“Futuristic Projection of Tamilnadu"- 2024
Futuristic Projection of Tamilnadu : தமிழ்நாட்டின் எதிர்காலத் திட்டம்
Every country or state of a country will be developed based on the schemes and promotions undergo by the concerned Governmental organizations with the help of Industries. The number of flourished industries will show the growth of the locality.
The fund flow on the locality will be based on the benefits / salary / compensation providing by the industries. Also the CSR (Corporate Social Responsibility) the industry is doing on that location is one of the most important factors of sustainability of an Industry.
As well as the by considering the Topography, Social security, Transportation cost, Cheap skilled labour force, Involvement of political persons, etc are some of the major factors that affects an industry.
In our Country (India), the growth rate is higher in the states of Maharastra, Gujarath & Tamilnadu is purely because of the fruitful industries. Kerala is a state full of employees who are working in abroad and the natural vegetables and fruits are furthermore income. The Andhra Pradesh (including Telungana) is a state of clubbing of agriculture and working abroad culture with temples like Thirupathy, IT industries at Hyderabad, etc.
Fostering New Innovations in Manufacturing Sector:
Hyderabad, popularly nicknamed Cyberabad, has emerged as the second Silicon Valley of India, after Bengaluru.
Whereas the state of Tamilnadu is all club together with lot of Hindu temples, Christian Churches, Muslim Mosques, etc along with Agriculture and some Textile & IT Industries in Coimbatore, Chennai and Madurai are the expanding of the growth of South Tamil Nadu rather than Chennai.
MADURAI : Madurai, located in the southern Indian state of Tamil Nadu, has a rich and ancient history that dates back over 2,500 years. Madurai also had a significant Jain and Buddhist presence during its early history. It is believed that Jainism and Buddhism played a role in shaping the religious and cultural landscape of the city. Islamic Invasions: In the 14th century, Madurai faced invasions by the Delhi Sultanate. The city was captured by Malik Kafur, a general of Alauddin Khilji, in 1311. Madurai came under Muslim rule for a brief period, but the Pandyan dynasty was eventually restored. British Colonial Era: Madurai came under British control in the late 18th century, following the fall of the Madurai Nayak dynasty. The city became part of the Madras Presidency under British colonial rule. Lot of Christian Educational Institutions are available in the Southern Districts of Tamil Nadu, which scales higher and potent education to the students, who are from below middle class.
Post-Independence: After India gained independence from British rule in 1947, Madurai became part of the state of Madras, which later became Tamil Nadu. The city continued to grow economically and culturally, becoming a significant center for education, industry, and tourism.
Today, Madurai stands as a vibrant city, preserving its historical and cultural heritage while embracing modern developments. The ancient temples, architectural marvels, and the legacy of its past continue to attract visitors from around the world, making Madurai a prominent cultural destination in India.Madurai is emerging as a growing tech scene in Tamil Nadu, India. While it may not be as prominent as some of the larger tech hubs like Bangalore or Chennai, Madurai has witnessed significant development in the technology sector. Here's an overview of the tech scene in Madurai:
IT and Software Development Companies: Madurai is home to several IT and software development companies. These companies cater to a range of services, including software development, web development, mobile app development, and IT consulting. They work with both domestic and international clients, contributing to the growth of the local tech ecosystem.
Startups and Incubators: Madurai has seen a rise in the number of tech startups in recent years. These startups operate in various domains such as e-commerce, health tech, education tech, and agriculture tech. Additionally, the city has established incubation centers and co-working spaces that support and nurture entrepreneurial ventures.
Education and Technical Institutions: Madurai boasts reputable educational institutions that offer technology-related courses.
For example in Madurai, Madura Coats, Fenner, few Textile Mills, Biscuit Factories (Britania, Parley & Perrys) along with some recently developed IT industries like HCL, WIPRO, TCS, Cognizant, Mphasis, CSS Corp., Riktam Tech, TNQ Tech, Websoftex, Blaze web, Aptech, etc.
The SIPCOTS and Industrial Estates are more attractive income source in and around Madurai nowadays. Madurai is a historical city with a developing IT sector and a growing number of educational institutions. The city's cultural heritage, coupled with its relatively lower costs of living and doing business, attracts entrepreneurs looking for opportunities outside of major metropolitan areas. The reason for investors preferring states like Madurai, TN is the vast availability of skilled manpower, very good infrastructure in power, education, transport in connectivity plus overall an investment friendly environment. Madurai is surrounded by Thoothukudi, Tirunelveli, Virudhunagar, Sivakasi, Thenkasi, Theni, Nagercoil, Sivagangai, Pudukottai, Ramnad & Dindigul….upto Karur, Namakkal, Salem, Hosur upto Trichy. Even from Coimbatore, Tirupur & Erode industries are benefitted via Thoothukudi shipment(seaport).
For the growth of every industry, logistics plays a major role to cater the needs of the end customers. Madurai is situated in the centre place of Tamilnadu, with the supporting system of Railway Junction, Airport, and seaport (Tuiticorin-2 hrs travel). It is a place with less affected area during monsoon and in peak draught situation. It manages every situation and season. In cinemas they portrayed Madurai as a place of cruelty, Usury (கந்து வட்டி) and caste clashes. Offcourse, in every city it is happening due to the Governmental policies and culture of the locality. Last by least, the “Cost of living” is much cheaper than other cities in Tamil nadu. Industries like Textiles, Khadi, Fisheries, Automobiles, Electronics & software, Leather, Agriculture, Heavy industries like BHEL, Ranipet are the known products in these areas.
- ISO 9001: Quality Management Systems.
- ISO 14001: Environmental Management Systems.
- ISO 45001: Occupational Health and Safety Management Systems.
These three major management systems are easily accessible in and around Madurai.
Here we can be known the benefit of India’s existing and potential investors, and the entire support ecosystem for grounding investments in India. For your better understanding to know more if you are willing:
- The business, economic and demographic overview of India
- The manufacturing ecosystem of India, including key stakeholders, investor facilitation mechanisms and pan-India location analyses for sample sectors
- Profiles of established industrial powerhouses of India, with glimpses into the hotspots’ infrastructure, State support, occupiers, focus sectors, unique strengths and industrial parks
- The dual-tiered incentive structure and mechanism of India
Chapter 1: Advantage South India – Tamil Nadu (Southern districts)
Exploring the economic opportunities in the land of the Great Banyan Tree:
India has witnessed a 257% growth in GDP between 2004-05 and 2018-19. As the 6th largest consumer market globally and with 58% workforce participation, India is likely to be a growth engine for global economic growth for the foreseeable future. The most attractive factors that make India a destination of choice for multi-nationals are:
- Large Developing Economy- பெரிய வளரும் பொருளாதாரம்
- Logistics & Maritime Potential- தளவாடங்கள் & கடல்சார் சாத்தியம்
- Large Consumption Base - பெரிய நுகர்வு அடிப்படை
- Massive Investment in Physical and Digital Infrastructure- உடல் உழைப்பு மற்றும் டிஜிட்டல் உள்கட்டமைப்பில் பாரிய முதலீடு
- Historic Tax Reforms - வரலாற்று வரி சீர்திருத்தங்கள் (upto 5 years Tax relaxation/evasion, etc)
- Business-friendly Government and Ease of Doing Business- வணிக நட்பு அரசாங்கம் மற்றும் எளிதாக தொழில் செய்ய முடியும்
- Abundant Natural Resources - ஏராளமான இயற்கை வளங்கள்
- Youngest Work Force - இளைய தொழிலாளர் படை
- High Technology Adoption Rates - உயர் தொழில்நுட்ப தத்தெடுப்பு விகிதங்கள்
- Focus on Sustainability and Environment Conservation - நிலைத்தன்மை மற்றும் சுற்றுச்சூழல் பாதுகாப்பில் கவனம் செலுத்துங்கள்
Proactive and progressive leadership has been successfully guiding the nation during the COVID-19 pandemic, and the country is prepared to emerge as the most viable location for Business Continuity Plans. கோவிட்-19 தொற்றுநோய்களின் போது செயல்திறன் மிக்க மற்றும் முற்போக்கான தலைமை தேசத்தை வெற்றிகரமாக வழிநடத்தி வருகிறது, மேலும் வணிகத் தொடர்ச்சித் திட்டங்களுக்கு மிகவும் சாத்தியமான இடமாக நாடு உருவாகத் தயாராக உள்ளது.
Chapter 2: Pan-India Location Analysis
Top established and emerging destinations for manufacturing sectors:
Last five years accounted for over half of the FDI received by India since the liberalization era of the early 90s, propelling India to Top 3 greenfield FDI destinations. Interestingly, these investments came in diverse sectors ranging from highly sophisticated areas such as R&D centres and development centres for engineering, consumer internet, biotechnology, and pharmaceutical multinationals to resource-intensive industries such as food processing, chemicals and petrochemicals. India also attracted large scale investments in labour-intensive manufacturing process of electronics assembly, textiles, and footwear industries. This chapter offers a sneak peek into the most evolved ecosystems and preferred locations for manufacturing in Chemicals & Petrochemicals, Automobile & Automobile Components, Drugs & Pharmaceuticals, and Electronics & Consumer Appliances sectors.
Chapter 3: Thoothukudi(Tuticorin)
Detroit of India and nearby Tuticorin to Madurai Cluster:
Tamil Nadu is the state with the largest number of factories in India, and its capital city Chennai is the largest industrial and commercial centres of South India. The city hosts 3 of India's 12 major ports, which makes it India's closest point of call for major manufacturing ecosystems such as China, Korea, Taiwan, Japan & ASEAN. 1/3rd of India's automobile manufacturing industry is concentrated here, with notable presence across engineering, textiles and garments, leather products, software and IT-enabled services as well.
Chennai, together with Tuticorin (an emerging Electronics cluster & other industrial cluster) India's largest industrial park in South India, is known as the industrial growth corridor in Tamil Nadu : Madurai (Kappalur). Nowadays, Chennai is facing lot of problems in all levels and natural disasters are often spoils the hormony of the city. Hence, we may move on to Madurai to Tuticorin cluster for better industrial growth as “Futuristic Projection” for our manufacturing units in Tamil nadu.
Structure and Types:
India follows a federal structure, wherein both governments, at centre and state, frame laws, policies and incentives to regulate and support industries in their areas of jurisdiction. Incentives schemes designed by the centre and states have objectives such as:
- Attract new / support expansion of manufacturing units,
- Attract new / support expansion of services companies and start-ups,
- Encourage exports from India,
- Drive higher value addition in India, etc.
India has undertaken a slew of historic tax reforms in the last 12 months, such as the reduction of Corporate Income Tax to new manufacturing units, the reduction of Corporate Income Tax for existing businesses, the abolition of taxes such as Dividend Distribution Tax (DDT) and Minimum Alternate Tax (MAT). State Governments have been at the forefront of introducing new reforms and extending attractive incentive packages for businesses. Some of the commonly offered incentives are Capital Subsidy, Interest Subsidy, Stamp Duty Concessions, State GST refunds, employment subsidy, etc. Especially the state Government (Tamil Nadu) is ready to grab the industries in all the modes of operand (செயல்பாட்டு முறைகள்).
Key Stakeholders and Investor Checklist:
India has been rolling out the red carpet to welcome investors to its shores. At the heart of India's investment promotion and facilitation program has been personalized handholding and issues resolution for investors, which is carried out through the existing or newly created administrative channels by the government.
At the centre, Department for Promotion of Industry and Internal Trade (DPIIT) under Ministry of Commerce & Industry has been managing important national missions such as Make in India and Start-up India. Other line ministries formulate and implement policies pertaining to their respective sectors or areas of allocation. Invest India is the national investment promotion and facilitation agency of Government of India and is headquartered at New Delhi.
At State level, Department of Industries & Commerce, Industrial Development Corporations and Investment Promotion Agencies play the most significant role in the dissemination of information, formulation of investor-friendly policies and benefits packages, management of single window portals, and grounding of investments. The reports cover a detailed directory of all such important agencies.
SIPCOT was established in the year 1971 – Tamil Nadu
To promote Medium and Large-Scale Industries in Tamil Nadu by Developing Industrial Parks particularly in the industrially backward areas of the State of Tamil Nadu to make the State surge to the forefront as the most industrially advanced State in India thereby increasing employment and sustaining balanced regional growth of industries in the State of Tamil Nadu.
SIPCOT develops and maintains well-planned industrial parks, SEZs, and technology parks with essential infrastructure, reducing time and cost for businesses to set up operations.
The state Government of Tamil Nadu also provides financial support to major industrial units in the State. Portion of financial support by the TIIC in recent years is given to Sugar, Cement, ...
The GDP of the Tamil Nadu state was valued at USD 265 billion at the end of 2019-20.It has a diversified manufacturing and servicing sector and is a leader in several sectors such as automobiles, pharmaceuticals textiles, leather products, chemicals, engineering products and IT &ITES.
It is also the richest district in Tamil Nadu in terms of per capita income, and tops the state in Human Development Index (HDI), literacy, and education. The district's headquarters is Nagercoil.
Tamil Nadu is a traditional exporter of Textiles & Garments, Leather Goods, Automobiles & Components and Electronic Hardware among others.
Bananas and mangoes are cash crops while groundnuts, sesame, and sunflower are oil seed crops. Paddy is the most leading crop in Tamil Nadu and is found in 3 kinds namely Kuruvali, Thaladi, and Samba that varies from season to season.
In South Tamil Nadu (Madurai to Kanyakumari), commonly grown fruits include mangoes, bananas, guavas, and papayas. Popular vegetables include tomatoes, brinjals (eggplants), okra, and green leafy vegetables like spinach and amaranth. The climate in South Tamil Nadu supports the cultivation of a variety of tropical fruits and vegetables.
The most famous dinner dish in Tamil Nadu is probably "Sambar and Rice." This flavorful combination of spiced lentil stew (sambar) and steamed rice is a staple and widely enjoyed across the region. It is the cheapest food in South Tamil Nadu. The cost of living is more and more cheap in South Tamil Nadu than other cities in Tamil Nadu.
You might know Madurai for its legendary Meenakshi Temple, but did you know it is also called the food capital of Tamil Nadu? With a culinary tradition that goes back to the 12th century, the region has developed a mouth-watering line-up of dishes that rivals some of the best cuisines of Tamil Nadu.
Some of the State Government developed “Industrial Parks” are available in Dindigul, Sivagangai, Karaikudi, Pudukottai, Tirunelveli, Thoothukudi, Madurai, Ramnad & Virudhunagar. Food parks are available at Theni.
SIPCOT has established industrial complexes in 16 areas, according to the SIPCOT webpage. These include: Gangaikondan – South Tamil Nadu, Hosur(Electronics Hubs of TN), Manamadurai – South Tamil Nadu, Nilakkottai – South Tamil Nadu, Pudukkottai – South Tamil Nadu, Thoothukudi – South Tamil Nadu
A new SIPCOT is going to be established in Karaikudi.
SIPCOT IT Park is the largest Information Technology Park in Asia, located in Padur, Siruseri, along the IT Corridor, are readily available at Madurai & Tirunelveli.
Special Projects
- Desalination Plants Revolutionizing Industrial Water Supply - Thoothukudi
- Tertiary Treatment Reverse Osmosis (TTRO) Plant
- Industrial Housing Facility: Enhancing Employee Well-being and Proximity to Work
- SIPCOT Industrial Innovation Centres
Hosur is the major Industrial base in Tamil Nadu and the Ship Port is near to this is only Thoothukudi.
Why to invest in SIPCOT? Investing in SIPCOT, the State Industries Promotion Corporation of Tamil Nadu, can be a strategic decision for businesses and investors for several compelling reasons:
Strategic Location: Tamil Nadu is strategically located in the southern part of India, with easy access to major ports and transportation networks. This makes it an ideal gateway for businesses looking to serve both domestic and international markets.
Infrastructure Support: SIPCOT develops and maintains world-class industrial infrastructure, including industrial parks, special economic zones (SEZs), and technology parks. Investing in these well-planned and equipped facilities can significantly reduce the cost and time required to set up operations.
Investment Incentives: Tamil Nadu and SIPCOT offer various incentives and concessions to attract investments. These may include tax benefits, subsidies, and exemptions, making it financially attractive for businesses to establish their operations in the state.
Skilled Workforce: Tamil Nadu boasts a skilled and diverse workforce across various industries, including manufacturing, IT, and services. This readily available talent pool can meet the demands of different sectors.
Educational Institutions: The state is home to renowned educational institutions and research centres, ensuring a continuous supply of well-educated professionals and fostering innovation and technological advancements.
Infrastructure Connectivity: Tamil Nadu has a well-developed transportation network, including highways, railways, and ports. This connectivity facilitates the efficient movement of goods and raw materials, reducing logistics costs.
Stable Government: The government of Tamil Nadu has a history of being investor-friendly and committed to promoting industrial growth and economic development.
Proximity to Markets: Businesses located in Tamil Nadu can tap into the large consumer markets in South India and other parts of the country. The state's proximity to Southeast Asia also provides access to rapidly growing international markets.
Industry Clusters: SIPCOT promotes the development of industry clusters, which can foster collaboration, innovation, and efficiency among businesses in related sectors.
Environmental Compliance: SIPCOT emphasizes sustainable and environmentally responsible industrial practices, ensuring that businesses operate in an eco-friendly manner, which can enhance their reputation and reduce regulatory risks.
Export Opportunities: Many businesses in Tamil Nadu are export-oriented, and SIPCOT actively supports industries in exploring global markets and expanding their export capabilities.
Quality of Life: Tamil Nadu offers a high quality of life for employees and their families, with good educational institutions, healthcare facilities, and a rich cultural heritage.
Government Support: SIPCOT provides businesses with a single point of contact for government-related matters, streamlining administrative processes and reducing bureaucratic hurdles.
Innovation Ecosystem: The state promotes innovation through technology parks, research institutions, and incubation centers, making it an attractive destination for technology and knowledge-based industries.
Resilience: Tamil Nadu has shown resilience to economic challenges and has a diversified industrial base, which can provide stability to businesses over the long term.
Investing in SIPCOT and Tamil Nadu offers a combination of strategic advantages, financial incentives, and a favorable business environment, making it an appealing destination for businesses across various sectors looking to expand or establish their presence in India. However, potential investors should conduct thorough market research and due diligence to assess the specific opportunities and challenges related to their industry and business goals.
Tamil Nadu’s Industrial Parks and SEZs under SIPCOT: A Brief for Investors
Tamil Nadu is a prominent location in India for foreign investors due to the state’s advanced infrastructure, mature industrial ecosystem, and logistics capabilities.
The state boasts of the second highest GDP in the country and has the largest number of factory units in India at 37,220.
Tamil Nadu has a highly diversified manufacturing sector, including for automobiles, aerospace, pharmaceuticals, textiles, electronics, leather products, and chemicals, among others. Prominent firms like automakers Hyundai Motor India, BMW, and Renault Nissan have set up in the state and have contributed to the growth of automotive and ancillary industries in the region. Tamil Nadu also accounts for 20 percent of electronics production in India and it is likely why Apple’s major contract manufacturers are set up here. The ease of doing business in Tamil Nadu is another attractive consideration for foreign investors – supported by ICT-enabled governance. The state is a major foreign direct investment (FDI) destination in India for US businesses. Tamil Nadu hosts more than 300 US companies with 375 projects worth around US$11 billion in investments. Leading US companies in the state include Ford, Dell, and Caterpillar. There are sister cities agreements in place between a) Chennai and Denver and San Antonio, and b) Coimbatore and Toledo.
Moreover, several state-owned entities jointly work to develop industrial infrastructure in Tamil Nadu, including the Tamil Nadu Industrial Development Corporation Ltd (TIDCO), State Industries Promotion Corporation of Tamil Nadu (SIPCOT), Tamil Nadu Industrial Investment Corporation Limited (TIIC), and Tamil Nadu Small Industries Development Corporation Limited (TANSIDCO).
In this article, we spotlight the industrial complexes, parks, and growth centers managed by SIPCOT – covering their locations, type of industrial activity hosted, and land allotment.
In most of the above 37220 units, the people from Southern Parts of Tamil Nadu will be around 40%, which shows the Interest of working labours are from this areas, covering Kanyakumari, Tirunelveli, Thoothukudi, Virudhunagar, Theni, Madurai, Thenkasi, Sivagangai, Ramnad and Dindigul districts.
FACTORS WHICH NEED TO ACCOMMODATE FOR FEASIBLE BUSINESS:
WATER MANAGEMENT - The ground water level is those areas are comfortable since the rivers of Vaigai, Tamirabarani, Cauveri & Palar are running inside South Tamilnadu.
DISASTER MANAGEMENT - People are spreading scatter among these areas, hence, human fatality would be very few. Tamil Nadu's natural landscape is characterized by its division between the flat coastal regions in the east and the hilly terrain in the north and west. The expansive Kaveri River delta forms the widest part of the eastern plains, while further south lie the arid flatlands surrounding Ramanathapuram and Madurai. Along the state's western border, the towering peaks of the Western Ghats, including the Nilgiri, Anaimalai, and Palni hills, reach elevations exceeding 8,000 feet, with Anai Peak in the Anaimalai Hills standing as the highest mountain in peninsular India at 8,842 feet.
COST CONTROL MANAGEMENT - Madurai is the cheapest in cost of living, since the Vegetables & rice are getting very nearby localities. MSME sectors are the backbone for this cheap cost of living. All levels of people will stand together for the growth of Madurai, whereas in cities like Chennai, the high class people will not mingle with low level people.
LABOUR MANAGEMENT – Very hard working, trust worthy, with cheap remuneration in this area, since most of the Villagers/farmers are not ready to relocate to other areas. Skilled development is very easy, since lot of good and well established institutions are available in and around Madurai. For example, Thiagarajar College of Engineering, Madurai, MEPCO Schlenk Engg College, Sivakasi, KLN, Sethu, National, Kalasalingam, etc are in that area, which provided substantial education.
LOGISTIC MANAGEMENT – Tamil Nadu's position at the southernmost tip of the Indian subcontinent makes it a crucial gateway for trade routes connecting India to Sri Lanka and Southeast Asia. This geographical advantage has contributed significantly to the state's economic and cultural exchange with neighbouring regions and nations over the centuries.
CLIMATE MANAGEMENT – Due to its dependence on monsoon rainfall, Tamil Nadu is vulnerable to droughts when they occur. The state has a variety of climates, from semi-arid to wet rainforests. Agriculture in Tamil Nadu is dependent on the monsoon. South Tamil Nadu has a tropical climate with hot summers and moderate winters. The state receives most of its rainfall during the northeast monsoon season from October to December. Kodaikanal, South Ghats of Kerala, Kutralam, etc are in South Tamilnadu.
Flora And Fauna MANAGEMENT - Forests cover approximately 15 percent of Tamil Nadu's territory. At the lofty elevations of the Western Ghats, subalpine vegetation thrives. Along the eastern flank of the Western Ghats and in the hills of the northern and central districts, the plant life exhibits a blend of evergreen and deciduous species, some of which have evolved to thrive in arid conditions. The state is home to several national parks and over a dozen wildlife and bird sanctuaries, with notable examples being the Mudumalai Wildlife Sanctuary and National Park in the Nilgiri Hills and the extensive Indira Gandhi Wildlife Sanctuary and National Park located at the southern tip of the Western Ghats. These sanctuaries provide a secure habitat for a diverse range of fauna, including elephants, gaurs (wild cattle), Nilgiri tahrs (goatlike mammals), wild boars, sloth bears, and various species of deer. Tigers, leopards, and various primates such as macaques, langurs, and lorises also inhabit these areas.
Hence, “business tycoons” who are interested to launch or expand their business should come forward to make use of these areas of South Tamil Nadu, which are the real “Futuristic Projection of Tamilnadu”.
Paul Sureshkumar S
Madurai – 9842971959