TATA Motors has proposed to set up an auto park in Adityapur in the Sareikela-Kharwsawan district of Jharkhand. The company would be investing Rs 1,400 crore for the proposed park.
Senior officials of the company recently met Jharkhand chief secretary PP Sharma and industry secretary S K Satapathy and submitted the proposal.
Speaking to ET, the chief secretary said as Tata Motors is going for massive expansion, the company requires more vendors for supply of auto components. Therefore, the company is setting up auto park to house nearly 100 auto components manufacturing units. These units will not only supply to Tata Motors but would also be encouraged to supply to other major auto manufacturers across the globe. The proposed auto park will be spread over 600 acre.
Mr Sharma said: “There is a good scope for auto ancillaries in Adityapur. The existing and the prospective auto manufacturers would be benefited by the auto park project. The state government will provide all required support to the company for setting up auto park.”
When contacted, the top official of the company said that the company has a plan to set up an auto park in Adityapur but refused to give details about the proposed project. It is believed that the auto park in Adityapur will be some what similar to the companys vendor park or auto park for its Rs 1,500-crore small car project at Singur. The greenfield park in West Bengal will house captive vendors for each high-volume component, with Tata Motors running the main assembly line of its small car project.
The Jharkhand’s first automobiles and auto components Special Economic Zone (SEZ) is also coming up in Adityapur. This productspecific SEZ in Adityapur got its approval from the ministry of commerce and industry, government of India on June 6, 2005. Recently, a special purpose vehical, SEZ Adityapur, was formed to execute the Adityapur auto ancilliary SEZ.
Adityapur is an industrially developed town. Adityapur Industrial Area Development Authority (Aiada) is one of the largest auto ancillary hub in the country. Aiada houses around 800 medium scale, small scale and tiny industries including large scale industries like Usha Martin. It is believed that Auto Park as well as SEZ would not only promote but would also increase exports from the Adityapur region. So far, the majority of the industries in Adityapur are ancillaries to Tata Steel and Tata Motors