Coimbatore: A proposal to set up Centre of Excellence for casting technology and Skill Development Centre for the benefit of MSME foundries here is awaiting approval from the Centre, which is expected by January end, the Institute of Indian Foundrymen said.
Once the Centres are set up, it will be a boon to the foundry sector in the region, facing problem both on technological and labour fronts, IIF Secretary Nithyanandan Devaraaj told reporters here.
With an investment of Rs.40 crore- Rs.30 crore from the Centre as grant and Rs.10 crore being pooled from the members, a three acre land has already been identified in Arasur on the outskirts, he said.
IIF Former President C R Swaminathan said majority of the workers were migrants from Odisha, Bihar and other Northern states and not adequately skilled for the job and the Skill Development Centre would be a boon to them to get hands-on training in the trade.
Expressing concern over the delay in fixing the tax slabs for foundry in the proposed GST, both said there should not be single rate for the products, but should be based on the end users and products thereof.
On demonetisation impact, Swaminathan said as against the anticipated growth of 10 to 15 per cent production, there was 20 to 30 per cent decrease in production, as there was less demand from end users, who were feeling the real pinch.
Source: Business Standard
