Tamil Nadu retains investment destination tag in 2022
Tamil Nadu has garnered over Rs 1 lakh crore investments committed by various companies in 2022, a year that brought both challenges and opportunities to the southern state
Chennai: Often billed as a favoured investment destination, Tamil Nadu managed to garner over Rs 1 lakh crore investments committed by various companies in 2022, a year that brought both challenges and opportunities to the southern state. It faced the challenge arising out of various issues like Russia-Ukraine conflict or the suspension of the production at US automaker Ford near here among others.
This year, Tamil Nadu signed memoranda of understanding with over 60 companies which committed investments of Rs 1.25 lakh crore that would generate around 75,000 new jobs.
Chief Minister M K Stalin has been reaching out to investors at various platforms to make Tamil Nadu become the most attractive investment destination in South Asia and endeavour towards 'Made in Tamil Nadu' products reaching all parts of the world.
The government also maintained Tamil Nadu was the only state in the country to post a 'positive growth' during Covid-19 enforced lockdown period while other states reported negative growth.
According to the Industry department, TN is the second largest state economy in India accounting for 9.47 per cent of the GDP in FY 2020-21. In 2021-22, the economy saw a rebound with the Gross State Domestic Product (GSDP) increasing from Rs 19.02 lakh crore to Rs 21.79 crore.
The government, besides its many policy initiatives, announced establishing the Rs 20,000 crore greenfield airport at Parandur with an aim to give a fillip to the state's economy. It can handle an annual capacity of 10 crore passengers. The airport expected to be operational by 2029-30 would have two runways, terminal building, taxiways, apron, cargo terminal and other required amenities. To reach the ambitious $1 trillion economy by FY 2030-31, the government has drawn up several plans which include attracting Rs 23 lakh crore investments in the manufacturing sector and creation of 46 lakh new jobs.
To achieve the $1 trillion economy, the manufacturing sector must take the centre stage for economic development, an official said. Tamil Nadu is a manufacturing hub in the country due to significant presence in sectors like automobiles and auto-components including electric vehicles, textiles and wearing apparel, leather, chemicals including rubber and plastic, electronics, machinery and fabricated metal products, the official said.
On the exports front Tamil Nadu accounted for 8.40 per cent of the country's total exports with Rs 1.90 lakh crore of shipment made overseas.
The Guidance Bureau, a nodal agency to boost investments promotion in the state, has been enhancing the single window portal to provide a seamless experience for investors. The government has been working on new policies including life sciences promotion policy, research and development, leather and footwear policy and also upgrading the existing electric vehicle policy to accelerate the growth of these sectors.
Some of the major projects ensured by the government include the large scale furniture park, one of its kind, which is expected to come up in SIPCOT industrial park in Tuticorin at an estimate of Rs 1,000 crore. Another investment milestone achieved in 2022 was the Rs 3,500 crore investment commitment from Dubai-based Lulu Group.
An E-vehicle park and future mobility park are also on the development stage with SIPCOT establishing the former in over 300 acres of land in Manallur at an investment of Rs 167.30 crore, the official said.
To support environmentally, sustainable and modern transportation solutions, SIPCOT also planned to establish a Future Mobility Park on a 300 acre land in Shoolagiri, Krishnagiri district at an outlay of Rs 300 crore.