The State Cabinet gave its approval for allotment of 210 acres at Toopran near the city to MLR Motors for Rs 5 lakhs an acre to set up a car factory. Another 250 acres would be allotted later for ancillary industries.
Besides land, the State government will also provide subsidised power and water supply and recognise it as SEZ. The project is slated to provide direct employment to 3,000 workers.
The Hyderabad-based company, which is headed by B. V. R. Subbu, former president of Hyundai Motor India Limited, is investing Rs 2,500 crores along with others on a car-manufacturing unit and plans to roll out its entry level 900 cc and 1500 cc diesel cars in 2009.The ancillary units will be established by M/s Lokesh Machines Limited. MLR Motors has tied up with M/s Wooling, an associated company of General Motors operating from China and entered into a technology agreement with Fiat India and Fiat Italy, for purchase of Uno Engine.
Besides land, the State government will also provide subsidised power and water supply and recognise it as SEZ. The project is slated to provide direct employment to 3,000 workers and indirect employment to more than 5,000 persons.
At a meeting on Friday evening, the Cabinet resolved to allot another 250 acres later for ancillary industries.
Source: The Hindu, Deccan chronicle
