TAMIL NADU

GLOBAL INVESTORS MEET 2015

I N V E S T O R S

PA R A D I S E

Tamil Nadu
Global Investors Meet 2015
Perambalur District Profile

Table of contents
List of Figures

List of Tables

1.

Perambalur

1.1. Overview

1.2. Economic profile

1.3. Resource Profile

1.3.1.

Land and Agriculture

1.3.2.

Minerals

1.3.3.

Education

1.3.4.

Healthcare

1.3.5.

Water Resource

1.3.6.

Power Resource

1.4. Industrial scenario in Perambalur District

1.4.1.

MSME in Perambalur District

1.4.2.

Dairy Development

1.5. Key Enablers

1.5.1.

Connectivity

1.5.2.

Tamil Nadu Vision 2023

1.5.3.

Tamil Nadu industrial policy 2014

10

1.6. Investment Opportunity

11

Key connects and links

12

Glossary
List of Figures
Figure 1 Perambalur GDDP trend (USD million)

Figure 2 Perambalur District Land Utilization in 2010-11

Figure 3 No of units-Micro & Small Enterprises in Perambalur District

Figure 4 Road Connectivity from Perambalur District

Figure 5 Airport and Port Connectivity from Perambalur District

List of Tables
Table 1 Educational Institutions in Perambalur District

Table 2 Health care centers and Hospitals in Perambalur District

Table 3 Upcoming infrastructure projects in Perambalur District

10

Table 4 Incentive packages for various categories of investment

10

Perambalur
1.1. Overview of the district

Perambalur lies in the central part of Tamil Nadu, and 267 Km from
O
the state capital Chennai. The district lies between 78O 40' and 79 30'
O
O
of the eastern longitudes and 10 54' and 11 30' of the northern
Latitudes. The district is bounded by Cuddalore & Salem district in
the north, Tiruchirappalli district in the south, Ariyalur district in the
east, Tiruchirappalli and Salem districts in the west.
The area of the district is 1757 sq.km. It consists of three Taluks Perambalur, Veppanthattai, Kunnam and Alathur. Perambalur was
bifurcated from the erstwhile composite Tiruchirappalli district and
was formed on 1st November 1995.

Perambalur

Population of the district is 5,65,223 as per Census 2011. The district

constitutes literacy rate of 74.32%.

1.2. Economic Profile

Figure 1 Perambalur GDDP trend (USD million)
203

147

148

153

73

79

88

166

157

100
90

96

18

19

49

51

31
21

22

23

53

47

41

2003-07

2007-08

2008-09

Primary

2009-10

Secondary

Source: District Income estimates, 2004-2005 to 2010-2011, Dept. of Economics and statistics, GoTN

Tertiary

72

2010-11
Total

2011-12

Perambalur 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 58% to the districts GDP in 2010-11. The investments have been observed to
be happening in Transport by other means, Trade, Hotels & Restaurants, Real estate, ownership of dwelling & Business
Services.

1.3. Resource Profile

1.3.1. Land and Agriculture
Figure 2 Perambalur District Land Utilization in 2010-11
Figure 2: Ariyalur District Land Utilization in 2010-11
Forest

2%
5%

Barren and Uncultivable uses

17%

Land put to Non-Agricultural

uses
Cultivable waste
3%

61%

0%

Permanent pastures and

other Grazing land

4%
1%

Land under Miscellaneous

Tree crops and Groves

7%

Current Fallow
Other Fallow Lands

Source: Ministry of MSME, Perambalur District, GoI

61.3% of land in Perambalur is used for agricultural activities to produce Maize, Onion, Groundnut, Sugarcane, Cashew
nut, Paddy and Cotton. Currently Perambalur district is the top maize and Onion producer in Tamil Nadu, with 27% and
50% of the state's share respectively. Public sector Unit of Perambalur Sugar Mills is located at Eraiyur with a crushing
capacity of 3000 tonnes per day.

1.3.2. Minerals
The district has fairly rich deposits of Celeste, Lime Stone, Shale, Sand Stone, Canker and Phosphate nodules. A good
deal of building stone is quarried in Peramblur, Kunnam, Alathur and Veppanthattai Taluks.

1.3.3. Education
Table 1 Educational Institutions in Perambalur District
S.No.

Educational Institution

No.

1.

Primary Schools

202

2.

Middle Schools

61

3.

Pre Primary Schools

59

4.

High Schools

38

5.

Higher Secondary Schools

35

6.

Government I.T.I

7.

Private Teacher Training Institute

8.

Self-Financing College Of Engineering

9.

Govt College Of Arts & Science

10.

Self-Financing College of Arts & Science

11.

Govt College Of Arts & Science (Women)

12.

Govt Music School

13.

Private Polytechnic

14.

Govt Polytechnic

Source: http://www.perambalur.tn.nic.in/District_at_Glance.html

1.3.4. Healthcare
Table 2 Health care centers and Hospitals in Perambalur District
S.No. Education
Type
1.3.3.

No.

1.

Government Hospitals

2.

Primary Health Centres

28

3.

Health Sub Centers

90

4.

Veterinary Dispensaries

35

5.

Rural Veterinary Dispensaries

10

Source: http://www.perambalur.tn.nic.in/District_at_Glance.html

1.3.5. Water Resource

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.

Viswakudi Lake Project in Kallaru: with 2 Fillings and the Annual storage of 423.16 M.Cft. Is completed almost 95% with
the estimated budget of INR 33.07 Crores which will facilitate the irrigation of 1449.41 Acres in the Veppanthattai Taluk.
Water Spread Area at FRL is 815 Acres

Kottarai Lake Project in Marudhaiyaru with 2 Fillings and the Annual storage of 211.58 M.Cft. is to be implemented with
the estimated budget of INR 108 Crores which will facilitate the irrigation of 4194 Acres Cultivable Land in the Alathur
Taluk. Water spread area at FRL is 856.35 Acres

1.3.6. Power Resource

Power 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).

1.4. Industrial scenario in Perambalur District

1.4.1. MSME in Perambalur District
Figure 3 No of units-Micro & Small Enterprises in Perambalur District
CATEGORY

NOS

Mfg. of Wearing Apparel Dressing and Dyeing of Fur

246

Land Transport via Pipelines

150

Repair & Maintenance of Personal and Household Goods Retail Trade

143

Undifferentiated Service producing activities of Private Households for own use

101

Mfg. of Food Products and Beverages

87

Mfg. of other Non-Metallic Mineral Products

65

Mfg. of Fabricated Metal Products

65

Repair & Maintenance of Motor Vehicles, Retail sale of Automotive fuel

64

Other Business activities

41

Mfg. of Textiles

29

Mfg. of Furniture Manufacturing NEC

22

CATEGORY

NOS

Mfg. of Paper and Paper Products

20

Computer and Related Activities

20

Mfg. of Wood and Wood Products

19

Mfg. of electrical Machinery and apparatus NEC

16

Mfg. of rubber and Plastic Products

15

Mfg. of Machinery and Equipment

14

Hotel and Restaurants

14

Recreational, Cultural and sport Activities

14

Undifferentiated Goods producing activities of Private Households for own use

14

Activities of Private Households as Employers of domestic staffs

13

Renting of Machinery and equipment without Operator and of personal and household Goods

11

Wholesale of Trade and Commission Trade

Electricity, Gas, Steam and water

Supporting and auxillary Transport and Travel Agent Activities

Mfg. of Chemical and Chemical Products

Mfg of Basic Metals

Mfg of Motor Vehicles,Trailers and Semi - Trailers

Collection ,Purification and Distribution of water

Post and Telecommunication

Real Estate Activities

Health and Social Work

Publishing, Printing & Reproduction of Recorded Media

Education

2
Source: Ministry of MSME, Perambalur District, GoI

Maximum units have been established in Manufacturing of wearing Apparel dressing and dyeing of Fur followed by land
transport via pipelines. Food processing and Textile sectors are turning out to be major growing sectors for the district. Some
key established players in the district are MRF Tyres, Perambalur Sugars, Dhanalakshmi Sugar, etc.
7

1.4.2. Dairy Development

Total Milk Co-Op. Society available - 163

Average Milk Production (per Day) 1.25 Lakhs

Bulk Milk Godown 11

Chilling Plant - 1

One more Chilling & Dairy Products Plant is under construction with the land estimate of
26 Acres and the total value of 42 Crores in Alathur Taluk.

1.5. Key Enablers

1.5.1. Connectivity
Figure 4 Road Connectivity from Perambalur District

The road network in Perambalur district consists of

National highways, State highways, District roads
and rural roads. The District has two National
Highways which are - NH-45 (Chennai Theni),

Perambalur

NH-226 (Perambalur-Manamadurai). The length of

Major District roads is 145.6 km, Other District

NH-45

roads is 411.120 km, Sugarcane Mill roads is

32.585 km, State highways is 90.075 km, District
and Rural roads is about a length of 1323 Km.
The Nearest Railway Station to Perambalur is
Ariyalur. The rail network of Ariyalur district falls
under Trichy division of Southern Railway. The total
track length is of 42 Km (Broad gauge). The

NH-226

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.

Figure 5 Airport and Port Connectivity from Perambalur District

Perambalur

Cuddalore port to perambalur is 130 km

Karikal port to perambalur is 135 km

Trichy International Ariport

to perambalur is 65 km

The nearest International Airport is located at Trichy at a distance of 65 Km from District headquarters. Cuddalore and
Karikal port are the nearest major port located to the district. They are at a distance of 130 Km and 135 Km respectively
from District headquarters of Perambalur. At Cuddalore port ships anchor at the open sea at the available depth, loading
and unloading of cargo takes place by means of Lighters/Steel Barges. The anchorage has 8-10m depth available at the
distance of 0.5 Nautical Mile . Tamil Nadu Maritime Board is in the process of developing the port further. Karikal ports
phase 1 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 the help of total 9 berths .

1.5.2. 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:
1. 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
2. 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
3. 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.

Table 3 Upcoming infrastructure projects in Perambalur District

Name

Capacity

Investment in USD Million

Strategic Roads Expansion Programme-II (Central Tamil Nadu)

30 Km

62

Chennai-Tuticorin freight corridor

500 Km

Development of Port in Cuddalore region

800 acers

333

Development of Port in Nagapattinam region

1000 acers

333

Dry Port and Logistics Hub at Perambalur

200 acers

33

1667

Chennai-Trichy Industrial Corridor

3333

Integrated Post Harvest Supply Chain Establishment

Across Tamil Nadu

3333

Infrastructure support for Agro Food Processing Industry

Across Tamil Nadu

833

Source: Vision Tamil Nadu 2023, Strategic Plan for Infrastructure- Phase II

1.5.3. 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.

1.5.3.1. 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 4 Incentive packages for various categories of investment

Investment in fixed assets/
eligible fixed assets (USD
Million)

Direct Employment (No.)

Capital Subsidy
(USD)

Electricity tax exemption

(no. of years) from CoP

0.8 - 8

100

50000

2 Years

8 -17

200

100000

3 Years

17 - 33

300

170000

Source: Capex database

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

Source: TN Industrial Policy 2014

10

1.5.3.2. 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.

1.5.3.3. 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.

1.5.3.4. 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:
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

Production of the Dairy products.

Textile Park in Alathur Taluk.

Fisheries in the newly implementing Viswakudi and Kottarai Lake projects.

11

Key connects and links

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

12

Additional Chief Secretary to Government of Tamil Nadu

Industries Department
Phone: 91-44-25671383 Fax: 91-44-25670822
Email: indsec@tn.gov.in, indjsgim@tn.gov.in
Nodal Agency
Tamil Nadu Industrial Guidance and Export Promotion Bureau
19-A, Rukmini Lakshmipathy Road, Egmore, Chennai-600 008
Phone: 91-44-2855 3118 Fax : 91-44-2858 8364
Email: directorguidance@gmail.com
Visit us at www.tamilnadugim.com

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