Eastablishment of Defence Parks at Pallakad, Kerala, in progress : Minister

Speed Post News Network

New Delhi : Department of Industrial Policy and Promotion (DIPP) under Ministry of Commerce and Industry had received two project proposals to establish Defence Parks under Modified Industrial Infrastructure Upgradation Scheme (MIIUS). One proposal was from Government of Kerala to establish Defence Park at Pallakad (Kerala). The project at KINFRA Defence Park, Pallakad (Kerala), was sanctioned on March 28, 2016, with project cost of Rs 131.35 crore involving central grant of Rs50 crore.

Another project proposal was received from Gujarat Industrial Development Corporation for establishment of Defence Park at Sanand. The proposal was not considered as MIIUS permits sanction of maximum two projects per State and when this proposal was received, two proposals had already been given ‘in-principle’ approval in Gujarat. MIIUS scheme was valid till March 31, 2017, and no new projects are being taken up under this scheme.

DIPP does not have any specific policy or scheme for assistance to promote or establish Defence Parks in States and there is no proposal at present to implement any specific scheme for providing assistance to promote or establish Defence Parks. However, consequent to the announcement in the Budget Speech (2018-19) by Finance Minister for setting up of two Defence Industrial Production Corridors in the country, the Government has decided to establish two such corridors, one in Tamil Nadu and the other in Uttar Pradesh.

This information was given by the Minister of State of Commerce and Industry C R Chaudhary in written reply to a question in the Lok Sabha on December 31, 2018, according to a PIB release.