The Hindu Business Line : VSEZ achieves Rs 180-cr export turnover in Q1

THE Visakhapatnam Special Economic Zone (VSEZ), which has achieved Rs 180-crore export turnover in the first quarter, is set to scale new heights as several units are coming up shortly or are under implementation, according to Mr Ramesh Kumar, Development Commissioner.

At a press meet here on Monday, after reviewing the performance of the units, Mr Ramesh Kumar said several units were coming up in the VSEZ. During the past two years (2003-2005), 57 licences had been issued, and, of them, 54 projects were under different stages of implementation. During the same period, 120 licences had been issued for 100 per cent export-oriented units in Andhra Pradesh, and, of them, 109 were being implemented. He said the infrastructure in the zone has been improved substantially during the past two years, with the construction of a rail overbridge and laying of approach roads to the zone.

He said the railways had contributed Rs 4 crore to the flyover and Rs 14 crore towards the VSEZ.

Six industrial sheds, each costing Rs 50 lakh, were under construction.

A building with five floors and ramp facility was being constructed at a cost of Rs 7.8 crore.

Mr Ramesh Kumar said the State Government had been requested to allocate 200 acres more for the expansion of the zone and the Union Government had already sanctioned Rs 5 crore for the purpose. "The State Government has responded favourably to the proposal. All the developed area (360 acres) is fully utilised," he said.

He said licence had been issued to an Australian company, Indo-Pacific Lock and Security Systems, on Monday for setting up a unit in the zone.

"Dr Reddy's Labs is setting up three units besides, the trading centre and several new projects in different segments such as pharmaceuticals, granite and food processing are coming up. In a matter of few years, if everything goes right, the export turnover will go up by leaps and bounds," he claimed.

Answering a question on the labour unrest in the zone, Mr Ramesh Kumar said that by and large there was no problem in the VSEZ.

He admitted that recently some problems had arisen in Worldwide Diamonds, but "it has been resolved amicably."

The workers were being paid the minimum wages and provided the other facilities in the zone and a minor problem now and then should not be blown out of proportion, he added.

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