The Hindu : Tamil Nadu / Chennai News : Sathangadu market still waiting for iron dealers

Online edition of India's National Newspaper
Wednesday, Sep 19, 2007
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Tamil Nadu

Tamil Nadu - Chennai

Sathangadu market still waiting for iron dealers

J. Malarvizhi

George Town traders and Chennai Metropolitan Development Authority blame each other for the delay in shifting to new complex

— Photo: R. Ragu

HEAVY LOAD: George Town continues to be a hub of iron and steel trade years after the CMDA developed a market at Sathangadu.

CHENNAI: The protracted initiative to shift iron and steel dealers from the congested George Town area to the market complex at Sathangadu is yet to find conclusion.

Dealers and the Chennai Metropolitan Development Authority (CMDA), the agency implementing the project, blame each other for the delay.

The iron and steel market at Sathangadu is among the projects proposed to decentralise the city’s business district — the shifting of the wholesale vegetable market to Koyambedu and the construction of a truck terminal at Madhavaram being the others.

A case filed against the CMDA, alleging lack of infrastructure at Sathangadu, was disposed of recently with the judiciary deeming the market, established in the early 1990s, as having sufficient infrastructure for dealers to shift. Roads, streetlighting, water supply and a police station were provided for the area, especially for this project.

CMDA officials said the stage was set for shifting and that dealers stood to gain in the process. “Land prices in the area have risen and dealers will be paying 1991-92 prices for land that is strategically located on the rail and road network. The existing restrictions on entry of heavy vehicles into the city between 8 a.m. and 6 p.m. will not apply to Sathangadu,” said V.M. Xavier Chrisso Nayagam, Chief Executive Officer, CMDA.

Dealers agree. Wholesalers and retailers of iron and steel share the cramped alleys and insufficient storage space with dealers of electrical equipment, hardware and sanitary ware, among others, in George Town, the heart of Chennai’s business district. Even without lorries on the scene, traffic conditions are chaotic throughout the day, they said.

They have to transfer their wares on vans and bullock-carts, if they are to be transported through the area or delivered elsewhere in the city. Lorries that came in earlier in the day with iron rods extending far beyond their carriers are often backed through narrow lanes or into the middle of traffic to manoeuvre them into suitable positions for unloading at great risk to passers-by.

650 plots

A total of 650 plots were allotted at Sathangadu when the project was first conceived and most dealers have paid for their land. However, some complain that sale deeds had not been handed over. The CMDA maintains that the onus is on the dealers to shift. The Authority has also asked them to pay maintenance charges for more than 15 years — the period during which the market has remained unused.

Waiver

“We have asked for waiver of maintenance charges. Shifting to Sathangadu will benefit wholesalers and dealers-cum-retailers, who have both a warehouse and a retail outlet. However, for the third category of dealers — retailers — shifting is not a profitable move,” said C. R. Ravindranath, President, Steel Tube Dealers’ Association.

Dealers and the CMDA are convinced that the ball is in the other’s court.

CMDA officials said that the Authority was not seeking to make a profit out of the project and held a meeting with traders recently.

The CMDA has offered conditional acceptance of some demands of the traders, including issue of sale deed and No Objection Certificate. Another important decision was to collect maintenance charges after the market became functional.

Traders, however, are annoyed that such meetings have been held over two years with no resolution of the issue in sight.

“One problem is that the officials have to constantly refer crucial problems to higher-ups, as they do not have authority to take decision,” said a representative of of an association of traders.

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