The Tata-Gammon SEZ has failed to make any progress due to land-permission issues at the state level; uncertainty over the project continues
It has been more than two years and the special economic zone (SEZ) planned by the Tata Group and Gammon Infrastructure Pvt Ltd (GIPL) near Jamshedpur has not made any headway due to required permissions from the state government to acquire land.
“We have already announced this project to our markets as uncertain, because legally we are still not comfortable to proceed due to the land permissions that have (not) been obtained at the state government level,” said Parvez Umrigar, managing director, GIPL.
In 2008, the Tata Group joined hands with GIPL to develop the SEZ. The 100-acre SEZ was being planned as an auto-ancillary unit at Adityapur near Jamshedpur. The investment in the SEZ was estimated to be around Rs100 crore. Tata Group holds 51% in the proposed SEZ while GIPL and the Chhattisgarh state government hold 38% and 11% respectively. The SEZ was expected to be completed within two years from the announcement.
While most of the projects that GIPL has developed were either through 100% stake or a majority holding in subsidiary companies, this is a rare project where GIPL has a minority stake.
Commenting on the future of this project, Mr Umrigar said, “It is a small project; we will have to see whether we would be able to proceed further or not.”
Strong industrial growth numbers do indicate that the government may start thinking of withdrawing stimulus measures, says chief statistician Pronab Sen
Economic growth numbers for the current fiscal, to be released by May, will provide the actual picture to the government to decide if stimulus packages could be rolled back, chief statistician Pronab Sen said on Wednesday, reports PTI.
However, strong industrial growth numbers do indicate that the government may start thinking of withdrawing these measures, Mr Sen told reporters.
Industry growth has started picking up in recent months fuelling suggestions from the Reserve Bank of India (RBI) and other analysts for a partial rollback of stimulus measures taken to ward off the impact of the global economic slowdown last year.
Mr Sen, a secretary in the ministry of statistics and programme implementation, said that industrial growth figures give the supply-side picture and do not indicate whether demand is actually there to take that supply, or if inventories are only building up.
The gross domestic product (GDP) data provides demand-side figures also, Mr Sen said, adding that it was up to finance minister Pranab Mukherjee to take a call in the upcoming budget on stimulus measures, depending on industrial growth numbers or economic growth figures.
"It is up to the finance minister to either play safe (in the budget) and wait for actual economic figures to come out or play a gamble and take a decision depending on industrial growth numbers," Mr Sen said.
Industrial growth for November stood at 11.7% against just 2.5% a year back. For the first eight months, industrial production grew by 7.6% against 4.1% a year ago.
As much as 71% of Indian companies surveyed said that they were currently hiring, compared to around half in September, says a survey by Antal
India Inc's hiring activity has increased considerably since September last year and the current recruitment level is one of the highest globally, says a survey by international recruitment firm Antal, reports PTI.
The quarterly global survey asked more than 6,000 companies in 30 countries whether they were hiring at managerial and professional levels and if they planned to do so in the coming quarter as well.
As much as 71% of Indian companies surveyed said that they were currently hiring compared to around half in September, the survey revealed. Nigeria (79%) is the only country to have a higher rate of hiring than India's.
"Confidence is back at its peak in the Indian job markets, it’s happy days again for job-seekers," Antal International managing partner Joseph Devasia said.
Further, the survey stated that Indian companies plan on increasing their hiring activity even more, with 78% expecting to hire managerial staff over the next three months.
"Combined with a very low rate of letting people go (16% and set to drop by a further 3%) the results indicate a strong employment market which is improving all the time," the Antal report noted about India.
Meanwhile, according to the 5th IDC-Dataquest T-School 2009 survey, the worldwide economic slowdown has led to a fall in the placement of engineering graduates in India with only a handful of technology schools having reported 100% placement.
There has been an average decline of 11% in the placement of engineering graduates from 111 technology schools in 2009 compared to the previous year, except for 16 of them which recorded 100% absorption, the survey said
"The number of companies visiting T-school campuses as well as the number of jobs offered to engineering graduates declined in 2009 due to the economic slowdown," it said.
Of the 54 companies that visited T-school campuses, more than half were from information technology and the Business Process Outsourcing sector. "Only 16 of the top 111 technology schools in the country reported 100% placement in the year 2009," the survey by IDC, a global market intelligence provider, said.
As only 16 of the top 111 T-schools reported 100% placement, the survey said, "It indicates that more engineering graduates opted for higher studies in 2009 instead of opting for a job."
Many engineering graduates of the prestigious IITs opted for higher studies instead of jobs as only IIT-Kanpur reported 100% placements.
The T-schools which reported 100% placements are Amity School of Engineering and Technology, Noida; Birla Institute of Technology and Science (BITS) Pilani; College of Engineering and Technology, Bhubaneswar; Dhirubhai Ambani Institute Of Information Communication Technology, Gandhinagar and IIT Kanpur.
The Institute Of Technology of the Benaras Hindu University, Institute of Technology of the Nirma University, Bhubaneswar; Jadavpur University in Kolkata; National Institute of Technology at Durgapur and Netaji Subhash Institute of Technology in New Delhi also figured in the list of T-schools with 100% placement, the survey said.
The other institutes with 100% placement are NIT, Calicut; NIT, Kurukshetra; NIT, Surathkal; Orissa Engineering College, Bhubaneswar; R V College of Engineering, Bengaluru and University College Of Engineering of Osmania University, Hyderabad, the survey said.