In a major boost to its industrial development and investment plans, the Punjab government has signed a Rs 5,000 crore pact with Mumbai-based Govind Rubber Limited.
The MoU was signed by the company's chairman Vinod Poddar and Punjab Bureau of Investment Promotion CEO and Secretary Industries and Commerce, Punjab, R K Verma here today.
The MoU envisages the establishment of a new tyres and tubes manufacturing plant, to be set up in two phases over 250 acres.
The first phase will be completed by December 2018 at Rs 3,000 crore, an official spokesperson said, adding Poddar Group had vast experience in the rubber industry and was already running a unit in Ludhiana for the past two decades.
The project would yield employment opportunities for more than 3,500 people, while giving a fillip to the state's industrial development, said the spokesperson, describing it as an outcome of the Chief Minister's Mumbai visits to woo captains of industry and the government's new industrial policy, with its provisions aimed at creating an industry-friendly environment in the state.
The new plant will cater to the demand for tyres and tubes across all the sectors-from bicycles to automobiles, as well as heavy earth moving machinery.
The plant will be set up with state-of-art technology and shall have 300 robots to manage the manufacturing process, which shall be highly environment friendly with no air or water pollution, the company's chairman stated.
He further disclosed that this will be the first plant in India deploying such a large number of robotic processes in manufacturing.
Verma assured Poddar that the state government shall facilitate speedy implementation of the project and all assistance would be provided in securing approvals and financial incentives in a time-bound manner.
(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)