Though the pandemic hit hard the economy globally, India’s rapid recovery has been evident all the while as explained in our earlier article Five Green Shoots That Tell the Story of India’s Economic Revival. Prime Minister Narendra Modi also explained at length why he believes India is on the path of revival already. Two recent developments can be added to India’s ever-growing story of economic confidence, as big private investments at this juncture show that the industry has seen the signals of revival and growth, and is moving ahead accordingly.
Tata Sons’ Big Plans in Mobile Manufacturing
According to a report in The Economic Times, Tata Sons is seeking up to $1 billion through overseas loans to setup a mobile phone and component manufacturing plant in Tamil Nadu to make Apple phone parts.
The report, quoting sources from the company, has said that the initial plan is to serve the Apple which is looking to shift its base from China. Later, the plan is to partner with Original Equipment Manufacturers (OEMs) of South Korea and Japan.
This move is said to have been encouraged by the Production Linked Incentive scheme that the Modi government announced, which has already seen a good reception.
₹5,477 crore Investment from UtraTech Cement
Aditya Birla Group firm UltraTech Cement Ltd on December 4, 2020 announced ₹5,477 crore investment towards 12.8 mtpa capacity expansion with a mix of brown field and green field expansion. This signals that the infrastructure sector is back on track with a pace, so that companies can think of such big investments.
Kumar Mangalam Birla, Chairman, Aditya Birla Group himself explained the significance of this move in his statement that got reported in media. “This significant investment in a core infrastructure sector will accelerate the wheels of economic activity and aid the kickstart of the private investment cycle. The capital outlay, given the current economic backdrop, is aligned with the Government’s Atmanirbhar Bharat program.”
UltraTech Cement announces Rs. 5477 crore investment for 12.8 mtpa capacity expansion. The additional capacity will be created in the fast-growing markets of the East, Central and North regions in India. Read more https://t.co/R7xWIMNa5b@AdityaBirlaGrp pic.twitter.com/6RpRJqLA3y
— UltraTech Cement Ltd (@UltraTechCement) December 3, 2020
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