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TN to suffer serious loss Leaky old lorries, mini cabs for techies... State under siege A year of Telangana With agriculture at its heart... Global Investors Meet Post Poned Municipal Elections State Forward All these happened in TN… Land scams rock AP & TS Infra boost to the new capital States Roundup KNPP with the grid Hype on Hyperloop Time to wake up Bringing magic of Rajasthan alive KCR’s I-day bonanza It’s Karnataka chalo for Amit Shah? Why the Congress won in Karnataka Inter-State boundary Come to Tamil Nadu where the action is... AP in better shape Monsoon fury Global meets galore ODISHA Stirring the political cauldron Pioneering education model States - Kerala Reducing carbon footprint... Of development and welfare When business flocks to MP... City of foaming lakes and fire Thalaivaa Competing for good: Tale of two states Winds of change... MCL has a taste of judicial activism! Development depends on land availability... TN to suffer serious loss Deputy Collector Sindhu! Fanciful Rao and tech-savvy Naidu Wouldn’t the Mahatma like clean restrooms in our cities! Flurry of collaborations inked by AP State of the States Lingayats get a reminder: it’s poll time Land acquisition policy is ahead of national policy... Bhubaneswar IIT cries for completion ‘E’ for enterprise A giant push for millets MOUs worth Rs.10.54 lakh crore signed Waste disposal model Bifurcation yet to end water wars Divide & Prosper Bus services hit Mango Diplomacy SIPB clears big proposals TN can leverage NLC’s strengths... Oh, la la. Power for all A neta at it again! Kochi Metro Rail Project States - Odisha Infrastructure to the FORE Miners asked to pay more It indeed is attractive for investments Industrial corridors to boost economy Benevolent businessthan... An industrious idea Technology has raised the bar... Enchanting and enterprising Tamil Nadu Doubling production and tripling farmers’ income... A blueprint for the future Tasks for the new government Illegal mining of sand Info-Park, more space Strike over salary hike Vedanta to close Lanjigarh refinery More government apps CII to set up tourism bureaus Launch of ins vikrant, India’s first indigenous aircraft carrier Enticing pest traps KTR releases Annual Report Green crimes galore Homestays, a budding tourism industry Promise of a productive year Nod to cow slaughter bill
 
Come to Tamil Nadu where the action is...
TN Global Investors Meet - Curtain Raisers

“It took around 12 months to bring Ford to Tamil Nadu. The company had 43 parameters to evaluate on investing in a region. Chennai was competing with other industrialised states and countries; but our efforts succeeded. With Ford and Hyundai, the true automobile revolution began. The strong support of the state government was the critical factor in achieving this,” said Velmurugan.

With the entry of giants like Ford and Hyundai, who brought several of their vendors along with them, auto component manufacture in the state grew bigger and attained a critical mass. This soon became an attractive base for several automobile majors like Renault Nissan, BMW, Yamaha, Daimler,... to set up shop in Tamil Nadu, he said.

 

Not just incentives attract investments...

“Until 2004, Tamil Nadu didn’t have a single electronics company of size. That was the time when Nokia announced of plans to open a manufacturing facility in India. Immediately the state government constituted a core team and we met the CEO in Delhi. He was surprised, as we had come the day after the announcement. We satisfied several criteria stipulated in quick time, Nokia’s plant opened in 2005 was a major breakthrough heralding the electronics revolution of Tamil Nadu. The investor-friendly support of the state government was cited as the most critical factor that tilted Nokia in favour of Tamil Nadu,” said Velmurugan.

The investment climate is the result of several factors - quality infrastructure, mature eco-system, availability of skilled manpower, port logistics, ease of doing business, track record of industrial relations and above all, strong support from the state government.

It is not just incentives,” said Velmurugan.

 

Strong communication infrastructure...

Though Chennai caught up late with the ICT wave, several of the government’s initiatives have helped to catch up for the time lost. Today Chennai ranks third in the country in software exports. The Siruseri IT Park developed over 1000 acres, is the largest IT park in Asia and the Old Mahabalipuram Road (OMR) is home to several IT majors. Chennai has three submarine cables connecting other countries with a total bandwidth of 14.8 terra bits per second (tbps). “We are using not even 10 – 15 per cent of it now and it is available to us for the next 25 years. That’s why Chennai is leading in back office operations which requires 24 x 7 live communication infrastructure,” pointed Velmurugan.

World Bank’s only back office outside Washington is in Chennai. This soon attracted CitiBank’s card operations, Standard Chartered’s virtual headquarters for more than 100 countries, ABN Amro, HSBC and Royal Bank of Scotland.

 

Go for whale hunting, not fishing...

“In the Guidance Bureau we have a saying: when you go for investment promotion, you always go for whale hunting and not fishing. You can create an impact only when we get the blue whale and small fishes come along with it. Guidance Bureau under state government does a lot of whale hunting,” pointed Velmurugan with understandable pride.

Companies like Michelin, Saint Gobain, Apollo Tyres, Daimler... have opened plants here. Feng Tay Enterprises Co Ltd, a shoe manufacturing company in the Cheyyar SEZ that employs  17,000 in a single factory is the single largest supplier of sports shoes, said Velmurugan.

A student of economics who holds a M Phil from the Glasgow University, Velmurugan was the1980 batch topper in Indian Economic Services. From 1995 he has been at the Guidance Bureau helping to change industrial horizon of the state. Guidance Bureau has acted as the single window clearance for projects of the state.

 Global Investors Meet is yet another whale hunting: “we have set a modest target of Rs 100,000 crore but with 100 per cent germination rate; in several other states, the germination rate is just around five per cent,” said Velmurugan.

 

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