Anantapur: The unit of Seoul-based KIA Motors Corporation, a sister concern of Hyundai Motors will be one of the major industries in Andhra Pradesh. The 600 acres of Erramanchi Lands, located on NH-44 Road in Penukonda mandal in Anantapur district will be hosting the car manufacturing unit at an estimated cost of $2 billion (Rs 12,800 crore). Targeting early 2019 as the date to start production, the state government has initiated the handover process of the barren lands by levelling it so that construction can be started easily.
Though other states including Tamil Nadu were in the fray, competing to get KIA to set up units in their state, the AP government succeeded in looping them in to start their car manufacturing unit in Anantapur district. The company has signed a Memorandum of Understanding (MoU) with the Andhra Pradesh government for the new plant. Kia Motors president Han-Woo Park signed and exchanged the MoU with AP Industries department officials in the presence of Chief Minister N Chandrababu Naidu and Industries Minister N Amarnath Reddy three months ago.
A senior official from Industries department said that he had never seen such fast leveling work of barren lands to make it ready for construction. “The L&T is doing the contract of the ground levelling works at a cost of Rs 174 crore. The government is also ready to divert necessary water resources towards proposed project area,” Anantapur collector Mr Veerapandian said and added that pipelines will be laid to bring water from Gollapalli Reservoir at an estimated cost of Rs 125 crore.
Penukonda MLA B.K. Parthasarathi said that farmers gave away lands cooperating with the government in promoting industrial growth. “The unit would generate more than 11 thousand employment opportunities,” said Mr Parthasarathi and added that the chief minister would lay foundation stone for the mega unit.
The representatives of the car manufacturing company are temporarily housed in the AP Tourism Guest House to monitor ongoing works. KIA Motors representative Mr Eeswar informed "We have set up a target to begin the trial run of the manufacturing unit soon and start the production in September 2019."...