Tamil Nadu Urban Infrastructure Financial Services ... - Municipal

3.4 Recent developments
Exhibit 3.4 Occupational distribution in Krishnagiri town ( 2001)
Sector Employment Percentage (%)
Primary Sector 379 1.8%
Secondary 840 4.0%
Tertiary 19905 94.2%
Total 21124 100%
Source: Census of India
Though Krishnagiri district offers advantage in terms of proximity to Bangalore, connectivity to NH 7
(Chennai - Bangalore highway) and a good rail network linking it to Bangalore, Coimbatore and
Salem, it has not had large scale investments and this has been a key reason for the lack of growth in
the town. However, a number of initiatives have been taken to promote Krishnagiri and the entire
region for fostering industrial and commercial development.
Recently, GMR Infrastructure Limited has entered into an agreement with Tamil Nadu Industrial
Development Corporation (TIDCO) to set up a 3300 acre multi-product SEZ in Krishnagiri. GIL
expects an initial investment of Rs 2,300 crore in basic infrastructure which would eventually lead to
investments of over Rs 11,000 crore in industrial and social infrastructure and generate over three
lakh jobs. A special purpose vehicle (SPV) in partnership with TIDCO is being set up to implement
the project. Companies in electronics, engineering, IT, ITES, biotechnology and nanotechnology are
expected to take up space in the SEZ. The project is expected to go on stream in 2009 and be fully
occupied in five years. TIDCO has earlier carried out a market survey and preliminary feasibility
study for the project. The SEZ, which has received Government of India‟s in principle approval, has a
potential to generate exports of over Rs 16,000 crore a year. A few sites have been identified though
the exact location of the SEZ is yet to be finalized.
Apart from this, there has also been an initiative in Krishnagiri district to set up rural call center for
employing educated unemployed youth for providing employment in the growing BPO sector. Called
FOSTERA (Fostering technologies in rural areas), this initiative envisages training of youth from
naxal prone villages in typing, English grammar, communication skills, data conversion and XML
tagging and collaborating with IT companies to provide employment and extending the presence and
benefits of the country‟s growing BPO sector in rural areas. Initiatives such as mentioned above could
contribute significantly to boosting the economic prospects of the region and would contribute to the
growth potential of Krishnagiri town.
CCP cum BP - Krishnagiri Municipality 12