Govt allots 200 acres for Ceramic City

The proposal to set up Ceramic City in Vizag is gaining momentum. Taking a big step forward towards this, the state government has allotted about 200 acres of land near the Duvvada Railway Station in Sabbavaram mandal for the proposed Ceramic City.

The district revenue department recently handed over the land to the Andhra Pradesh Industrial Infrastructure Corporation (APIIC) for development.

Modelled on the lines of Apparel Park and Pharma City, the Ceramic City was conceptualised by the Indian Ceramic Society's Vizag chapter and the Ceramic Entrepreneurs Service Society (CESS).

Speaking to Business Standard, APIIC zonal manager Eswara Rao said the APIIC would spend around Rs 5 crore to provide facilities like roads, power and water in the 200 acres allotted for the Ceramic City.

"The corporation will allot plots to ceramic industries once the land is developed," he said.

According to CESS president and Ceramic Society's Vizag chapter chairman S Durga Das, around 20 entrepreneurs and major companies, including the Birla group, have already expressed their willingness to set up units in the proposed city.

"Visakhapatnam Steel Plant (VSP) purchases refractory worth Rs 120 crore every year from other states. If refractory units come up in the Ceramic City, VSP alone would provide close to Rs 60 crore business a year to the local units," he said, adding that VSP had already agreed to give an ancillary industry status to 5-6 units that would come up here.

Das said that H&R Johnson (India) Limited, India's leading tile company, too has evinced interest in setting up ceramic tiles manufacturing units at the proposed city, at an investment of around Rs 250 crore.

"The Birla group is planning to establish an electrical ceramic insulators manufacturing unit involving major investments, while a few others are coming forward to set up refractory units with investments ranging between Rs 5 crore and Rs 50 crore," he said.

CESS, on its part, is planning to set up a state-of-the-art ceramic laboratory and an engineering educational institute that would offer ceramic engineering courses, at the Ceramic City.

"Setting up of the laboratory and an educational institute requires an investment of around Rs 60 lakh, which will be contributed by the CESS members," Das said.