Chennai auto cluster to get Rs 35cr aid from Centre

Chennai auto cluster, consisting of auto components manufacturing and services, is slated to get a grant of Rs 35 crore from the central government for information technology upgradation.

Dayanidhi Maran, Union minister of communication and information technology, said, "The union government has recently decided to upgrade the infrastructure, research and development facilities currently available at the Chennai auto cluster involving an investment of Rs 47 crore. Of which the central government will provide Rs 35 crore as an outright grant."

The development of Chennai auto cluster is expected to enhance competitiveness of industrial units through increased productivity, lower cost of production, improve product quality, increase the global market share through exports and provide additional employment generation.

"This will benefit 340 small and medium and 15 large industries and improve export earning to Rs 950 crore from Rs 400 crore at present. It will also create an additional employment for 12,000 persons in the next few months," he added.

In the recent years, telecom services have witnessed multifold increase. The Telecom sector is growing at an average rate of about 30 per cent. The tele-density at the national level is about 7.7 per cent and is more than 22 per cent in urban areas.

"At present, we have over 8.30 crore telephones in India. A silent revolution is taking place in this sector in the country and the mobile phones are about to overtake the fixed lines," he said.