25 August 2006
Kolkata: Hindustan Motor says it has developed a comprehensive "Revival & Renewal Proposal" that would bring its automotive industrial complex at Uttarpara back to profitability.
The proposal envisages:
Auto component exports from India are expected to grow substantially from the current levels of $1.5 billion and Hindustan Motors feels Uttarpara is well placed to ride this growth wave.
It''s Uttarpara facility was established in 1948 and developed as a fully integrated automotive industrial complex and township. For many decades this plant has been a significant contributor to West Bengal by bringing in technology and capital, generating direct and indirect employment and contributing through direct and indirect taxes.
Post liberalization this unit, handicapped by legacy costs and systems, experienced a whole new set of challenges and sustained financial losses. Given this backdrop, to fund the expansion and diversification programme, HM has applied to the state government, seeking permission for alternate use of 314 acres.
The company''s application envisages development of 314 acres of land, over a four - five year period, into a world class integrated IT and ITES township and auto ancillary park. As these sectors are among the fastest growing.
