In a major boost to its industrial development and investment plans, the Punjab Government led by Chief Minister Captain Amarinder Singh has signed a Rs. 5000 crore MoU with Mumbai based Govind Rubber Limited.The Memorandum of Understanding was signed by the company’s chairman Vinod Poddar and Punjab Bureau of Investment Promotion CEO and Secretary Industries & Commerce Punjab R.K. Verma here on Friday.
Aligned to the chief minister’s vision and resulting from his continuous efforts to woo industry to the state, the MoU envisages the establishment of a new tyres and tubes manufacturing plant, to be set up in two phases over 250 acres. The first phase will be completed by December 2018 at Rs 3000 crore, an official spokesperson disclosed, adding that Poddar Group had vast experience in the rubber industry and was already running a unit in Ludhiana for the past two decades.The project would yield employment opportunities for more than 3500 people, while giving a fillip to the state’s industrial development, said the spokesperson, describing it as an outcome of the Chief Minister’s Mumbai visits to woo captains of industry and the government’s new industrial policy, with its provisions aimed at creating an industry-friendly environment in the state.The new plant will cater to the demand for tyres and tubes across all the sectors - from bicycles to automobiles, as well as heavy earth moving machinery etc. The plant will be set up with state-of-art technology and shall have 300 robots to manage the manufacturing process, which shall be highly environment friendly with no air or water pollution, the company’s chairman revealed. He further disclosed that this will be the first plant in India deploying such a large number of robotic processes in manufacturing.Govind Rubber was encouraged its presence in Punjab by the various initiatives taken by the Captain Amarinder government to provide a seamless enabling environment for industrial growth, as well as incentives such as freezing the industrial power tariff at Rs 5/unit, said the spokesperson.Verma assured Poddar that the state government shall facilitate speedy implementation of the project and all assistance would be provided in securing approvals and financial incentives in a time-bound manner.