AP to emerge next Detroit of India
Today private industrial parks play a vital role in attracting investments both from domestic companies and MNCs. Though there are several industrial parks set up all over the country, the Andhra Pradesh-based Sri City has emerged one of the favorable destinations for investors. Its success lies in the dynamic leadership of the company promoter, Mr. Ravindra Sannareddy, its Managing Director, a well known figure among corporate circles.
Within a short span, Sri City has been able to attract several giant organizations, including Isuzu of Japan for production of world-renowned DMAX SUVs. With Isuzu’s entry with an investment of Rs. 3,000 crores, Sri City has become a hot spot for automobile companies eager to establish their manufacturing or assembly units.
Last September, Hero Motor Corporation, the world’s largest two-wheeler manufacturer, announced its formation of a new facility in Sri City at an investment of Rs. 1,600 crores. The auto majors who have already signed MoUs with Sri City include Kobelco, NHK, Piolex, Omni, Aisan, Nittan Valve, etc.
The TVS Group is also keen to set up its facilities in Andhra Pradesh, thanks to the locational advantage available there. Other companies like Nippon Seiki and Siddhartha Logistics have also had their facilities there. Apart from this, many other companies are also looking at Andhra Pradesh as their next destination for investment.
MOTORINDIA learns from the Managing Director of one of the auto component majors that it has recently signed an MoU with the State Chief Minister, Mr. Chandrababu Naidu, for setting up its new plant in Sri City due mainly to the investor-friendly approach of the Government.
No wonder, the State will emerge the next Detroit of India with its extremely lenient approach.