The Hindu : Andhra Pradesh News : Industrial power to be cheap from April 1

Online edition of India's National Newspaper
Sunday, Dec 12, 2004

Andhra Pradesh

Andhra Pradesh

Industrial power to be cheap from April 1

By Our Staff Reporter

HYDERABAD, DEC. 11. The Chief Minister, Y S. Rajasekhara Reddy, has said that industrial power would be cheaper by 4 per cent from April 1 next year.

Announcing this at the 31st annual meet of the All-India Flat Tape Manufacturers' Association here on Saturday, Dr. Reddy said that Andhra Pradesh would be a leader in gas supplies.

A petrochemical industry would come up in coastal area and 24 tmcft water from Polavaram project would be exclusively earmarked for industrial purpose in the State, he said.

The Government would help the Small Scale industries flourish in the State. Reacting to the concern expressed by the Flat Tape Manufacturers' Association following the GO reserving 90 per cent of food grains and 100 per cent sugar in favour of jute bags, Dr. Reddy opined that there was no competition between the Jute and Flat Tape industries.

To pressurise Centre

The Government would exert pressure on the Centre to extend all possible incentives to the Flat Tape industry and promised necessary infrastructure for the development of the industry in the State.

The first woven sacks manufacturing unit was established in 1971 at Bangalore and the industry today has a total investment of Rs. 5,000 crores with a gross turnover of Rs. 4,000 crores.

The industry employed 5.5 lakh direct workers with an export potential of Rs.400 crores. The revenue to the Government in terms of excise taxes is around Rs. 800 crores. More than 2 million people are indirectly dependent on this industry.

The Speaker, K. R. Suresh Reddy, presided. The Minister for Higher Education, P. Venkateswara Rao, the President of IPCL, K.G. Ramanathan, and others were present.

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