While Hindustan Motors (HM) awaits a formal approval from the West Bengal government that will allow it to commercially develop 314 acres of its 700 acre property at Uttarpara, the company has drawn up plans of increasing capacity of its forging and casting outfit almost six-fold over the next three to four years. The company is also working on a new project with indigenous efforts to get new customers and increasing sales of the Ambassador, its flagship product."We are awaiting a formal communication from the government of West Bengal regarding their decision on allowing commercial development on our land, before we can comment on any development we have planned for. However, HDFC, whom we have appointed to bring in investors for our proposed information technology park, has completed 80 per cent of the task. The work is expected to be done in another three to four months," R Santhanam, MD of HM, said.The company is expected to raise revenue close to Rs 100 crore through the development of this land for an integrated project that will have an auto components park, and IT park and a residential complex. A majority of the revenue will be used to revive HM's business of manufacturing cars and its forging and casting business, which, at present, function as independent units, Santhanam said.He indicated the auto components park will too, receive considerable portion of the revenue.The company has a current annual capacity of 4,000 tonnes in its forging and 5,000 tonnes in its casting units. Santhanam expects this to increase over the next three years, by which time the auto components park is expected to operational. The company has not yet decided on the developer to get the contract for the project.The auto components park, alongside housing HM's own forging and casting units, will be home to auto components manufacturers from the rest of the country, who will primarily focus on exports.The proximity of the Uttarpara unit to the Haldia port and Kolkata city would be a major draw for manufacturers, felt Santhanam.Update at 1303 hrs: Hindustan Motors is planning to bring its automotive industrial complex at Uttapara, West Bengal back to profitability & financial health by diversifying & expanding into the auto component sector by developing a modern & large-sized automotive forgings, automotive castings & automotive stampings business.According to a release issued by Hindustan Motors to the BSE today, the company had applied to the state government seeking permission for alternate use of 314 acres."It has been reported that the West Bengal Government, through a communique to a syndicated news agency, has indicated that the above application is being approved under the West Bengal Industrial Renewal Scheme 2001 & as per West Bengal Land Reforms Act 1955. The company is awaiting formal communication," the release added.The company's application envisages development of 314 acres of land, over 4-5 years, into a world-class IT & ITES township and auto anciliary park, the release added.Also Read: Bengal allows Hind Motor to redevelop Uttarpara land
