HP industrial clusters on fast growth track

The renewal of the central industrial package has put industrial growth in Baddi-Barotiwala on the fast track.

The department of industries, Himachal Pradesh, has already approved 1,703 projects in the SSI and tiny sectors till July 15 for Baddi-Barotiwala after the extension of the fiscal package was announced (the package includes incentives of subsides, concessional power rates and other tax benefits).

They are investing Rs 1,591.99 crore and can give jobs to 60,488 people.

Besides this, about 500 proposals in the medium and large sectors have been approved and registered at the directorate for the Baddi-Barotiowala-Nalagarh area.

Of the above-mentioned units, 50 units in the medium and large-scale categories and 125 in the SSI/tiny categories with a fixed capital investment of Rs 682.40 crore have started commercial production and got permanently registered with the department of industries.

According to sources in the industry department, big companies like Wep Peripherals Ltd, TVS Motors Ltd, Ranbaxy, FDC Pharma, MDC Pharma, JP Industries, ancillaries of TVS Motors Ltd, Procter & Gamble, Wipro (Unit II), Godrej (Unit II), Nectar Lifesciences and many more pharma companies are in the process of setting up projects in the Baddi-Barotiwala-Nalagarh area.

338 units in the SSI sector and more than 100 units in the medium and large-scale categories are registered with the department of industries on a provisional basis (yet to start production) for manufacturing pharmaceutical formulations. Thus, the belt is emerging as one of the biggest pharmaceutical hubs.

Already Wockhardt, Alchem, Unichem, Alembic, Cadilla Healthcare, Cipla, Panacea Biotech, Ind Swift Lab, etc. are operating there.

At present, 537 industrial units are functioning in the Baddi-Barotiwala area since its inception (Baddi was developed in 1982 and Barotiwala came into being in 1962-63), of which 117 are in the medium & large-scale categories and 420 in the SSI and tiny categories.

Prominent among them are the Vardhman group, Birla Textiles, Super Cassettes Ltd, Dabur, Action Shoes and Havell's India Ltd.

An industry department source said that since Baddi-Barotiwala-Nalagarh had emerged the most favoured destination for investors, the department has acquired private land measuring 375.12 bighas (282, 000 square metres) at Villages Katha and Bhataulikalan.

Prominent among those going to operate from there are Su-Kam Power Communication Systems Ltd, Gillette India Ltd, and Timex Watches.

It is pertinent to mention here that since the notification of Special Incentive Package for the State, by the Government of India, 7383 industrial investment proposals have provisionally been registered/approved in SSI & Medium & Large scale sectors in the State with an investment of about Rs. 19280.83 crores envisaging employment to about 267875 persons till July 12, 2006 and it is expected that further extension of Industrial incentive to the state till 2010 will further bring in new investment.