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Project proposals entailing Rs 15.4 bn FDI cleared

A plan of Fiat India Automobiles to manufacture cars and another of Toyota Kirloskar Motor Limited to manufacture passenger utility vehicles are among the 58 proposals entailing foreign direct investment of more than Rs 15.41 billion approved by Commerce and Industry Minister Murasoli Maran.

The proposals covering sectors like financial services, electronics, tourism, textiles, electrical and auto accessories, engineering and consultancy were cleared on the recommendation of the Foreign Investment Promotion Board, it was officially announced in New Delhi today.

These included a proposal of HCL Comnet Systems and Services for multi-media based integrated networking solutions and services.

While the Fiat and HCL proposals did not involve any FDI, the Toyota Kirloskar proposal envisaged an FDI of Rs 1 billion which increased its FDI equity percentage from 87 to 88.86.

The proposal of Orchid Chemicals and Petrochemicals for the manufacture of bulk drugs was also cleared. It involves an FDI of Rs 1.75 billion, which is 38.05 per cent of its equity.

A project of the Gas Authority of India Limited was also cleared and it involves a disinvestment by way of GDR issue for upto 180 million shares worth about Rs 1.80 billion.

Another major proposal cleared in the automobile sector is that of Skoda Auto Limited for setting up car manufacturing or assembling project. This involves an FDI of Rs 2.35 billion which is 100 per cent of its equity.

The project of International Seaports (India) Limited for the development and upgradation of ports and ports-related services has also been approved. This is expected to bring in an FDI of Rs 3.51 billion.

The government also cleared the project of Wilton Weavers Limited for the manufacture of carpets. This involved an FDI of Rs 2.44 billion, which is 66.7 per cent of its equity.

The proposal of Sun and Sound Systems Limited to manufacture security systems has also been approved. This involves NRIs' FDI of Rs 4.25 billion, which is 85 per cent of its equity. Goodlass Nerolac Paints' proposal to manufacture paints, enamels and varnishes with an FDI of Rs 1.09 billion is also among the approved projects.

Projects for development of computer software by Eclipse Network, Asia Content.com Limited, Ficon Technology India, Case Consult India Limited, Thyron Information Limited, Cyborg Systems Inc and Softsol India are among the proposals cleared.

UNI

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