Patalganga Project : Infrastructure Development Action Plan Samyak - Patalganga Industrial Estate

Positioning – Patalganga Industrial Estate

• The Patalganga industrial area is situated on the left bank of river Patalganga, which is 10 km from Mumbai-Pune National Highway 4 and 7 km from the Mumbai-Pune expressway. It is just 12 km from Mumbai-Goa national highway 17.
• The nearest railway station is Rasayani / Apte which is on Konkan railway,hardly 3 km from the area.
• Setting up Industrial Estates would go a long way in fuelling industrial growth, as properly designed and implemented Industrial Estates can attract small and medium scale value-added industries.
• Compared to States like Gujarat and Karnataka, which have about 200-300 industrial Estates distributed across all the districts there are very few Industrial Estates in the Maharashtra.
• The Patalganga industrial area is about 75 km from Santacruz domestic airport and Sahar international airport at andheri.
• The Patalganga industrial area is about 20 km from JNPT ( Jawaharlal Nehru Port Trust ), hence giving an easy and fast access for all cargo for IMPORT OR EXPORT.
• There is scope for setting up Industrial Estates in the this region.
• The successful implementation of new industrial estate projects would critically depend upon factors such as detailed location analysis, a proper institutional framework, adaptation of the configuration and design of the industrial estate to local conditions.
• The private sector must be involved in developing these Industrial Estates to improve the commercial viability of the project – the Government must limit itself the policy making and regulatory roles.

2) Rasayani - At a Glance :

Rasayani is located on SH-83, about five kilometeres off NH4. Rasayani is composed of a cluster of villages namely Ambivali, Dapivali, Mohopada, Chambarli, Vaveghar, Rees, Karade, Gulsunde, Turade, Savle, kambe. Apparently, the name Rasayani was originally coined by the noted Marathi writer P.L. Deshpande. There are many chemical manufacturing and processing companies located here. India's first Chemicals industry "Hindustan Organic Chemicals Ltd." was established here in 1960's, hence he decided to name the place "Rasayani". It derives its name mainly from chemical industry HOCL. As of today the biggest player remaining is Reliance, which has a petrochemicals and fibre plant in the area.
The ancient river of Patalganga and small streams flow through the area. It is said that the Patalganga riven finds mention in ancient vedic texts and the temples in Turade-Karade area and its banks were considered holy places and a Dip in the river considered pious to mention the least. The annual fair during Maha Shiv-Ratri at Gulsunda is a survivor of this ancient tradition.
The area is surrounded by Prabal (HOCL Management Trainee Hostel), Irshala, Karnala (A small Housing For new/fresh Officers of HOCL) and other hills-mountains of Sahyadri ranges.
Transport
State Transport buses(ST) buses and private Auto rickshaws ply between the villages in and around Rasayani at frequent intervals. Local transport unions ensure a smooth and cheap service between neighboring towns like Karjat, Khopoli, Panvel and Dadar. NMMT buses also make frequent trips between Khopoli and Koparkhairane(Bus No. 58).

Nearest stations
Rasayani Railway Station: West: 2 km away
Panvel Railway station: 16 km away, on the NH4
Chowk Railway Station: 5 km away on NH4
Karjat Railway station: 19 km away on Karjat road
Apta Railway Station : 6 km away
Now Local Trains are proposed to operate to the nearby railway stations like Chowk & Apta.


"Samyak-Patalganga industrial estate is located just next to the Hindustan Organics Factory itself"
Infrastructure
Most of the infrastructure in Rasayani is maintained by the Gram Panchayat, which include paving the roads, provision of water supply and other essential serives like garbage disposal and beautification.
Highway road maintenance is outsourced to private firms, who are allowed to collect toll to recover the cost of maintenance. Other minor roads are maintained by Gram Panchayat.
Electricity is provided by state run MSEB( Maharashtra State Electricity Board ).
Telecom serives are handled by the state run BSNL telecom and other private players. Broadband is provided by BSNL, and wireless internet serives like GPRS are provided by all private mobile operators.

3) Panvel - At a Glance :

Panvel has been a middle-class area, the other Navi Mumbai nodes are more affluent. Proximity to Pune is its biggest asset. With the new international airport coming up in Navi Mumbai, Panvel's future seems very promising. It can really take off. Another plus point is its proximity to JNPT [the Jawaharlal Nehru Port Trust], the dedicated freight corridor [DFC], the industrial corridor [DMIC or the Delhi Mumbai Industrial Corridor, which could transform much of the business and logistics scenario for West and North India]. Even currently, the rail connectivity is excellent. As a terminus it is suitable for freight-related activities. Towards Pune you have agriculture, floriculture, so Panvel is poised for a great future.

4) Objective :

The objectives of this position paper are to:
• Present the concept of Samyak-Patalganga Industrial Estate and the various issues that need to be considered in setting up Industrial Estates in terms of

1. Location, configuration and design
2. Institutional framework for

 private sector participation
 Government policies and incentives

• Review the current scenario of Industrial Estates in the State in terms of the land area, employment generated, infrastructure, etc.
• Identify potential for further development of Industrial Estate.
• Outline steps that the Developing Authority needs to undertake.

5) The Concept :

The term "industrial estate" is often used interchangeably with industrial district, industrial park, industrial zone, special economic zone, eco-zone etc.
An Industrial Estate (IE) is a self- contained geographical area with high quality infrastructure facilities, which house businesses of an industrial nature. An industrial estate is administered or managed by a single authority that has a defined jurisdiction with respect to tenant companies. The authority makes provisions for operation and management; enforcing restrictions on tenants and planning with respect to lot sizes, access and utilities.
The IEs offer industrial, residential and commercial areas with developed plots/ pre-built factories, power, telecom, water, sanitation and other civic amenities such as hospital, sewerage and drainage facilities, security etc.
The main targets of Industrial Estates are the high value adding small and medium scale industries, which do not have the wherewithal to invest in developing their own basic infrastructure facilities, but have the capacity to pay for the services provided to them.
Hence, Industrial Estates are regions where infrastructure facilities are provided for and thus a conducive environment is created to attract small and medium scale industries.
Advantages of Industrial Estates Industrial Estates can positively influence the socio-economic development and industrialisation of the region by:
•Attracting investments
•Generating employment
•Leveraging on raw material sources, skilled manpower resources, proximity to end-use markets, etc.
•Adding to and improving social infrastructure in terms of healthcare and educational facilities

Industrial Estates have led to the development of large urban regions especially in the States of Gujarat and Maharashtra, wherein large-scale city / town development has taken place. Bharuch, Vapi and Valsad in Gujarat and Nashik and Nagpur in Maharashtra are examples of such developments.
Samyak-Patalganga Industrial Estate can be developed either as a:
•General Industrial Park (GIP) which caters to all types of industries, an example of the GIP being theIndustrial Model Township at Manesar (Haryana) which has facilities to house different types ofindustries like auto and auto components, high precision industries, textiles, pharmaceuticals, software etc.
or •Special Industrial Park (SIP) which focuses on a specific industry like software, textiles, plastics, etc. The Software Technology Park at Whitefield in Bangalore is one such example.

6) Location :

One of the most important factors contributing to the success of an industrial estate is its location. The main advantage while considering Samyak-Patalganga Industrial Estate are as follows:
• Natural competitive advantage of the region in terms of the types of industries that can flourish there
• Potential for forming industrial clusters in the region to ensure the economic viability.
• Presence of transportation nodes in the region in the form of airports,railway terminals and road networks, sea port both from raw material sources and to end-use markets
• Presence of technological research institutions and training facilities such as universities, colleges, etc.,

The competitive advantage of Samyak-Patalganga Industrial Estate can be determined in terms of its:
• Unique socio-economic characteristics arising out of the existence of traditional skills, work culture, etc.
• Proximity of the region to important markets, e.g. Mumbai, Navi Mumbai, Pune & Goa.


Mumbai is a key market
Further, there is flexibility available in designing each of the individual zones. The industrial zones can be divided into:
• Industrial land for medium and large industries. Different industries within the same industrial group can be given contiguous land so that they share common facilities. For e.g. the chemical processing industries could be grouped together as they could share an effluent treatment plant. Similarly the software units could be located nearby and share common IT infrastructure facilities like the earth stations etc.
• Pre-built factories that provide readymade factory space and serve as incubators for start-up organisations The residential areas can also be commercially exploited by renting out/selling the housing facilities to outsiders to improve the economic viability of the project.

7) MIDC (Govt. Sector):

Governments created undertakings like the Maharashtra Industrial Development Corporation (MIDC) to execute this mandate. Some of the roles of MIDC include:
• Setting up infrastructure facilities to promote industrial growth by setting up industrial parks
• Identifying and promoting industrial projects
• Providing financial participation in terms of term loans and direct equity participation
• Handling the operations of the industrial parks.

Till date, in most States the State Industrial Development Corporation has been the sole promoting, investing, implementing and operating agency for industrial parks. However, the need for private participation in setting up and operating industrial parks has been realised of late because of the:
• Worsening fiscal health of the State forcing the State Governments to reduce their investments in developing industrial infrastructure
• Commercial unavailability of many of the Industrial Estates promoted by the State

8) Private Sector Participation :

Private sector participation is being encouraged by all the States to ensure a more commercial approach to the entire exercise of setting up and managing Industrial Estates.
Private sector participation would lead to:
• A better choice of location, design and infrastructure facilities
• Better collection of revenues
• Professional and innovative management
• Greater accountability and responsibility
• Fund mobilisation to bridge the infrastructure investment gaps

The private sector can involve itself in several capacities in the entire process of configuring, investing and implementing these projects.
The private sector can get itself involved in various capacities for developing Samyak-Patalga Industrial Estate. As a promoter, the private sector player could play the role of a developer. As an investor, the private sector player may be involved actively or passively.
Implementation of an Industrial Estate project by the private sector is usually through the formation of a special purpose vehicle (SPV) / development company. This is a company in which the promoter (private or MIDC), Financial Institutions and / or the State agencies have an equity stake.
When the promoter from the private sector is involved in the implementation of the project, he would be an active investor. The promoter would be a passive investor when the SPV appoints an external agency for the implementation of the project and the promoter is not actively involved.
The private sector could also involve itself in the implementation of the project as the external agency responsible for mobilisation of resources, marketing the estate to private investors and later for operation and maintenance (O&M), without any stake in the SPV.

Plots & Shed Details / Area :

PANVEL INDUSTRIAL PROJECT OF SHED AND OPEN PLOT
INDUSTRIAL PLOT – OPEN PLOT
No. of Plot Area Unit Total Area
19 2400 Sqft 45600 Sqft
GALA – READY TO USE : CONSTRUCTED SHED TYPE OF SHED
No. of Gala Area of Gala Total Area
22 1800 Sqft 39600 Sqft
15 1500 Sqft 22500 Sqft
44 900 Sqft 39600 Sqft
30 600 Sqft 18000 Sqft
Total Area of all Galas – (39600 + 22500 + 39600 + 18000) = 119700 Sqft
Grand Total Area including Industrial Open Plot and Gala – (45600 + 119700) = 165300 Sqft