Ariyalur District Profile
Tamil Nadu
Global Investors Meet 2015
TAMIL NADUGLOBAL INVESTORS MEET 2015
I N V E S T O R S P A R A D I S E
Table of contentsTable of contentsGlossary
List of Figures 2
List of Tables 2
1. Ariyalur 3
1.1. Overview 3
1.2. Economic profile 3
1.3. Resource Profile 4
1.3.1. Land and Agriculture 4
1.3.2. Minerals 5
1.3.3. Education 5
1.3.4. Healthcare 6
1.3.5. Water Resource 6
1.3.6. Power Resource 6
1.4. Key Enablers 7
1.4.1. Connectivity 7
1.4.2. Tamil Nadu Vision 2023 9
1.4.3. Tamil Nadu industrial policy 2014 9
1.5. Investment Opportunity 11
Key connects and links 12
List of FiguresList of Figures
Table 1 Educational Institutions in Ariyalur District 6
Table 2 Health care centers and Hospitals in Ariyalur District 6
Table 3 Upcoming infrastructure projects in Ariyalur District 8
Table 5 Incentive packages for various categories of investment 9
List of TablesList of Tables
GlossaryGlossary
2
Figure 1 Ariyalur GDDP trend (USD million) 4
Figure 2 Ariyalur District Land Utilization in 2010-11 5
Figure 3 Road Connectivity from Ariyalur District 7
Figure 4 Airport and Port Connectivity from Ariyalur District 7
AriyalurAriyalur
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1.1. Overview of the districtAriyalur lies in the central part of Tamil Nadu, and 280 Km from the
o o
state capital Chennai. The District lies between 78 40' and 79 30' of
o
the eastern longitudes and 10 54' and 11o 30' of the northern
Latitudes. The District is bound by the Districts of Cuddalore to the
north and north-east, Nagapattinam to the east, Thanjavur to the
south and south-east, Tiruchirapalli to the south-west and
Perambalur to the west. The District was formed in 01.01.2001 to
19.04.2002 in the GO No: 656 revenue department dated
29.12.2000 and reformed in Nov 2007 from Perambalur District as
per the GO No : 683 revenue department dated 19.11.2007.
The area of the District is 1949 sq.km. It consists of three Taluks-
Ariyalur, Udayarpalayam and Sendurai. Population of the District is
7525 thousand numbers as per Census 2011. The District is 12%
urbanized and constitutes literacy rate of 72%.
1.2. Economic Profile
Ariyalur contributes USD 0.2 billion in GDP of Tamil Nadu. Service
industry has been playing a vital role in the economy of this District. It
has contributed 53% to the Districts GDP in 2011-12. The investments have been observed to be happening in Trade, Hotel &
Restaurants, Banking & Insurance and Construction and Real estate.
Ariyalur
41.3. Resource Profile
1.3.1. Land and Agriculture
56% of land in Ariyalur is used for agricultural activities to produce Paddy, Coriander, Maize, Jowar, Varagu, Cumbu,
Sugarcane, Mango, Pulses, Chilies, Onion, Lime, Tapioca, Gingelly, Banana, Cashew nut, Groundnut and Cotton.
Figure 1: Ariyalur GDDP trend (USD million)
Source: District Income estimates, 2004-2005 to 2011-12, Dept. of Economics and statistics, GoTN
2006-07 2007-08 2008-09 2009-10 2010-11 2011-12
Primary Scondary Tertiary Total
2000
1800
1600
1400
1200
1000
800
600
400
200
0
203 197
216222
232215CAG
R-4%
Figure 2: Ariyalur District Land Utilization in 2010-11
Remaining area
Forest Cover
Non Agricultural Land
Cultivable barren land
Net Area Sown
4.4%
0.4%
Source: http://ariyalur.nic.in/Distt/Profile/DisttProfileAgri.html
22.9% 77.1%55.6%
16.7%
51.3.2. Minerals
The mineral base is found to be spread across for the district. It is one of the most important factors for the industrial
development of the area. Ariyalur district is gifted with minerals like Limestone, Fire Clay, Lignite and Sand Quarries. Some key
industrial players in Ariyalur district are Tamil Nadu Cement Ltd, Tamil Nadu Minerals, Madras Cements ltd, India Cements ltd,
Grasim Cements, Dalmia Cements (Bharat) Ltd and Chettinad Cements ltd.
1.3.3. Education
Source: Ariyalur District, Statistical Hand book 2011-12, School and Education department, Govt. of Tamil Nadu
Source: Department of Geology and Mining, Govt of Tamil Nadu
S.No Educational Institution Nos.
1. Arts and Science Colleges 6
2. Engineering Colleges 3
3. Colleges for Special Education(Nursing) 2
4. Primary Schools 475
5. Middle Schools 140
6. Higher Secondary Schools 134
7. Teachers Training Institute 7
8. Catering Colleges 1
9. Polytechnic 3
10. ITI 4
Table 1: Educational Institutions in Ariyalur District
Minerals Production ( Thousand tonnes ) in 2013-14
Limestone 12010
Fireclay 168
Marl 30
1.3.3. Education
1.3.5. Water Resource
The rivers flowing in the district are Vellar and Kollidam River. Canals, wells, tanks and reservoirs are the sources of irrigation in
the district. Several plans and schemes have been introduced for uninterrupted water supply for domestic and economic
activities.
Few Schemes to enhance the water supply in the district are as follows:
Combined Water Supply Scheme (CWSS): More than one local body are involved which consists of assistance
from Minimum Needs Program, National Rural Drinking Water program and financial assistance from institutions
like TUFIDCO, TNUIFSL, NABARD and ADB.
HDPE linings of major canals: High Density Polyethylene (HDPE) linings are being implemented by the state
government to limit the transmission loss.
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1.3.6. Power Resource
Transmission in the district is being done by Tamil Nadu Generation and Distribution Corporation Ltd. (TANGEDCO) and Tamil
Nadu Transmission Corporation Ltd. (TANTRANSCO) with the supervision of Tamil Nadu Electricity Board Ltd. (TNEB).
1.3.4. Healthcare
Table 3 Health care centers and Hospitals in Cuddalore District
Source: Health and Family Welfare department, Government of Tamil Nadu
S.No. Type No.
1. Government Hospitals 4
2. Private Hospitals 17
3. Ayurvedic Hospitals 3
4. Primary Health Centres 38
5. Health Sub-Centres 117
71.4. Key Enablers
1.4.1. Connectivity
Figure 3 Road Connectivity from Ariyalur District
Ariyalur
NH-227
SH-139
Name of the National Highway(NH) Connectivity
NH-227 Connects Trichy to Chidambaram in Cuddalore and passes
through Ariyalur
1.4.2. Railway connectivity
The rail network of Ariyalur district falls under Trichy division of Southern Railway. The total track length is of 40 Km (Broad
gauge). The Ariyalur railway station is located on the line between the state capital Chennai and Trichy and is therefore well
connected by rail to major towns like Madurai and Thoothukudi.
81.4.3. Airport and Seaport connectivity
Figure 4 Airport and Port Connectivity from Ariyalur District
Ariyalur
Karaikal Port is 115 Km
from Ariyalur
Trichy International Airport
is 76 Km from Ariyalur
Airport/Seaport Distance
Trichy international airport 76 Km
Karaikal port 115 Km
Phase 1 of the Karikal port comprises of 2 Panamax size berths capable of handling 5.2 million MT of cargo
per annum. The upcoming phases will enable the port to handle 46.9 Million MT of cargo per annum with 1
the help of total 9 berths .
1
http://www.karaikalport.com
91.5 Tamil Nadu Vision 2023
The vision for Tamil Nadu for 2023 is to become Indias most prosperous and progressive state with no poverty, and where
its people enjoy all the basic services of a modern society and live in harmonious engagement with the environment and with
the rest of the world.
Vision 2023 Tamil Nadu (Vision 2023) sets the plan for infrastructure development for the state to reach the desired
outcomes by 2023. The three outcomes of Vision 2023 are:
The per capita income of Tamil Nadus residents will reach USD 10,000 per annum (at 2010 prices) the present
median income of Upper Middle Income countries - by 2023
Tamil Nadu will attain a high standard of social development, with the Human Development Index of the state
matching those of developed countries by 2023, and
Tamil Nadu would provide to its residents, high quality infrastructure all over the state comparable with the best
in the world
Key facets of Vision 2023 include Tamil Nadus enhanced economic dynamism, best in class human development indicators,
well developed infrastructure that provides universal access to basic services, an investment climate that compares with the
best in Asia, and the evolution into Indias foremost knowledge and innovation hub.
Source: Vision Tamil Nadu 2023, Strategic Plan for Infrastructure- Phase II
Name Capacity Investment in USD Million
Strategic Road Expansion Programme-II 137 Km 281
Chennai Tuticorn Freight corridor 500 Km 1667
Dry Port and Logistics Hub at Ariyalur 200 acers 33
Chennai Trichy Industrial Corridor 3333
Development of Heritage location and destination Across Tamil Nadu 17
of tourist Interest
Integrated Post Harvest Supply Chain Establishment Across Tamil Nadu 3333
Table 3: Upcoming infrastructure projects in Ariyalur District
1.5.1. Tamil Nadu industrial policy 2014
Tamil Nadu introduced Industrial Polices in 1992, 2003 and 2007. The latest industrial policy, announced in 2014, is aligned to
the objectives laid out in Vision 2023. Several incentives and subsidies have been announced as a part of this industrial policy,
as listed in subsequent sections
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1.5.1.1. Capital subsidy and electricity tax exemption
Irrespective of the location of the project, new or expansion manufacturing units will be given a back-ended capital subsidy
and electricity tax exemption on power purchased from the Tamil Nadu Generation and Distribution Corporation Ltd
(TANGEDCO).
Table 5: Incentive packages for various categories of investment
Source: TN Industrial Policy 2014
Source: Capex database
Investment in fixed assets/
eligible fixed assets (USD (USD) (no. of years) from CoP
Million)
Direct Employment (No.) Capital Subsidy Electricity tax exemption
0.8 - 8 100 50000 2 Years
8 -17 200 100000 3 Years
17 - 33 300 170000 4 Years
33 - 83 400 250000 5 Years
83 - 250 600 292000 5 Years
250 - 500 800 330000 5 Years
500 and above 1000 375000 5 Years
1.5.1.2. Stamp duty concession
50% Exemption from Stamp duty on lease or sale of land meant for industrial use shall be offered for projects located in
Industrial parks promoted by SIPCOT. Stamp duty will be calculated based on actual land or building value paid by
manufacturing units to industrial parks.
1.5.1.3. Environmental protection infrastructure subsidy
Dedicated Effluent Treatment Plants (ETP) and / or Hazardous Waste Treatment Storage and Disposal Facility (HWTSDF) set up
by individual manufacturing units would be eligible for an Environment Protection Infrastructure subsidy of USD 50,000 or
25% of capital cost of setting up such ETP/ HWTSDF, whichever is less.
1.5.1.4. Structured incentive package for mega projects
Apart from standard package of incentives, the State Government has also facilitated a structured incentive package for
mega projects, as per the following categories:
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1. Mega project Investment range between USD 60 million to 170 million
2. Super Mega Investment range between USD 170 million and 800 million
3. Ultra mega Investment above USD 800 million
Incentive packages for each category of mega projects are as listed below:
Mega project Net output VAT+CST paid to be given as Investment promotion subsidy/soft loan for 10 years
from the date of commercial production (ceiling of 80% of investment made in EFA within the investment period)
Super Mega: Net output VAT+CST paid to be given as Investment promotion subsidy/soft loan for 12-14 years
from the date of commercial production (ceiling of 90 - 100% of investment made in EFA within the investment
period)
Ultra mega: Net output VAT+CST paid to be given as Investment promotion subsidy/soft loan for 16 years from
the date of commercial production (ceiling of 100% of investment made in EFA within the investment period)
An additional 10% output VAT+CST paid will be given as Investment Promotion subsidy/soft loan to the investors if they
double the committed employment levels within the investment period, which is capped to the investment made in the
EFA during the Investment period.
1.6. Investment Opportunity
The wide variety of Minerals present here gives an opportunity to invest in Cement. The availability of Agricultural
harvest of Paddy, Coriander, Maize, Jowar, Varagu, Cumbu, Sugarcane, Mango, Pulses, Chilies, Onion, Lime, Tapioca,
Gingelly, Cashew nut, and Groundnut in the region attracts the investments in Food processing.
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Key websites of Government of Tamil Nadu
www.tn.gov.in Portal to Government of Tamil Nadu
www.tidco.com Tamil Nadu Industrial Development Corporation (TIDCO)
www.tneb.in Energy department
www.tnidb.tn.gov.in Tamil Nadu Infrastructure Development Board
www.teda.in Tamil Nadu Energy Development Agency
www.indcom.tn.gov.in Micro, Small and Medium Enterprises Department
www.tnsamb.gov.in Agricultural marketing
www.hepcindia.com/tamilnadu.php Handloom export promotion in Tamil Nadu
www.tn.gov.in/transport Transport Department
www.sipcot.com About industrial parks
www.mepz.gov.in Madras Export Processing Zone
www.elcot.com About Software & ITES
www.investingintamilnadu.com Guide to investing in Tamil Nadu, policies, Tamil Nadu Vision 2023,
step by step approach to establishing a company
www.tamilnadugim.com Tamil Nadu Global Investors Meet- 2015
Key Websites of Government of India
www.dipp.nic.in FDI policies
www.commerce.nic.in Foreign Trade policies
www.mit.gov.in Electronics industry & IT opportunities
www.fipbindia.com Foreign Investment promotion Board
www.moef.nic.in Environmental Laws
www.mnre.gov.in Renewable energy opportunities
www.powermin.nic.in Power projects opportunities
www.mofpi.nic.in Food and Agro Processing opportunities
www.dhi.nic.in Department of Heavy industries
www.india.gov.in/topics/infrastructure Infrastructure
Key connects and linksKey connects and links
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TAMIL NADUGLOBAL INVESTORS MEET 2015
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Additional Chief Secretary to Government of Tamil Nadu
Industries Department
Phone: 91-44-25671383 Fax: 91-44-25670822
Email: [email protected], [email protected]
Nodal Agency
Tamil Nadu Industrial Guidance and Export Promotion Bureau
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Phone: 91-44-2855 3118 Fax : 91-44-2858 8364
Email: [email protected]
Visit us at www.tamilnadugim.com