Gujarat govt finalises tenders for first five vertical industrial estateshttps://indianexpress.com/article/cities/ahmedabad/gujarat-govt-finalises-tenders-for-first-five-vertical-industrial-estates/

Gujarat govt finalises tenders for first five vertical industrial estates

The move to build such estates for MSMEs comes at a time when the market price of industrial land in Gujarat has shot up by over 25 % in three years.

Gujarat Industrial Development Corporation (GIDC) has finalised tenders for the first five vertical industrial estates that the state-government agency plans to built for micro, small and medium enterprises (MSMEs), sources said.

Skyrocketing land prices in the industrial zones of Gujarat have become a hurdle for MSMEs to set up new units or expand. As a solution, GIDC, the nodal agency for industrial development in the state, has decided to build three-storey structures in the industrial estates where multiple units can be housed by providing common facilities like logistics, parking, packaging and delivery, power and water.
“We will be building three-storey buildings in 10 of our existing saturated estates for the MSME sector. These buildings can house around 16 units (four on each floor). We have finalised tenders for the first five vertical industrial estates,” said Manoj Aggarwal, vice-chairman and MD of GIDC.

Bol (Sanand), Kathawada (Ahmedabad), Chhatral (Mehsana), Lodhika (Rajkot) and Ankleshwar (Bharuch) are the industrial estates where these vertical structures come up.

The concept was mooted in the budget presented by Anandiben Patel government in July 2014. “These are saturated industrial estates where only a few square meters have been lying idle. These multi-storey will be built on 2000-3000 square meters of vacant plots in our existing industrial estates,” Aggarwal added.

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The move to build such estates for MSMEs comes at a time when the market price of industrial land in Gujarat has shot up by over 25 per cent in three years. This has limited the ability of small entrepreneurs planning to set up firms in industrial clusters located near big cities, said real-estate experts. For instance, price of an industrial plot within Bol GIDC at Sanand — which is in a region that houses the Tata Nano and Ford Motors car manufacturing plants — was Rs 2,600 per square meter before 2012, but has now climbed to Rs 3,600 per square meter.

“We are planning to replicate the plug-and-play model, which we introduced in our Japanese industrial park at Mandal, in these vertical industrial estates as well,” the official said while referring to the exclusive Japanese industrial estate in Ahmedabad district where a private player has been given responsibility of providing all the basic facilities — such as power, water, government approvals, logistics, administration, food supply and commuter bus operations — to Japanese firms.