MP keen on partners for Indore IT park

In view of the coming investors' meet in Indore on October 26, the MP government is in a hurry to find a partner for developing what remains of the Crystal IT Park, Indore, lying unsold for one and a half years.

The state industry department is looking for a consultant to assess the value of the existing building. The state government, even after spending Rs 61.91 crore of the project cost of Rs 85.57 crore, has found no takers for it.

"The state industry department wants the park to take shape as an IT SEZ," an official source said.

During November last year the central government had awarded "product-specific special economic zone" status "in principle" to the park for developing 19.78 acres of the total of 23.91 acres owned by the Audyogik Kendra Vikas Nigam (AKVN), Indore -- a subsidiary of the state industry department.

However, government officials are tight-lipped over privatising the park. The Centre has made mandatory the development of 100,000 square metres before 2009, or else the park will lose its IT SEZ status.

"So far an area of 51,000 square metres has been developed," a government source told Business Standard.

Despite efforts by three chief ministers, marketing the park has not made progress, and no software or hardware firm has come forward to buy space in the park.

Although the building has been completed, the 550,000 square foot carpet area is yet to be furnished and basic facilities have not been installed.

In a recent decision, the state government has decided to float tenders for attracting investment from IT companies.

Vivek Agrawal, managing director of the Indore Audyogik Kendra Vikas Nigam, said on the telephone, "We have submitted a proposal to seek permission to float tenders for investment from IT companies."

However, a similar reply had come from the previous managing director of the AKVN during in January this year.

The park is in a prime locality of Bhanwarkuan near Indore University, but local IT companies have shown no interest in the park.

The Audyogik Kendra Vikas Nigam tried to rope in Tata Consultancy Service (TCS), Wipro, SKIL, and Infosys as marketing partner for the park, but unsuccessfully.