WG awaits industrial leap with bagful resources

Eluru: DESPITE being endowed with abundant delta land and enterprising people, West Godavari district is in need of industrial parks and sector-specific clusters to give a big leap forward for industrialisation.

Notwithstanding the fact that the district accounts for a gross district domestic product of $7.5 billion with agriculture contributing $3 billion, entrepreneurs feel that their enthusiasm and business zeal cannot be translated into fruitful action due to problems relating to availability of land. The prohibitively high rate of private lands and the difficulties associated with it in getting power and other connections are dampening their spirit.

District Industries Promotion Committee member GS Ramakrishna said: "Most of the MSME units are shut down for want of encouragement. The Covid-19 pandemic came as a big jolt for the investors." He stressed the need to set up more industrial estates.

"We have a practical difficulty here. The proposal to set up a big industrial estate at Eluru and Jangareddygudem did not see the light of the day due to land disputes."

"We need developed plots allotted by APIIC at designated places, hassle-free approvals and easy access to institutional finance," Ramakrishna, secretary of AP Chamber of Commerce, told Bizz Buzz.

DICCI (Dalit Indian Chamber of Commerce and Industry) West Godavari unit coordinator K Naveen Kumar said getting land for industries is tremendously difficult for investors in West Godavari, the reason being the preference for converting lands into fish ponds and Vannamei (white-leg shrimp) cultivation for getting assured returns. He said the present government had launched a proactive policy to encourage Dalit entrepreneurs with lot of subsidies.

The prospective investors have been demanding for a long time the development of multi-sector as well as industry-specific clusters to give a big boost to industrialisation and consequently large-scale employment.

On the other hand, the official machinery has identified potential sectors/products for exports which include encouragement to investments in food and agro, aqua, mineral, textile, food and agro-based sectors.

The district has horticulture crops spread over 1.204 lakh hectares. It has widespread plantations of mango and oil palm. The major horticulture crops are mango, lime, banana, oil palm, coconut, cashew, cocoa, vegetables, spices and flowers.

Food processing plants, warehousing and cold storages will go a long way in giving a fillip to horticulture production.

There is scope for cultivation of medicinal and aromatic plants, which have a lot of demand. Agriculture is the backbone of the district economy and about 78 per cent of people depend on farming to eke out a living. The major crops grown are paddy, sugar cane, maize, tobacco, redgram, greengram, blackgram, groundnut, sunflower and pulses. The gross cropped area is 7.24 lakh hectares.

The District Industries Centre has identified scope for establishment of palm oil, rice bran oil, cashew, cocoa, lime, fruits and vegetable processing units across the district.

With aquaculture becoming the mainstay, there is scope for further investments in the fisheries sector with some value addition. The district is well developed in fisheries accounting for one-third of inland fish production at three lakh tonnes out of 9.16 lakh tonnes produced in the entire State.

The district has three lakh acres of fish culture yields producing 36 lakh tonne of fish. Shrimp culture taken up in two lakh acres fetches a yield of an estimated 12 lakh tonne of prawn production. At present 18 shrimp processing units are in production in and around Bhiimavaram with an installed capacity of 540 ronne per day. The turnover of each plant is around Rs.250 crore per annum. All units are export oriented. Each unit provides employment to 500 persons.

Officials admit that there is a bright scope for establishment of prawn processing units, fish feed manufacturing units, ice plants and cold storages. These units are having scope to be established in and around the mandals of Narasapuram Revenue Division.

The district is also rich in minerals. The important minerals available are ball clay (2.71 lakh), fireclay (8,180 tonne), quartz (10,909 tonne), limestone/feldspar and chromite. There is a scope for investment in manufacturing ceramic tiles, vitrified tiles and refractory bricks in and around the mandals of D Tirumala, Kamavarapukota, Bhimadole, Devarapalli and Kovvur.

In the textile sector, the district has 20 spinning mills in and around Tanuku.

Due to climatic conditions even though the raw material cotton is not available in plenty in the district, the mills have come up with an investment of Rs 2250 crore with an installed capacity of 450 tonne per day providing employment to 4,000 people. The turnover of these units is estimated at Rs 10.35 crore per day.