Allocate Funds For Telangana Projects: KTR To Piyush Goyal

IT and Industries Minister KTR in a letter to Union Minister of Commerce and Industry Piyush Goyal requested for allocation of special funds in the upcoming Union Budget 2021-22 for projects such as Hyderabad Pharma City, NIMZ (Zaheerabad), National Design Centre (NDC), and setting up of Industrial Corridor in Telangana. 

Minister KTR thanked the Ministry of Commerce for including Hyderabad – Warangal, and Hyderabad – Nagpur Industrial Corridors by NICDIT and for considering funding the initial two nodes for the Hyderabad Pharma City (HPC) and National Industrial Manufacturing Zone (NIMZ), Zaheerabad.

The estimated project cost for taking infrastructure development in these two nodes is about ₹ 3,000 & ₹ 2,000 crores respectively.

Minister KTR said that the State Government is very keen to take up the development of these two projects on a fast track basis. He requested the Union Minister to allocate funds to the extent of at least 50% of the project cost in the budget estimates for 2021-22.

Minister KTR said that the Government of Telangana is developing Hyderabad Pharma City (HPC) project as the “World’s Largest Integrated Pharma park to promote domestic manufacturing of pharmaceutical in line with the ‘Make in India’ and ‘Atma Nirbhar Bharat’ initiatives of the Government of India and to consolidate the leadership position of India in the pharmaceutical sector. 

The project will be first-of-its-kind featuring state-of-the-art Infrastructure, common facilities including Zero Liquid Discharge (ZLD) based Common Effluent Treatment Plant (CETP), integrated solid waste management facility, district heating, cooling systems, Logistic Parks, Global Pharma University, Regulatory facilitation cells, Common Drug Development & Testing Laboratories, Startup/ SME Hub, etc.

After a detailed evaluation, the Department for Promotion of Industry and Internal Trade (DPIIT), Ministry of Commerce and Industry, Government of India has accorded the status of National Investment and Manufacturing Zone for this project and in multiple meetings, recognized the importance of this project to make India self-reliant in the pharmaceutical sector. 

“The project has received an overwhelming response from both domestic and global companies to set-up manufacturing units. Overall investment potential of the project is estimated to be around ₹ 64,000 crores with employment generation of 5.6 lakh jobs (direct and indirect),” KTR said. 

“We have sought funding to the tune of ₹ 4922 Crores from Government of India towards the development of External and Internal Infrastructure development as per the NIMZ guidelines. Given the National importance of the project, I would like to request you to kindly consider a budget provision to the tune of Rs 870 Crores in the Budget for the financial year 2021-22 to support the development of Hyderabad Pharma City,” said Minister KTR. 

Minister KTR also said “Hyderabad Pharma City promises to position India as the global manufacturing hub for pharmaceuticals. For a project of this nature and scale to succeed, it is imperative to have strong support from the Government of India. Government of Telangana reassures its commitment towards the development of a world-class Hyderabad Pharma City and promoting competitive domestic manufacturing of pharmaceuticals under the Make in India initiative of Government of India.”

The National Industrial Manufacturing Zone, (NIMZ) at Zaheerabad, Sangareddy District, Telangana, has been given final approval by the Ministry of Commerce, Government of India in January 2016. Among other things, it was requested to initially release an amount of Rs. 500 crores for Phase-I development towards external and internal infrastructure out of the total project cost of ₹ 9,500 crores.

The required land (Phase-I) is already in possession of the implementing agency i.e, Telangana State Industrial Infrastructure Corporation Ltd.,(TSIIC).

Minister KTR requested the Union Government to release the budget during FY 2021-22 for the external and internal infrastructure for the NIMZ, Zaheerabad.

In another letter, Minister KTR requested budget allocations for the National Design Centre (NDC) and stated that Hyderabad was proposed as the preferred location for setting up of the first National Design Centre (NDC) by DPIIT. He also mentioned that his team is working closely with DPIIT to understand their vision of the center and have already submitted a Detailed Project Report with inputs from all National Institute of Designs (NIDs).”

“We are very keen to develop this unique institution in Hyderabad and have also identified 30 acres of prime land in University of Hyderabad campus, adjacent to National Institute of Animal Biotechnology (NIAB) in Gopanpally. This land will be offered free of cost by the State. Certain clarifications were sought by DPIIT which have also been answered by us,” said KTR. 

Minister KTR requested a budget allocation of ₹ 200 Crores towards the initial Capex in the budget of FY 2021-22 which will enable the Govt to start the developmental activities immediately.