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(Thanks to http://kddf.wordpress.com/2009/12/02/information-about-subarnapur-district-handloom-cluster/  for the inspiration to write about this.)

The following is from the pages http://www.indianhandloomscluster-dchl.net/index.asp.

The overall handloom situation in Orissa is as per the following table:

Among those, Bargarh and Sonepur are among the 20 pilot clusters.

The page for the Baragarh cluster is http://www.indianhandloomscluster-dchl.net/Bargarh/Index.asp. Following is some information from that page.

Bargarh Handloom cluster is spread over the entire Block of Bargarh, Attabira, Bijepur and Sohella. The cluster has 7158 numbers of looms as per the survey report of the zonal Handloom office taken up during the year 2004 out of which 5102 looms are working in 299 different villages. The main products of the cluster are cotton sarees of tie and dye and small amount of dress materials, lungis and napkins etc. The annual production is around 10 Crores rupees. The products of this area are mostly marketed in Orissa and National market. The cluster so to say represents Orissa in quantitative and qualitative Tie and Dye Cotton Sarees as no other clusters of other districts in Orissa produces such sarees.

… The weaving in the cluster by the traditional weavers’ community popularly known as "Bhulia" came in to existence during mid of 17th  century and with increase in their population, they spread to other nearby places. They initially belong to Rajasthan and were presented during the 14th  century to the ruler of Patna State, a king of Chouhan dynasty "Ramai Deb". Later on they were presented to the king of Sonepur during the 16th  century and scattered to the nearby district i.e., Bargarh in the next century.

The cluster consists sizable number of professional weavers (Non traditional) from Schedule Caste and  Schedule Tribe (Kuli caste) weavers, which in total accounts for 60 %. Generally these weavers are less skilled and engaged in production of Napkin, Lungi,  Sarees, Dhotis, etc.

Weaving with Tie dye in the cluster prior to 40”s was done with 40”/42” looms operated with hanging slay and engaged in producing Kapta, Lungi and Napkins made of 12’s/16’s/20’s cotton yarn. The yarns were dyed with vegetable colours. The main colours were Yellow (from Turmeric), Maroon (From bark of Aal tree), Blue form Nile and Black (From Hirakasi and Chakda Seeds). Fabrics of vegetable colours were sometimes not fast and ranges of colours were also limited, forcing the Tie-Dye production in to limited colours and so also the design. Such practice was on vogue till the mid of 40s when vat colour was first substituted for in place   of some vegetable colours.

The next major changes in the cluster took place with the introduction of twisted cotton mercerized yarn and synthetic colours in the early 60’s. The looms started widening mainly to 52" width for normal sarees and other production and 90" for double bed sheet production. There were also few 60” / 72" looms to accommodate weaving of middle-sized bed sheets.

Activities in the cluster started taking momentum with the involvement of Late Padmashree Dr. Krutartha Acharya and his four associates in the cluster area during 1942 and started their business with production on limited numbers of looms. Later he converted his business in to a co operative society named Sambalpuri Bastralaya, registered during the year 1954 under "Bihar and Orissa Co operative Societies Act" and established in Bargarh town. This is the first firm in the cluster, which took the leadership in weaving activities of cluster and stood as a milestone in its history.

… Unlike the Tie-Dye work of other states of India, the motif and designs of the cluster are infinite in number and every motif or design is categorized under a special caption. No design is let out without giving it a name. It shows the creative mind of the weavers of the region.

The page for the Sonepur cluster is http://www.indianhandloomscluster-dchl.net/Sonepur/Index.asp. Following is some information from that page.

The writing in the stones of Kahandagiri cave Orissa suggests that the art of weaving was in Orissa before 600 B.C. Similarly some carving in the temples of Sonepur cluster (Baidyanath) indicates that weaving was in existence in the area during prior to 9th B.C. Besides weaving with cotton yarn, there was also weaving with wild silk (Tassar), wool and fibers from stem of lotus. The tie-dye weaving in western Orissa came in to existence during mid of 14th century when 100 weaver’s families were brought from Raipur area of Madhya Pradesh by the then ruler of Patnagarh Sri Ramai Dev. The weavers’ later on titled as Meher and their caste known as Bhulia. Such weavers were traditionally weaving the tie and dye fabrics. Orissa has also history of exporting handloom to south-east Asia countries like Thailand, Java, Borrneo and Sumatra (Last three are Island of Indonesia) during pre-independence period in sea route. It is therefore also the bank of river Mahanadi and some other big river of Orissa has developed weaving culture.

The Bomkai Designs are the traditional designs in production in the village named Bomkai in Ganjam District of Orissa. Latter on it is introduced in Sonepur. Before 1950’s the main product mix of this cluster was cotton sari and Dhotis. The main occupation of "Bhulia" community was weavings. Weavers had looms of short width and they used to weave cotton sari of length 12ft and its width was 36 inches. During that period, cotton yarn of (10 to 40) counts were available in the market.

Weavers by own used to sell woven sari at nearby locally market and whatever they got remuneration by selling the sari, they used to brought yarn for further weaving. During this period, due to absence of chemical dyes, mainly vegetable dye was used to dye the yarn. Vegetable dye had limited colours i,e yellow (From Turmeric), Maroon (From bark of Aal trees), Blue (Nile) and black (Hirakasi and Chakda seeds). The colour of vegetable dyes was not fast in the fabrics. The vegetable dye has limited ranges of colour that limit the design of tie & dye fabrics. During mid of 1950’s the late Padamshree Sri Kruthartha Acharya was the up-coming entrepreneur in handloom sector. He was belonging to Bargarh sub-division which was neighbouring district of Sonepur. He had installed 200 looms at Sonepur and established a unit for producing handloom sarees. During mid of 1960’s, lots of modifications were done to upgrade the handloom sector of Sonepur. The widths of looms were widening up to (48 to 50) inches; mercerized yarns of finer quality (60 counts) were introduced. Shri Kruthartha Acharya also introduced chemical dyes. Many weavers were trained to adopt the change. Due to introduction of chemical dye, the ranges of colour shed were increased which helps the weavers to produce variety of design in tie and dye fabrics. Slowly other weavers of the cluster adopted the new technology. Dr Acharya also searched other market by promoting the Sonepur product in other States by participating in exhibition and fair conducted by handloom department, Govt. of India. He also used to purchase the woven sari from weaver and used to supply raw materials and design to them. This helped the weavers to only concentrate on production work instead of marketing the products. Latter on during 1954, Dr. Achaya converted his firm into cooperative society named Sambalpuri Bastrayala Handloom Cooperative Society Ltd, Bargarh, which is at present stand as a leading PWCS of not only the State but also of the country. During mid Seventies G.O.O. initiated a corporation called Orissa Handloom Development Corporation which grew and decayed in two decades and has been liquidated recently. The other major changes taken place in the cluster was introduction of silk yarn in early 1980’s. The body part of silk fabric was woven with silk yarn and Anchal by cotton tie and dye. It took two – three years to develop Jala design which helped the weaver to design the fabric in simple way. This Bomkai design were developed in the late 80’s and introduced in early 1990’s in the cluster. Since then, the permutation and combination of designs involving in tie-dye, Bomkai, Jala etc are practicing in the cluster. Latter on Body design was also developed to make the fabric more attractive and Zari were used to add value to the fabric. Weaver co-operative societies were the major firms operating in the handloom sectors. These societies were large in number during mid of 90’s. The entry of private entrepreneurs and private traders started from 1980’s. Padamshri Chaturbhuj Meher had entered in this sector in early 1980’s and had great contribution in this sector. On the other hand gradual reduce in the Government subsidies, declining support from apex WCS, closure of Handloom Development corporation and mismanagement at the primary wcs level are the main reasons of reduction in the number of active co-operative societies. Unlike the Tie-Dye work in the other part of India, the motif and design of the cluster are infinite in number and every motif or design is characterized under a special caption. No design is let out without giving it a name. It shows the creative mind of the weavers of region. Orissa had 129236 (1951), 119005 (1987) and 92869 (1996) as per the handloom figure census, which shows the continuous decline in the loom position. The total looms in Sonepur district is 7243 (As per the survey conducted by ADT office Sonepur). The product mixes are cotton sari, silk sari and dress material. The total production of the cluster in the Co-Operative Sector is Rs 985.46 lacs.

Following is an excerpt from a report in rttnews.

 National Aluminium Company or Nalco, the state-run aluminium producer, will invest about Rs.22,000 crore to set up two mega projects, one in Andhra Pradesh and the other in Orissa.

Minister for Mines B.K. Handique told the Lok Sabha Tuesday that the navratna firm would set up a 5-lakh ton aluminium smelter in Jharsuguda, Orissa, along with a 1,260 MW captive power plant at an estimated investment of Rs 16,345 crore.

… it has set apart Rs.2 crore each for pre-project activities in Orissa and Andhra Pradesh.

Following is from PIB http://pib.nic.in/release/release.asp?relid=54712.

Minister of State (Independent Charge) Shri Jairam Ramesh received a large number of representations in regard to the project for bauxite mining by the Orissa Mining Corporation (OMC). In a statement issued here today he said the projects are now being examined in the Ministry for approval or rejection so that there is no ambiguity and project proponents do not misuse the ‘in-principle’ approval. 

The following is the text of Shri Jairam Ramesh on the issue of bauxite mining in Orissa: 

“I have been receiving a large number of representations in regard to the project for bauxite mining by the Orissa Mining Corporation (OMC) through Vedanta, a private mining company in Kalahandi and Rayagada districts of Orissa. The total amount of forest land proposed to be diverted is 660.749 ha., of which around 353.14 ha is in the Niyamgiri reserved forest. Concerns have also been raised on the impact that this project will, interalia, have on livelihoods of tribal communities. 

The project application was received in the Ministry of Environment & Forests (MoE&F) on February 26, 2005. The MoE&F gave ‘in-principle’ approval for this project on December 11,2008 under the Forest Conservation Act,1980. This ‘in-principle’ approval is to be converted to a final approval after the fulfillment of stipulations contained in the ‘in-principle’ approval. 

As the representations started coming in, on August 6, 2009 the MoE&F asked the Regional Chief Conservator of Forests, Bhubaneshwar to investigate complaints that project activities have started even without the final approval of the Central Government in violation of the Forest Conservation Act, 1980. The site was inspected and the site inspection report was submitted on August 16,2009. The site inspection report found that construction activity had begun in the non-forest revenue land. Technically this is not a violation of the law but it is a violation of the guidelines issued by the MoE&F which says that when a project involves non-forest and forest lands, construction in the non-forest land should not begin without clearance for activity in the forest land itself. A letter has been issued on November 25th,2009 to the Orissa Government asking for an explanation as to how the violation of this guideline has been permitted. 

On August 3, 2009, the MoE&F had issued a binding guideline to all State Governments that application for diversion under the Forest Conservation Act, 1980 would be considered only after all due processes contained in the Scheduled Tribe and Other Forest Dwellers (Recognition of Rights) Act, 2006 have been fully and satisfactorily completed. A letter was subsequently issued by the MoE&F to the Orissa Government on November 3, 2009 directing the State to comply with the provisions of the Scheduled Tribe and Other Forest Dwellers (Recognition of Rights) Act, 2006 and provide evidence for the compliance before the Centre could examine conversion of the ‘in-principle’ approval to final approval. The reply of the state government is awaited. In addition, another site inspection team is being sent in the next one week to verify fresh allegations of violations of the terms of the ‘in-principle’ approval under Forest Conservation Act,1980. 

The new policy of the MoE&F does away with the concept of ‘in-principle’ approval. Projects are now being examined for approval or rejection so that there is no ambiguity and project proponents do not misuse the ‘in-principle’ approval.” 

KP/

Following are two excerpts from reports in Pioneer, one about Radisson and another about a maize processing complex.

Tourist activity mostly centred in Bhubaneswar, Puri and Konark, coupled with corporate houses and MNCs making a beeline to Odisha has made Assotech Group, a real estate developer, bring Radisson Hotels to Bhubaneswar, the leading upscale full service five-star hotel brand which will put Bhubaneswar on the global map of five star luxuries.

It is estimated that there is a current demand of around 1,000 rooms of five-star category hotel and 4,000 rooms of three-star category hotels in Bhubaneswar.

 

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Kolkata-based Four Star Export House LMJ International Ltd and National Niryat Award winner in 2009 having Rs 2,000 crore of agri export during 2008 has proposed to set up a maize processing complex in Nabarangpur district.

… LMJ International is likely to start the unit as early as December this year, subject to approvals by the authorities.

… An exclusive port for export of processed fruits and vegetables has also been proposed by the company.

The Chief Executive Officer of the company made the proposal at a meeting in Bhubaneswar … which was convened as a follow-up to the meeting of Agri Business Summit Agro Protech 2009 held in Kolkata …

 

The above is from Samaja. Following is an excerpt from a report in Economics Times by Nageshwar Patnaik.

A knowledge park is coming up here at an estimated cost of Rs 100 crore. This is the first public private partnership integrated industrial park by Government of Orissa and Bharat Biotech International [BBI].

Work at the 100 crore ‘Konark Knowledge Park’ at Mouza-Andharua near the state capital here began today with the ground breaking ceremony held here on Sunday. …

The project aims to boost investments in the areas of biotechnology and pharmaceuticals in the state of Orissa. When completed, this infrastructure will create world-class, state-of-the-art research and development enterprises in an exceptional environment designed to foster novel approaches to healthcare and its delivery.

The state government has allocated 64.86 acres of land (30 acres in Phase I and 24.86 acres in phase II) including 10 acres of land for development of Biotech Incubation Centre through a Special Purpose Vehicle [SPV] for development of an integrated industrial park to attract and promote biotechnology, pharmaceutical and information technology industries here. The land for park has been allocated in the form of a long term lease to the SPV named Konark Knowledge Park Pvt. Ltd.

The SPV will execute the Lease cum Development Agreement with Orissa Industrial Infrastructure Development Corporation (IDCO). The project is expected to be completed over a period of 8 years.

… Orissa Industrial Infrastructure Development Corporation (IDCO) will provide all external infrastructure facilities, such as four-way lane roads to the gate, uninterrupted water supply, uninterrupted power with 33KVA sub-station, sewage etc to facilitate rapid development of internal infrastructure.

BBI has successfully developed an integrated Agri-Biotech Park in Bangalore and establishment of Genome Valley BioPharmaceutical cluster located in the outskirts of Hyderabad.

A report in myiris states that: "About Rs 300 million is proposed to be spent by the company for the hospital project."

Following is an excerpt from a PTI report in Hindu Business Line.

Tata Steel is all set to establish a 200-bed hospital at Gobarghati in Kalinganagar industrial complex of Orissa’s Jajpur district.

About 10,000 people in the vicinity will benefit from the hospital as the steel giant has been extending healthcare facilities to people in its project as well as operational areas as part of periphery development and CSR plan, company sources said.

… For families affected in its green field steel project at Kalinganagar area, Tata Steel is setting-up the hospital in Gobarghati rehabilitation colony. The hospital building is under construction on a land of 4 acres and the civil part of the construction is almost over, the sources said.

When completed it would have round-the-clock service, pathology lab and outdoor complex. In a phase wise manner the number of beds in the hospital would increase to 200. Also to begin with, the hospital would have 4 to 5 doctors and required number of para-medical staff.

Following are excerpts from a report by Bishnu Das in Business Standard.

… Vedanta Aluminium Limited (VAL), a subsidiary of Vedanta Resources Plc, plans to set up an aluminium park at Jharsuguda.

The proposed park is expected to house at least 10-15 medium size downstream units with the total investment projected to be in excess of Rs 5000 crore. About 150 acres of land has been identified by the Orissa government for the purpose, sources said.

The units to come up in the park will utilise liquid alumina or ingot produced by VAL for manufacturing various products like electrical appliances, cable, aluminium extrusion and automobile parts.

The location of the park close to the VAL’s smelter plant at Jharsuguda is expected to reduce the input cost for downstream products.

…  Meanwhile, two downstream units have already applied to the district administration to set up shops in the proposed park.

On the other hand, the company’s refinery unit located at Lanjigarh has initiated steps for setting up an ancillary complex in its vicinity. The complex will house industries related to the field of fly ash bricks, cement, mineral water, hotels and food processing.

Joint advertisement by the company and District Industries Centre located at Lanjigarh was published and more than 80 applications have been received for setting up of industries in the identified field.

Sources said, about 20-25 acres of land has been earmarked for the setting up of ancillary units …

It may be noted, the company has already set up a 1 million tonne per annum greenfield alumina refinery at Lanjigarh and a 0.5 million tonne per annum aluminum smelter at Jharsuguda.

This is great news. I hope the people of Lanjigarh and Jharsuguda help in the early implementation of these plans. The downstream units often hire more people than the smelters. They also lead to the development of townships. In case of Jharsuguda such development would speed up the operationalization of the airport.

Following is an excerpt from a report in Business Standard.

The first phase of the Naveen Jindal-promoted Jindal Steel and Power Ltd (JSPL)’s proposed 6 million tonne per annum (mtpa) steel project and 1000 Mw power plant at Angul in Orissa is expected to be commissioned in 2011-12.

The shifting of families to be displaced by the project was going on and simultaneously, the construction of the boundary wall had started. The detailed engineering would follow the completion of the rehabilitation and resettlement (R&R) of displaced persons and large scale construction would be taken up after that.

“We plan to start large scale construction work in January next year and the first phase commissioning is scheduled to be in 2011-12”, Rajesh Kumar Jha, executive director, JSPL told Business Standard.

He said, out of three villages to be shifted completely for the first phase construction, two villages had been rehabilitated completely. The remaining village would be rehabilitated by December this year. The company’s strategy of combining the project economy with the rehabilitated family’s economy has gone down well with the people. …

… the company had placed orders for civil and structural works worth Rs 1584.57 crore which was 60 percent of the estimated costs. Similarly, orders for plant and equipment worth Rs 4,034.34 crore had been placed which was about 35 per cent of the total estimated costs of plant and equipments.

The total cost of the project is Rs 22,420 crore with the first phase investment pegged at Rs 13,000 crore. The project has already attained financial closure and will have a 60:40 debt-equity ratio. While the debt component will be Rs 8,958 crore, the equity is Rs 13,452 crore.

…  While the company requires 5,279 acres for the steel plant, about 3000 acres have been acquired so far. The acquisition of additional 707 acres of private land is likely to be over by the end of this month.

Following is an excerpt from a report in Business Standard.

… Projects awaiting the chief minister’s nod include those proposed by National Thermal Power Corporation (Rs18,000 crore), L&T-Dubal (Rs 19,668 crore) and Lanco Babanh Power (Rs 11,402 crore) among others.

… The SLSWCA in its meeting held in March 2007 cleared the Rs 4232.54 crore investment proposal of Ashapura Minechem Ltd for setting up of a 0.5 million tonne per annum (mtpa) alumina refinery and 0.15 mtpa smelter with 300 Mw captive power plant (CPP) in Koraput district.

Similarly, NTPC proposal to set up a 3200 Mw thermal power project at Darlipali in Sundergarh district was approved by the SLSWCA in February 2008.

The fate of L&T’s proposal to set up an alumina-aluminium complex at Kusumsila near Rayagada and Vadrapali near Sambalpur in joint venture with Dubal is still uncertain.

Sources said, the HLCA is yet to consider the Rs 8,250 crore investment proposal of Orissa Thermal Power Corporation Ltd (OTPCL) to set up a 2000 Mw coal based power plant at Rengali. It is also yet to take up the Lanco Babandh Power’s application to enhance the MoU capacity from 1320Mw to 2640 Mw at Kurunti and Kharagprasad in Dhenkanal district.

The Rs 3101.86 crore proposal of Tata Sponge Iron to set up a 1.5 mtpa steel making capacity at Beliapada near Joda, recommended by the SLSWCA in May this year, is also pending for approval by the chief ministers.

… Though VAL had proposed to expand the capacity of its existing refinery at Lanjigarh from 1 mtpa to 6 mtpa, smelter plant capacity from 0.25 mtpa to 1.6 mtpa and the captive power plant (CPP) capacity from 674 Mw to 1350 Mw with a combined investment of Rs 37,440 crore, it was cleared in part by the SLSWCA.

The SLSWCA meeting held in May this year had recommended for a smelter capacity of 0.5 mtpa as the company had already achieved this level while approving the capacity expansion of the CPP to 1350 Mw without any increase in the refinery capacity.

Similarly, Hindalco Industries Ltd (Aditya Aluminium) had proposed to expand its alumina refinery capacity to 1.5 mtpa from 1 mtpa and expansion of its smelting capacity to 0.72 mtpa from 0.26 mtpa along with an increase in the CPP capacity to 1650 Mw from 650 Mw.

SLSWCA has only recommended a marginal increase in the smelting capacity from 0.26 mtpa to 0.36 mtpa and CPP capacity from 650 Mw to 950 Mw to the HLCA. Partial approval of these proposals was officially attributed to the non-availability of bauxite linkage and pending the final report of the environmental carrying capacity study taken up by the Orissa State Pollution Control Board.

That apart, the SLSWCA in its meeting on 26 August 2009 also recommended two projects of Rs 14,275 crore to HLCA. The Rs 7988 crore proposal of JR Powergen Private Ltd to set up a 1980 Mw power plant at Kishorenagar near Angul and BRG Energy Systems’s proposal to set up a 1320 Mw power plant at an investment of Rs 6287 crore at Bhapur in Nayagarh district are yet to be approved by HLCA.

NALCO has its headquarter in Bhubaneswar. In Orissa, its major operations are in Angul and Damanjodi (Koraput). This week there has been several different news reports about it. We start with an excerpt from a report in Telegraph about the proposed aluminum park in Angul.

An MoU was signed between the central public sector National Aluminium Company (Nalco) and state-owned Industrial Infrastructure Development Corporation (Idco) here this evening.

… The proposed aluminium park, with an estimated cost of Rs 75 crore, will be located at Angul close to the smelter plant of Nalco, said its chairman and managing director C.R. Pradhan.

Nalco and Idco will set up a joint venture on 50:50 basis soon after signing the MoU, he said.

A pre-feasibility study for the aluminium park was conducted by AF Ferguson and 200 acre land has already been earmarked. Electricity, water, road facilities would be developed soon, Pradhan said.

Following is an excerpt from a report in Financial Express about the bauxite mine it got in Andhra Pradesh.

National Aluminium Company Ltd (Nalco) is all set to go ahead with its Rs 6,000 crore aluminium complex venture in Andhra Pradesh as the bauxite mines it had sought has been cleared by the Centre and the Andhra Pradesh government. The company has bagged Gudem and Katamraju Konda bauxite mines in AP, which promises a deposit of 85 million tonne of bauxite, according to a Nalco spokesperson.

Nalco plans to build a 1.4 million tonne green field alumina refinery based on the Gudem and KR Konda bauxite deposits at Visakhapatnam at an estimated investment of Rs 6,000 crore.

Following is an excerpt from a report in Reuters.

NALCO plans to build a 310,000 tonne smelter and a power plant in Iran with Iran’s Kerman Development Organisation in a project that would cost it 80 billion rupees ($1.7 billion).

"Maybe in a month or two we will go ahead for signing the joint venture agreement with our local partner," B.L. Bagra, NALCO’s director of finance, told Reuters.

… Another overseas venture in Indonesia for a smelter and power plant was awaiting port and rail concessions by the Indonesia government, Bagra said.

Following is an excerpt from a report in TimesofIndia.

The Union government is planning to develop such parks in the state with state-of-the-art infrastructure for the plastic industry and if everything works out according to plan, Balasore will have the country’s first such park. Inspired by the success of software technology parks across the nation, the Centre is planning to set up these parks, which will provide raw materials, power and land for plastic companies.

Moreover, the companies will also be helped to market their products. These parks are expected to generate huge direct and indirect employment. A technical team led by Central Institute of Plastic Engineering and Technology director general S K Nayak, was recently here to survey the feasibility of the project. "We held a meeting with local industrialists who were given a broad idea about the plastic park and its facilities. The response was good. We will submit a report to the Union government and later have a discussion with the state government for land and other facilities. At least 250 acres of land is required for the project," said Nayak.

According to sources, Balasore, which is known as the plastic hub of the state, has about 42 plastic companies with a combined turnover of more than Rs 200 crore. While all the companies come under the small scale industry category, the range of products include plastic pipes, pipe fittings, furniture, woven sack bags, polythene bags and sheets and general moulded items.

"As plastic has become an integral part of everyday life, the Centre is planning the park, which would house at least 100 companies. Existing industries can shift their units to the park and new units can also be set up. Since several facilities are being offered at the park, it will attract new entrepreneurs. We are excited to have the park in the region," Balasore Chamber of Industries and Commerce president Himanshu Das said. "The park will promote development and growth of the plastic industry. It will provide land and efficient power supply at subsidised rate. There will be a bank, common raw material depot, testing centre, common tool room for maintenance and finally an effective marketing system within the park," he said.

This apart, the government of Orissa is also planning to start a "plastic cluster" at Balasore. The Union government has already approved 14 clusters out of 20 notified by the state government for Central assistance.

"Two proposals – one plastic cluster at Balasore and another engineering cluster at Mancheswar have been sent to the Union government for assistance under Industrial Infrastructure Upgradation Scheme. Each of these units will avail Rs 60 crore under the scheme," said an official. The team also visited some unutilized government buildings built at the cost of Rs 4.5 crore at Baliapal during the late 80s. The structures were built on around 150 acres of land under the rehabilitation package during the proposed National Test Range which was stalled in 1992 due to vehement opposition.

"We are planning to start the technical training institute here. …

Kudos to Balasore MP and MOS Srikant Jena for playing a major behind the scenes role on this. Now if only Hemanada Biswal, the chair of the labor committee which has a MOS rank, would show similar leadership with respect to Sundergarh and Rourkela. 

Following is an excerpt from a report in Business Standard.

The Orissa IT department has got its act together to expedite the Infocity-II project to be developed over 500 acres of land at Janla on the outskirts of the city. …

the state government is gearing up to keep the infrastructure of Infocity-II ready to welcome any IT firm keen to set up its shop in the city.

Towards this objective, the state IT department has now planned to go for a four-lane approach road connecting the Infocity-II project with the National Highway.

“We are committed to provide external infrastructure like roads, water and electricity for the Infocity-II project. The state IT department has engaged a consultant which is undertaking a survey work on the proposed four-lane approach road and the private land that needs to be acquired for the purpose”, …

Earlier, the state government had sanctioned Rs 150 crore for developing external infrastructure for the project like approach road, electricity and water.

While land acquisition for the Infocity-II project is already over, the construction of the boundary wall is underway. The state government is on the look out for anchor tenants for the project.

As per the estimates of the Orissa IT department, the Infocity-II project is expected to be fully operational by the end of 2012 and the project is set to attract investments worth Rs 4,000 crore from IT ad ITes (IT enabled services) companies.

The proposed Infocity-II project will generate direct and indirect employment for about four lakh people in the information technology (IT) and ITes sectors.

Presently, more than 18,000 professionals are engaged in the IT sector in the state while the ITes sector had a workforce of over 15,000.

The Infocity-II project would be a part of the proposed IT investment region in the state. The IT investment region (ITIR) in Orissa was to be developed on an area of 40 sq km (around 10,000 acres) between Bhubaneswar and Khurda.

The ITIR project in the state is expected to be fully operational by 2020.

Following is an excerpt from a report in Business Standard.

Genpact, the BPO arm of the US-based General Electric, had aimed to operationalize its delivery centre in the city by the fourth quarter of 2009-10. But as things stand today, the project is unlikely to take off before March 2010. …

Initially, Genpact planned to hire 500 professionals for its delivery centre in the city and later ramp up the headcount to 3,000.

Genpact had so far only put up a boundary wall for its proposed centre which would have a total built-up area of seven lakh sq ft. Another IT firm MindTree Consulting Limited which had announced a software development centre in Bhubaneswar at an investment of Rs 200 crore is non-committal on its project.

MindTree was scheduled to commence construction work for its development centre in September 2008. The software firm had sought 30 acres of land for its development centre and it had a long-term manpower requirement of 5,000 employees.

Meanwhile, the projects of other IT investors like Zensar Technologies, ICICI Group, Raheja Corporation and Apeejay Surrendra Group were now put on the back burner, given the slump in demand for IT projects, the official added.

ICICI bank, which had announced to set up its eastern regional hub in the city in May 2007, is understood to have submitted a fresh building plan to the Bhubaneswar Development Authority (BDA) after the notification of the revised building norms by the authority. With a built-up area of 1.5 million sq ft, the eastern regional hub of ICICI bank will have a pool of 15,000 employees in the long-run. The project is to be developed in phases over a period of six to seven years at an estimated investment of Rs 600 crore. Similarly, Zensar Technologies was allotted three acres of land in the Infocity area of the city by the Orissa Industrial Infrastructure Development Corporation (Idco).

Following is an excerpt from a report in Telegraph.

The state-level single-window clearance committee, headed by the chief secretary, today cleared proposals to set up industrial projects drawing a total investment of Rs 2,037 crore.

With the decision, decks have been cleared for signing MoUs by promoters concerned with the state government, sources said.

The committee also forwarded two more proposals for setting up of two thermal power plants to generate 3,300MW with a total investment of Rs 14,275 crore to the high-level clearance authority, headed by the chief minister.

…  While JR Power Gen has proposed to set up a 1,980MW thermal power plant at an estimated cost of Rs 7,988 crore at Kishore Nagar near Angul, BGR Energy has submitted proposals for establishment of a 1,320MW power plant with an investment of Rs 6,287 crore in Nayagarh district.

… the committee gave its final nod to Hindalco’s proposal for setting up an aluminium re-rolling plant with a capacity of 2.85 lakh tonnes at Hirakud in Sambalpur district with an investment of Rs 850 crore.

The proposal of Rashmi Cement Limited to establish a 2 lakh tonnes ferro manganese plant at Haridaspur in Jajpur district with an estimated cost of Rs 300 crore and Dhananjay Industries’s 40,000-tonnes ferro alloy plant at Choudwar near Cuttack with an investment of Rs 180 crore were also cleared.

The committee also cleared the proposal of Kaushal Ferro Manganese for establishment of a re-rolling mill with a production capacity of 2 lakh tonnes at Padiabahal in Sundergarh district with an investment of Rs 82 crore.

The last proposal, which got the nod, was submitted by Bhubaneswar Power Limited to set up a 135MW power plant at Anantpur near Athgarh in Cuttack district on joint venture with Tata Steel and Jasper at an estimated cost of Rs 625 crore.

Following is an excerpt from a release by the Resident Commissioner of Orissa:

Shri Naveen Patnaik, Chief Minister, Orissa met Shri Anand Sharma, Union Minister for Commerce and Industry at New Delhi and discussed various issues pertaining to development of Industry Clusters and handicrafts in Orissa.

… The Union Minister also agreed to the proposal of the State Government for providing infrastructure support for development of industrial clusters under the Industrial Infrastructure Upgradation Scheme (IIUS) of GoI for the clusters located at Balasore (Plastic Products Cluster) at a project cost of Rs 62.50 crore and another at Mancheswar (Engineering Cluster) at a project cost of Rs 61crore. He complimented the State Government for smooth implementation of the Metallurgical Cluster Project in Jajpur (Kalinganagar) which has already been sanctioned for Orissa under the IIUS.

Following is from Samaja:

In the following Business standard reports on progress on the proposed Aluminum park in Angul.

The proposed aluminium park of the public sector National Aluminium Company (Nalco) at Angul in Orissa, which was mired in uncertainty, is finally set to see the light of the day.

The proposed venture will be set up jointly by Nalco and the state owned Industrial Infrastructure Development Corporation of Orissa (Idco). The two partners are expected to sign a memorandum of understanding (MoU) in this regard soon.

Sources said, Nalco and Idco will have equal stake in the project. …

“All the contentious issues have been resolved and the terms and conditions of the draft MoU have been agreed upon by both the partners. The signing of the MoU is a matter of technical formalities”, a senior official of the state industry department told Business Standard.

Sources said, the MoU will be signed by the end of this month and the chief minister Naveen Patnaik will lay the foundation stone for the project in the first week of September. The proposed park will come up adjacent to the existing smelter plant of Nalco at Angul.

The complex will house various downstream and ancillary aluminium industries. Though it was originally planned to develop the project over 200 acres, it has been decided to acquire 50 to 100 acres more to increase the size of the park. This will take care of the future growth requirement and creation of some social infrastructure.

… Sources said, the cost of developing the land in the park will be borne by Nalco and Idco equally and this will be recovered from the units which will come up in the park. An innovative pricing structure is proposed to be put in place for this.

The aluminium park, once fully developed, is expected to attract investment of Rs 300 to 400 crore. It may be noted, the project passed through uncertainty as the state government was earlier reluctant to join the project as a joint venture partner.

Following is an excerpt from a report in Business Standard.

… IL&FS-IDC had earlier submitted its draft report to the state government in February this year. However, the project had to be reworked by IL&FS-IDC in the wake of the Centre’s proposal to develop an airport in the same area.

Sources close to the development said, the plan to develop the airport has been okayed by the state government and the proposed airport would be a part of the IT investment region.

The airport will come up on an area of about 2,300 acres close to the site of the Indian Institute of Technology (IIT), Orissa which is being set up over 835 acres of land at Jatni, about 20 km from the city.

… The IT investment region (ITIR) in Orissa will occupy an area of 40 sq km (around 10,000 acres) between Bhubaneswar and Khurda.

This ITIR project is expected to be fully operational by 2020.In the final project report, IL&FS-IDC had included among other things an airport, a global IT training centre, a bio-tech park and a science city spread over 350 acres.

The Infocity-II project being set up by the state government on over 600 acres of land at Janla on the outskirts of the city would also be a part of the IT investment region.

The ITIR would be developed in two phases out of which 20 per cent of the investment is committed for the first phase while the balance 80 per cent of the investment will come in the second phase.

The entire cost of the project is yet to be ascertained. While the Centre will provide external infrastructure for the project in the form of roads, the onus is on the state government to acquire land for the project.

According to the project plan of IL&FS-IDC, 40 per cent of the area of the ITIR would be earmarked for the processing units of information technology (IT) and ITes sectors (IT enabled services) as well as electronics and hardware manufacturing units.

The remaining 60 per cent of the area would be devoted to the non-processing facilities like research and development centre, technological institutes of national and international repute.

This apart there would be a central business district, an integrated township comprising social infrastructure facilities like schools, hospitals and shopping malls and external infrastructure like roads.

Economic Times has an article each on Jharkhand and Orissa’s mineral reserves and the current industrial climates and mineral policies of  both states. The two articles are:

• On Jharkhand.
• On Orissa.

Following are some additional comparison between both states:

• Orissa being a coastal state has coast related opportunities (ports) as well as problems (hurricanes, floods)
• Jharkhand has more larger metro areas than Orissa. Following are some population numbers.
  • Jharkhand’s top 4 metro areas are: Ranchi (1.07 m), Jamshedpur (1.25m), Dhanbad (1.21 m) and Bokaro (592k).
  • Asansol (West Bengal) with population of 1.3m borders Jharkhand (59km from Dhanbad) and together with Durgapur (544 K, 40 kms from Asansol) is being built as the second largest metro area of West Bengal.
  • Orissa’s top 4 metro areas are: Bhubaneswar-Cuttack metro (1.67m in Gazeteer, 1.9m in CPD estimate), Rourkela city (551K in gazeteer, 1.1 m unofficially estimated in metro area), Berhampur metro (514K in CPD estimate), and Sambalpur city (258K in Gazeteer).
• At present Orissa is a bigger knowledge and education hub.
• Orissa has more well known tourist locations.

Following is an excerpt from a report in Indopia.

  … "The first phase with 0.8 Mtpa capacity is expected to be commissioned by June-July, 2010. Work for the stainless steel plant is going on in full swing,"JSL Vice President and Managing Director Ratan Jindal told reporters after meeting Orissa Chief Minister Naveen Patnaik.

Though there has been some delay in the Rs 6,500 crore project …

Once the first phase is commissioned, work for the next phase would be expedited to achieve the 1.6 Mtpa capacity at the earliest.

… He said 50 per cent of the electricity generated from the captive power plant (cpp) of the company is being provided to the state government.

On the proposed 1,000 mw thermal plant to be set up in Dhenkanal, Jindal said details were being worked out for the project.

Tathya.in has a few statements on the simple style of Billionaire owner Ratan Jindal.

Ratan, in fact, known for his down to earth approach and simple life style.

He like others never moves in his personal jet and does not shows off his wealth, said an industry watcher.

He simply moves in Jetlite or Indigo with a few of his officers.

Ratan Jindal is the one of 4 sons of late O. P. Jindal. His mother is a minister in the Harayana state government and one of the brother Naveen Jindal is an MP. There are many colleges and a university with O. P. Jindal’s name. This includes the:

• O. P. Jindal Global University in Harayana with Jindal Global Law School as its first school
• O. P. Jindal Institute of Technology in Chhatisgarh under the aegis of Jindal Education and Welfare Society

The Orissa government should push Mr. Ratan Jindal for an engineering college and a medical college in Orissa.

Following is from a web site of world bank about doing business in various cities of India. This site has the main findings. The full report is at http://www.doingbusiness.org/Documents/Subnational/DB09_Subnational_Report_India.pdf.

The overall ranking of the 17 cities are:

1. Ludhiana
2. Hyderabad
3. Bhubaneswar
4. Gurgaon
5. Ahmedabad
6. New Delhi
7. Jaipur
8. Guwahati
9. Ranchi
10. Mumbai
11. Indore
12. Noida
13. Bangalore
14. Patna
15. Chennai
16. Kochi
17. Kolkata

Why is Pune not in the list?

Following is an excerpt from a report in Business Standard.

Gurgaon-based real estate firm Vipul Limited, one of the leading real estate developers in the country, plans to invest Rs 80-100 crore in setting up a four-star business hotel in Bhubaneswar .

Vipul Limited had identified Bhubaneswar as one of the 5-6 strategic locations in the country where it intends to set up three-star and four-star business hotels.

Apart from Bhubaneswar, these business hotels are set to come up in the states of Punjab, West Bengal and Andhra Pradesh. Each of these business hotels would cost Rs 80-100 crore.

“We have identified two to three plots of land in Bhubaneswar, including one close to the airport for setting up a four-star business hotel. "

The proposed hotel would come up on an area of 2-3 acres”, Punit Beriwala, managing director, Vipul Limited told Business Standard.

He declined to comment on the time-frame of setting up of the business hotel as the details were yet to be worked out.