COINDIA 's Appeal
Coimbatore Industrial Infrastructure Association (COINDIA) has appealed to the Central and State Governments to provide more support for creation of common infrastructure for foundries. Recently 30 foundrymen from Coimbatore visited China on a study tour where they met China Foundry Association and visited units in Shanghai and Wenzhou, COINDIA president G. Rajendran said in a release. The Chinese Government had created adequate infrastructure in terms of road network, common facilities and pollution control systems. It also permitted the operation of foundries on river beds and provided quality power supply. With availability of river transport system, transportation charges were minimal and new manufacturing techniques were encouraged. The productivity levels were higher compared to India. Mr. Rajendran said that though the Indian Government extended assistance to foundries under the Industrial Infrastructure Upgradation Scheme, 35 per cent of the margin money was given by the industries. “The Central and State Governments should create the entire common infrastructure like roads and environment control systems for micro, small and medium enterprises,” he said.
Foundries were the main raw material suppliers for other engineering industries and these units should get power at a subsidised rate. The generator subsidy should be reinstated and dormitories should be available as a common facility in industrial belts. Funds for working capital and term loans should be made available at 7.25 per cent. He said that under the Duty Entitlement Passbook Scheme, the units should get minimum 15 per cent concession. Currently, it is two per cent for valves and six per cent for castings and pumpsets.
