Karnataka to set up second foundry cluster

March 5th, 2012 - 11:54 pm ICT by IANS  

Bangalore, March 5 (IANS) The Karnataka government Monday said it would soon set up the state’s second foundry cluster at Dobbespet in Bangalore Rural district.

Dobbespet is about 50 km from the city.

“As Karnataka has one of the largest deposits of iron ore in the country, the foundry cluster will help the manufacturing sector in the state to source its requirements cost-effectively,” Industries Minister Murgesh R. Nirani said in a statement here Monday.

With the government planning to set up industry clusters for automobiles, gems and jewellery and other manufacturing sectors, the foundry cluster will be one of the 14 such industry-specific clusters being developed across the state.

The Institute of Indian Foundry will set up a centre for innovation in the cluster with research and development facility and training and technology demonstration for foundries.

The Dobbspet foundry cluster will be the second such facility in the state after the existing one at Belgaum, about 500 km from here.

Asserting that the state government was committed to the growth of the micro, small and medium enterprises (MSME) under which a majority of foundries are identified, Nirani said the pending subsidy for small scale industries would be released in the ensuing fiscal through budgetary allocation.

“I am aware that the state government owes subsidy to the tune of crores of rupees. We will make allocation for it in the state budget for fiscal 2012-13 to clear the subsidy due,” Nirani noted.

MSME Secretary R.K. Mathur said that the foundry industry should take advantage of the various schemes launched by the central government for industry promotion.

“Unless the contribution of the manufacturing sector to the national gross domestic product (GDP) is increased to 25 percent from 15 percent, balanced growth will not be possible,” Mathur observed.

Though India is the second largest producer of foundry-based castings after China, its share in the global market of 92 million tonnes is about 10 percent.

The industry held its 60th Indian Foundry Congress at the Bangalore International Exhibition Centre on the city’s outskirts March 2-4.

It coincided with the eighth international foundry technology, equipment supplies exhibition in which about 200 Indian and overseas firms and 1,500 delegates from 15 countries participated.

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