Greemach to construct cargo complex in MP

Mumbai-based infrastructure company Greemach Infrastructure Equipment and Projects Ltd has plans to invest Rs 1,000 crore in creating a cargo complex and maintenance base at Bhopal airport.

With this the state is likely to become hub-and-spoke destination for the aviation industry, although the airport is yet to be upgraded to international standards and is connected with Delhi and Mumbai only.

The company is in talks with the state government for various clearances, etc. and is likely to start work on the project after three months. This will be the second cargo complex in the state after Indore.

"We will invest Rs 1,000 crore in the project; there will be a cargo complex and MRO (maintenance, repair and overhaul) facilities of aviation industry," a company source told Business Standard, adding, "land acquisition and other clearances are awaited and the firm will take three months to commence work on the project".

The state government, according to O P Rawat, principal secretary, department of industries, has cleared the project. "The firm has to acquire land area near the airport on its own, and we will provide them all possible support," he said.

Although the company is upbeat on its projects, local real estate players have acquired huge areas near the airport and have reportedly raised the prices up to Rs 1 crore per acre.

"The process of land acquisition is going on. We require 300 acres and the Indian army also holds an area which will be transferred to the state government for the purpose," the company source said.

The facilities will be akin to those of Boeing, which are being created at Nagpur. The Bhopal facility will be more effective than those of Nagpur since Bhopal is almost equidistant from Delhi, Mumbai, Kolkata, Chennai, Bangalore and Hyderabad, and also offers perfect logistics solutions to manufacturing companies as well aviation companies that look forward for MROs.

If created, the geographical location of Bhopal will give a tough competition US-based Boeing since air cargo from four parts of the country--North, East West and South--are expected to be brought to the central location for onward distribution to different destinations.