FDI 2023: UP govt decides to provide ‘front-end land subsidy’

Lucknow / New Delhi, Nov 29 (FN Bureau) In a step within the recently enacted Foreign Direct Investment Policy 2023 (FDI 2023) in Uttar Pradesh, the state government has decided to provide ‘’front-end land subsidy’’ to the first company. Infrastructure and Industrial Development Commissioner (IIDC) Manoj Kumar Singh has issued the approval letter and eligible certificate for providing front-end land subsidy for the proposed project of Fuji Silvertech Concrete Private Limited (FSCPL) as requested by the company in this regard. It may be noted that recently the Yogi Cabinet approved the UP Foreign Development Policy. This is the first case of approval for land subsidy for any company after the policy was formulated.

The letter of approval sent to the Managing Director (MD) of FSCPL states that the evaluation committee of Invest UP evaluated the proposal in its meeting held on November 22 and approved the FDI for grant of front-end land subsidy. The committee recommended the grant of front-end land subsidy and referred the matter to the Empowered Committee established under the clause of the Investment Promotion Policy for Fortune Global 500 and Fortune India 500 Companies. The Empowered Committee has given its approval for granting 75 per cent of front-end land subsidy for the proposed project, covering 10 hectares (approximately 25 acres) of land in Yamuna Expressway Industrial Development Authority, Gautam Buddha Nagar district. This project is proposed in the Yamuna Expressway Industrial Development Authority (YEIDA).

The project is related to the construction of precast concrete products using Wet Cast Technology and Sulfur Concrete Technology. In Phase 1, there will be an installed capacity of 650 TPD and in Phase 2 there will be an additional capacity of 350 TPD. The estimated cost of Phase 1 is Rs 150 crore while Phase 2 will also cost Rs 150 crore. Approximately 700 people will directly and indirectly gain employment from Phase 1 of the project. Fuji Silvertech Concrete Private Limited (FSCPL) is a Special Purpose Vehicle (SPV) formed to set up and operate manufacturing facilities of precast concrete products in India. The manufacturing facilities will be based on wet cast technology and sulfur concrete technology owned by Fuji Concrete Industry Company Limited (FCICL) and Toyota Kokhi Company Limited (TKCL), which are joint venture partners in FSCPL.