Kerala targets Rs 10,000 cr private investment this year

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Thiruvananthapuram, May 27: The Kerala government targets at least Rs 10,000-crore private investment in the current fiscal. With CPI(M)-led the LDF government taking a stern stand against labour union demands like ‘nokku kooli’, ‘bhoota panam’ etc ( toll claimed by idling supervisors), investors, especially NRIs, has started going bullish on parking their projects on viable projects, in Kerala, State industry minister Elamaram Karim said.

“The LDF government has clearly indicated to all trade unions that the practice of unions giving a list of employees to the investors should go. The investor should have all freedom in chosing his employees,” the minister said. In a U-turn from its trade union-driven policy, Pinarayi Vijayan, State secretary of ruling CPI(M) had recently hit out against the practice of nokku kooli. “No economic theory - not Marx certainly - says that one who idly watches while others work can claim wages,” Karim, who came up the political ladder through the trade union route, said.

Two of the most job-intensive MoUs signed that the State looks up to are the Rs 5,000-crore hitech city in Ernakulam and Rs 2,500-crore Integrated Industrial township in Kinaloor in Kozhikode. while the first is undertaken by the Oman-based Sobha Group, the industrial township in Kozhikode is to be set up Malaysia-based CIDB (Construction and Industrial Development Board). Sobha Hitech City is envisaged to yield 75,000 direct jobs and Indo-Malaysian township in Kozhikode 25,000 direct jobs.

These two major projects are pending clearance from the single window committee for mega projects, chaired by Chief Minister VS Achuthanandan.

Russian firm Rose Developers (formerly Rosoboron), through its titanium subsidiary Avisma Corporation, has signed an MoU with the State government to develop a titanium complex in Chavara, Kollam. The Rs 960-crore project is envisaged adjacent to a Rs 1500-crore titanium sponge JV between ISRO (Indian Space Research Organisation) and a Kerala PSU called KMML in Chavara scheduled to be commissioned in July 2009.

Meanwhile, a committee of technical experts is evaluating the project report submitted by the Russian firm. The Kerala government has proposed that the Russian titanium complex project should allow equity from the Central government in 26-50% range. This equity could be through titanium-using Central PSUs like HAL or IRE.

“Because of high population density and literate manpower resources, Kerala’s core competency lies not in polluting manufacturing business, but in SMEs.