Indian Economy News

Three Common Engineering Facilities Centres for MSMEs will be opened by Tata Technologies in Karnataka, says Karnataka Industries Minister

  • IBEF
  • July 14, 2023

To aid the Ministry of Micro, Small & Medium Enterprises (MSMEs) in the state of Karnataka, Tata Technologies, a division of the Tata Group, has suggested constructing three Common Engineering Facilities Centres (CEFCs). The three facilities, as indicated by Karnataka’s Large and Medium Industries Minister, Mr. M.B. Patil, the large and medium industries minister for Karnataka, will require an investment of roughly US$ 243.6 million (Rs. 2,000 crore), according to a report by the Press Trust of India.

According to the ministry’s release, the representatives of Tata Technologies met with the Minister at the Vidhana Soudha, the legislative assembly of Karnataka, and submitted their proposal.

The engineering services company will build the CEFCs using the Public-Private Partnership (PPP) model, according to the proposed plan. The Karnataka Government would control 30% of the stakes, leaving Tata Technologies to hold 70% of them.

Tata Technologies intends to build three of these facilities in the state, each requiring five acres of land at a cost of about US$ 76.7 million (Rs. 630 crore). To the advantage of MSMEs and burgeoning startups working in these industries, these centres will cater to Advanced Manufacturing 4.0, Electric Vehicle Testing, Aerospace, and Defence.

Tata Technologies was founded in 1989 and now has operations in 27 nations in Asia-Pacific, Europe, and North America. It offers original equipment manufacturers for the automotive and aerospace industries as well as businesses that make industrial machinery services in the areas of engineering and design, manufacturing, product development, and IT service management.

Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.