New Delhi(PTI): The government has cleared 16 foreign investment proposals, including that of HDFC Capital…
NEW DELHI: Government on Monday approved five projects with a grant of Rs 175 crore related to the capital goods space for companies including HMT Machine Tools Ltd.
“Government today approved five projects leading to further enhancement in the competitiveness of the Indian capital goods sector and giving impetus to the Make in India campaign of the Prime Minister.
“Government support in form of grant of about Rs 175 crore will be given from a scheme of the Department of Heavy Industry titled Enhancement of Global Competitiveness of Indian Capital Goods Sector,” an official statement said.
Launched in November, 2014, the scheme has an outlay of Rs 975 crore including grant component of Rs 580 crore.
The first project relates to a joint venture between the Centre and the Government of Karnataka. Under this, 500 acres of land has been earmarked for the first of its kind Integrated Machine Tools Park to be set up near the Japanese park in NMIZ, Tumkur.
The project cost of Rs 421 crore will be partially met from the Government of India grant support of Rs 125 crore.
When implemented fully, the park is expected to double Indian turnover of machine tools to Rs 9,000 crore, with matching saving in imports/forex. More than one lakh jobs in primary and secondary manufacturing sectors as well as in commercial/ administrative arena will be created.
The second project relates to setting up a welding technology Centre of Excellence in PSG College of Technology, Coimbatore.
The Centre of Excellence will support Indian manufacturers by proving latest technologies developed by the Centre for home-made welding machine tools, consumables and locally trained manpower particularly in high-end welding jobs required by strategic sectors.
The total budget excluding land and building (to be provided by PSG) is estimated to be Rs 26.7
The third approval given to HMT Machine Tools Limited is related to manufacturing lathe and turning mill centre in collaboration with M/s Fraunhofer of Germany.
“As a result, HMT will be in a position to supply modern range of machines to railways, defence, shipping, aviation and aerospace etc. A grant of Rs 1.54 crore will be given to the company. This will be the first step by the company towards technology modernization,” the statement said.
The fourth proposal is from HEC, Ranchi. Under the present approval, HEC has collaborated with Messrs CNIITMASH – a Russian government Industrial Technology Research Institute.
The proposal is for imparting training to 1,350 engineers in three years in the latest technologies relating to electro slag re-melting, welding, gear box manufacturing and non-destructive testing.
The project size is envisaged at Rs 50 crore, out of which the government component will be Rs 30 crore, which will be given to the Russian institute for their knowledge support in creating the four training centers.