Samsung signs MoU with TN to set up SEZ unit

Chennai, Nov 10: Samsung Electronics today signed a Memorandum of Understanding (MoU) with the Tamil Nadu Government to set up a unit of Special Economic Zone (SEZ) and a Domestic Tariff Area (DTA) at Sriperumbudur near here with a total investment of 450 crore.

State Industries Secretary Sakthi Kanta Das and Samsung (South West Asia Regional Headquarters) President and CEO S H Oh signed the MoU in the presence of Chief Minister M Karunanidhi and Union Communication and IT Minister Dayanidhi Maran at the Secretariat here.

Samsung would invest about Rs 284 crore in the DTA project to manufacture colour TVs, refrigerators, air-conditioners and washing machines.

It would also set up a SEZ unit for manufacture of computer monitors (including LCD monitors), computer printers and other technology products with an investment of Rs 166 crore.

Both the projects would be operational by mid-2007, according to an official release here.

While the DTA project would come up on 50 acres of land in the SIPCOT Sriperumbudur Industrial Park, the SEZ unit would be set up on 30 acres of land in the Sriperumbudur hi-tech Special Economic Zone located within the SIPCOT Industrial Park.

The project was expected to attract several component vendors of Samsung to set up projects in the SIPCOT Sriperumbudur SEZ and Industrial Park. The project would provide direct employment to 2,500 people and indirect employment to about 1,500 people.

The project was expected to give a further boost to electronics hardware manufacturing as well as Korean investments in Tamil Nadu, the release added.

Samsung India Electronics, which had manufacturing facilities at Noida near New Delhi, extensively studied various States in India for setting up their manufacturing base.

Proactive approach of the Tamil Nadu Government, quality of manpower, good connectivity, reliable logistics and excellent infrastructure had been key factors in attracting Samsung to Tamil Nadu, the release added.

UNI