good News. Infotech is focusing on Tier II and providing employment in Tier II will stop Migration of IT people to Tier I and to HYD and it will also helps in the development of Tier II cities in the state.

Good News. Infotech is focusing on Tier II and providing employment in Tier II will stop Migration of IT people to Tier I and to HYD and it will also helps in the development of Tier II cities in the state.

Totally agree with you there

Infrastructure, SEZs are AP's growth drivers

The Andhra Pradesh Government has set an ambitious growth target of 10 per cent during the Twelfth Plan with industry projected to log 10.5 per cent growth, agriculture 6 per cent and services 11.5 per cent.

One of the key drivers for such an ambitious growth rate is the new industrial policy 2010-15, which seeks to aggressively attract new industries into the State, apart from special economic zones. The State has bagged more than 75 SEZs, awarded by the Centre — a fourth of the number of such Zones awarded thus far.

Andhra Pradesh continues to be a leading investment destination with attractive infrastructure. Yet the potential is not fully harnessed due to concerns of the ongoing agitation and difficulty in implementing some of the projects due to local issues, including land acquisition.

A number of initiatives have been taken up to develop infrastructure, spanning a strong network of roads, airports and ports and industrial estates through public private participation mode.

Apart from infrastructure, the State's resources and long coastline are attracting investments in mineral resources such as coal, limestone and granite. This has meant growth of the manufacturing sector — cement, paper, granite, pharma and bulk drugs, textile and aerospace industries, among others.

Some of the major projects coming up in the State include NTPC-BHEL power equipment venture near Tirupati and the recent announcement of a Rs 12,000-crore refinery project of Amerind.

The Krishna-Godavari gas basin has created a number of downstream industries. With the expectation of ONGC and GSPC and others taking up production, the Centre has approved the setting up of the petrochemical, chemical and petrochemical investment region (PCPIR) spread across 600 sq. km between Visakhapatnam and Kakinada.

The State is seeking liberal financial assistance from the Centre to develop the PCPIR region.

SPECIAL ECONOMIC ZONES

The industrial promotion policy envisages employment of five lakh per year, to achieve growth of 17 per cent in the manufacturing sector. With AP accounting for 75 SEZs, the highest in the country, this is seen as a major growth engine for the State. Thus far, 27 of them are operational, providing employment to 1.4 lakh people.

AP SEZs are expected to attract investment of Rs15,000 crore and exports are poised to go up as more of them are established. These SEZs registered exports of Rs 13,000 crore during 2010-11 and exports are expected to double during the current financial year.

Apart from attracting investment and helping create modern infrastructure, these SEZs provided direct employment apart from creating back up services, thereby providing indirect employment.

Andhra Pradesh has five multi-product SEZs at Visakhapatnam, Kakinada, Naidupeta, Nellore and Chittoor. Of these SEZs at Visakhapatnam, Chittoor and Naidupeta have become operational and have begun to attract investments under different categories. Besides the SEZs, Andhra Pradesh has 258 Export Oriented Units (EoUs), which accounted for exports of about Rs. 9,000 crore during 2010-11. These employ nearly 20,000 persons.

HYDERABAD

Hyderabad, a major attraction for investing community, is emerging as one of the attractive destinations for investments, given the infrastructure it is creating. The new international airport and outer ring road projects have been major attractions.

The L&T metro rail project, one of the largest metro projects under the public private partnership, is set to realign the city business by developing commercial infrastructure along three dense corridors that traverse 72 km through the main city.

Ports

With the Visakhapatnam port and other privately owned non-major ports in Andhra Pradesh putting up major expansion plans on their drawing boards, the ports sector is set to play a crucial role in the economic development of the State in the coming years.

India's premier port, Visakhapatnam port, which handles about 65 million tonnes of cargo annually, has already been playing a significant role in fuelling economic growth in the State for the last several decades.

Now a string of non-major ports, led by Gangavaram port, which is India's deepest draft port, Krishnapatnam port and Kakinada port, are becoming important partners of development. The three ports, which at present handle a combined throughput of 40 million tonnes, have also lined up plans to expand their capacities.

Another two ports, Machilipatnam, with a proposed initial capacity of 20 million tonnes and Nizapatnam (15 million tonnes) are in the process of being developed The Andhra Pradesh Government has prepared a perspective development plan in its Vision 2020 document for development of ports, which seeks to enhance the cargo handling capacity of its non-major ports to 173 million tonnes by 2020.

Krishnapatnam port, which has one of the largest waterfront areas (160 sq km) in India, has plans to invest Rs 4,000 crore in a phased manner to add seven berths to its existing 10 multi-purpose berths.

It plans ti become an important coal import centre, with six dedicated coal berths, as 14,000 MW of installed capacity exists within a 10-km radius.

And proposed power projects in its vicinity are expected to require an additional coal of 60 million tonnes. Ports are thus expected to unleash a fresh burst of economic development in Andhra Pradesh.

With attractive infrastructure and a large port network, Andhra Pradesh continues to be a leading investment destination.
Source (http://www.thehindubusinessline.com/todays-paper/tp-others/tp-editorial-feature/article2692968.ece)

APIIC liberal with KSEZ

Source: http://www.deccanchronicle.com/channels/cities/regions/rajahmundry/apiic-liberal-ksez-419

The Andhra Pradesh Industrial Infrastructure Corporation (APIIC) appears to be very liberal and generous to the Kaki-nada special economic zone (KSEZ) authorities.



The Andhra Pradesh Industrial Infrastructure Corporation (APIIC) appears to be very liberal and generous to the Kaki-nada special economic zone (KSEZ) authorities.

The corporation gave 2,095 acres to KSEZ in the name of ‘safe custody’.

According to sources, the APIIC acquired 2,095 acres for the KSEZ in Ko-na at the rate of Rs.3 lakh per acre.

Usually, the APIIC hikes the price while reselling it. But in this case, the APIIC sold the land at the same price, that is, Rs.3 lakh per acre. Sources said that the KSEZ paid Rs.70 crores for the land.

“The APIIC did not register and make over documentation to the KSEZ. It is kept in ‘safe custody’ in the firm,” said the APIIC East Godavari zonal manager, Mr V.S. Rao.

Even though four years have elapsed, not a single industrial unit has come up in the area. Usually in such a situation, the APIIC should take back the land, but it has not issued even a single notice to the KSEZ.

“All these lands are D patta, forest and assigned lands. They should not be handed over to industrial units as the area is under the Coastal Regulatory Zone (CRZ). All rules and regulations have been violated on these lands,” said the Kadali network incharge, Mr K. Rajen-dra. To make matters worse, farmers have not yet received any money.

“KSEZ authorities say that they have paid mon-ey in the court, but it has not reached farmers. The-refore, the corporation should return their lan-ds,” demanded TD leader, Mr Y. Ramakrishundu.

Commerce Secretary all praise for SEZs (http://www.thehindu.com/news/states/tamil-nadu/article3364709.ece)

Union Commerce Secretary Rahul Khullar on Saturday commended the performance of the Special Economic Zones (SEZ) in Tamil Nadu and Andhra Pradesh.

Talking to reporters here, Mr. Khullar said that he had visited some of the SEZs, including Sri City, a private sector integrated business city with Special Economic Zone and Domestic Tarff Zone. “After visiting these zones after a couple of years, I find that they have made remarkable progress.”

Apart from the economic development, the employment generated and the real rates of wages offered had made a huge impact on the quality of life of people. “And that is the test, that is a very big achievement.”

He pointed out that it was the SEZs in Andhra Pradesh, Tamil Nadu, Karnataka, Maharashtra and Gujarat that had contributed 80 per cent ….. “These are some States that have done better than others.”

To a question, he admitted that the growth rates in the performance of SEZs, which were in the range of even 80 to 100 per cent five to six years ago, had now decelerated. The major reasons for the earlier growth were the enormous demands, both external and internal, and the establishment of giant units such as petroleum refineries. They led to a spurt in growth.

The current deceleration was because of the much slower demand, uncertainty in tax laws and no major units coming up. “Thus, the gigantic push earlier received is not there.”

Asked about the changes that Commerce Ministry planned to introduce in rules, regulations and procedures for SEZs, Mr. Khullar said: “We are trying to make the life of the exporters easier. The rules, which are in vogue are six years old and hence need some change.”

The Commerce Secretary did not mince words on the adverse impact of tax laws on the foreign direct investment (FDI) into SEZs. “The FDI inflow during the past two years is less because of uncertain tax laws. Unless you reassure the foreign investor regarding the certainty of tax laws, you cannot expect him to invest .I should admit that the investor sentiment has been hurt by changes in taxation.”

Earlier, presenting export excellence awards, Mr. Khullar told a function organised by MEPZ-SEZ that he was immensely impressed by the SEZs because they were no more in the news for “wrong reasons”.

75 SEZs in AP attract Rs 15,000-cr investment (http://www.thehindubusinessline.com/industry-and-economy/economy/75-sezs-in-ap-attract-rs-15000cr-investment/article2630574.ece?css=print)

Exports expected to double during the current financial year

Hyderabad, Nov. 15:
Andhra Pradesh which has 75 notified special economic zones (SEZs), which is the highest number of SEZs in any State in the country, has attracted investment of about Rs 15,000 crore.

These SEZs registered exports of Rs 13,000 crore during the financial year 2010-11 and exports are expected to double during the current financial year, according to statement.

Apart from attracting investment and helping create new infrastructure, these SEZs provided direct employment opportunities to nearly 1.20 lakh people and many more have gained indirect employment.

According to the State Government, Andhra Pradesh is the only State having 5 multi-product SEZs at Visakhapatnam, Kakinada, Naidupeta, Nellore and Chittoor. Of these SEZs at Visakhapatnam, Chittoor and Naidupeta have become operational and have begun to attract investments under different categories.

Besides the SEZs, Andhra Pradesh is having 258 export-oriented units, which accounted for exports of about Rs 9,000 crore during 2010-11. These provide employment to nearly 20,000 persons. While EOUs scheme was introduced by the Government of India in 1980, they are at liberty to set up their unit at any location of their choice.

In order to encourage SEZ developers and EOUs, export awards for 2007-08, 2008-09 and 2009-10 were announced on Monday. Eighty-six awards were announced.

DLF, Aurobindo Pharma, Solar Semiconductor, Wipro, Rain CII Carbon, APIIC are among the list of awardees for their performance.