In the wake of the announcement that the missile unit has been shifted to Kanchipuram district, industry officials are shocked and opine that since several small scale industries in Coimbatore were receiving work orders from the missile manufacturing plant, the financial burden including transportation costs will increase.
Coimbatore: A private missile manufacturing unit has been shifted from Coimbatore to Kanchipuram district, affecting work orders worth Rs. 100 crore, according to industry officials.
L&T, a Mumbai-headquartered private company set up a missile manufacturing plant near Chettipalayam in Coimbatore district, four years ago. Hindustan Aeronautics Limited (HAL), which includes the wings of the Tejas fighter jet, Defence Research and Development Organisation (DRDO), had obtained orders to manufacture missiles for various foreign countries, including the Indian army.
A variety of missiles, including artillery-resistant missiles and marine missiles were manufactured at the factory in Coimbatore. Apart from this, the production of various types of materials including valves and engineering materials were also carried out. This resulted in work orders worth crores of rupees for small companies.
In the wake of L&T's announcement that the missile unit has been shifted to Kanchipuram district, industry officials are shocked.
Surulivel, Vice-President of the Tamil Nadu Small and Tiny Industries Association (TANSTIA) said, "Several small scale industries in Coimbatore were receiving work orders from the missile manufacturing plant. If transferred to the Kanchipuram district, the financial burden, including transportation costs, will increase. As a result, most Coimbatore entrepreneurs will not be interested in getting a job order. Due to this transfer, work orders worth Rs. 100 crore in Coimbatore will be affected for small scale industries."
Nallathambi, President of the Coimbatore Sidco Industrial Estate Manufacturers' Welfare Association (COSIEMA) opined, "Many companies operating in the Sidco premises were benefiting from the missile factory near Malumichampatti. Work orders have been affected since this month, due to the company's relocation of the missile unit."
L&T, a Mumbai-headquartered private company set up a missile manufacturing plant near Chettipalayam in Coimbatore district, four years ago. Hindustan Aeronautics Limited (HAL), which includes the wings of the Tejas fighter jet, Defence Research and Development Organisation (DRDO), had obtained orders to manufacture missiles for various foreign countries, including the Indian army.
A variety of missiles, including artillery-resistant missiles and marine missiles were manufactured at the factory in Coimbatore. Apart from this, the production of various types of materials including valves and engineering materials were also carried out. This resulted in work orders worth crores of rupees for small companies.
In the wake of L&T's announcement that the missile unit has been shifted to Kanchipuram district, industry officials are shocked.
Surulivel, Vice-President of the Tamil Nadu Small and Tiny Industries Association (TANSTIA) said, "Several small scale industries in Coimbatore were receiving work orders from the missile manufacturing plant. If transferred to the Kanchipuram district, the financial burden, including transportation costs, will increase. As a result, most Coimbatore entrepreneurs will not be interested in getting a job order. Due to this transfer, work orders worth Rs. 100 crore in Coimbatore will be affected for small scale industries."
Nallathambi, President of the Coimbatore Sidco Industrial Estate Manufacturers' Welfare Association (COSIEMA) opined, "Many companies operating in the Sidco premises were benefiting from the missile factory near Malumichampatti. Work orders have been affected since this month, due to the company's relocation of the missile unit."