IT and electronics firms can expect land bonanza
Hyderabad: The Fab City cluster at Tukkuguda on the city’s outskirts is in for a major reset, with the state government deciding to utilise the long-idle land for IT, electronics and energy-storage units along with renewed focus on semiconductor manufacturing.
Sources said the objective is to draw investments of Rs 5,000 crore within a year by creating fresh IT, electronics and energy-storage clusters across the corridor. The land has remained unused for over a year after the Centre, on the state’s request, excluded 922 acres of Fab City land from special economic zone (SEZ) status to make way for diversified industries.
Once operations begin, officials project that the units could generate nearly 15,000 direct and indirect jobs. With Tukkuguda’s proximity to the Outer Ring Road, the government expects strong demand from companies eager to set up units in the strategically located hub.
Official sources said Chief Minister A. Revanth Reddy has directed officials to integrate Fab City with the upcoming Bharat Future City, located about 15 km away, to enable seamless expansion of technology-driven industries between the two zones.
Dedicated roads and infrastructure will link both clusters, while the existing Hyderabad-Srisailam Road and the Shamshabad-Gachibowli section of the ORR already provide significant connectivity. A new 330-feet corridor from Kongarkalan to Future City is also being planned, sources added.
Officials are further examining the Metro Rail link between the airport and Future City, along with a new road from Shamshabad through Tukkuguda to the Rangareddy district collectorate. The enhanced road network is expected to benefit major players such as Foxconn and other large industrial units that have begun operations in the region.
Fab City, conceived nearly two decades ago as a semiconductor manufacturing hub, failed to take off, leaving 900 acres unutilised. With the Centre renewing its push for semiconductor production, the state has placed fresh emphasis on allocating land for chip-making and energy-storage units while simultaneously promoting IT and electronics industries.
The Centre de-notified 368.8 hectares (about 912 acres) of land from the Fab City SEZ located at Raviryala in Maheshwaram mandal of Rangareddy district. Fab City had originally been approved in 2007 as a sector-specific SEZ for semiconductor manufacturing and a Free Trade and Warehousing Zone.
The Centre had notified 120.06 hectares (around 297 acres) on January 15, 2007; 233.23 hectares (about 576 acres) on December 13, 2007; and 15.57 hectares (around 38 acres) on July 10, 2009, totalling 434.86 hectares (nearly 1,074 acres) in the undivided Andhra Pradesh.
With most of the land lying vacant for 15 years, Fab City authorities sought de-notification of 368.9 hectares (about 912 acres), which the state approved on February 8, 2022. The Centre subsequently issued the gazette formalising the change. After the denotification, the Fab City SEZ area now stands at 66.06 hectares (about 163 acres).
