Chief Minister K. Chandrasekhar Rao and others were on Thursday briefed about Medha’s rail coach manufacturing facility near Hyderabad. Photo Credit: Arrangement
Telangana realized its aspiration to host a rail coach manufacturing plant with the formal inauguration of the Medha Servo Drives factory near Hyderabad by Chief Minister K. Chandrasekhar Rao on Thursday.
“We are really proud of you,” Mr Rao told the meritorious promoters amid applause from the workforce at the inauguration of the facility for rail and metro coaches at Kondakal near here. He assured all possible support to the company to scale up the operations. Apart from meeting the requirements of the Indian Railways, it will also manufacture the Mumbai Monorail Trainset.
The chief minister, who had earlier visited the facility, lauded the company and also pointed out how its decision helped attract ancillary units, including the Malaysian firm. “Any support required…we are with you,” he said, adding that the coach factory is the latest addition to Telangana’s industrial scene which is known for its strength in the life sciences sector.
Large-scale manufacturing can be promoted only if it is supported by a favorable policy environment, said Mr. Rao, recalling extensive research and efforts to shape the Telangana State Industrial Project Approval and Self-Certification System, which is time-bound. Asserts approval or approved approval. TS-iPass, he said, is a “true single window” and an ecosystem to promote investments. He said that this has helped in attracting many companies and big investments while keeping away from bogus MoUs.
An official note on the inauguration of the Medha plant states that as part of the Andhra Pradesh Reorganization Act 2014, Telangana was promised a rail coach factory within six months of state formation, but despite persistent appeals from the Center It has not become a reality yet. Medha Servo Drives, which had signed an MoU with the Telangana government in October 2017 for the factory, was allotted 100 acres of land by TSIIC. Industries Minister KT Rama Rao laid the foundation stone of the 33,000 sq ft plant in August 2020.
The plant, on which the proposed investment is ₹ 805 crore, currently employs 558 people directly, while indirectly benefiting an additional 500 people. Around 1,000 people are likely to get employment opportunities in the near future. Medha has formed a joint venture with Swiss railway rolling stock manufacturer Stadler Rail and the joint venture will use the factory to cater to the market in India and export customers in the Asia Pacific region.
Established in 1984 and supplying various products to Railways since 1990, Medha is focused on design, development, manufacture, supply and service of complex electrical and electronic railway products. TSIIC has also allotted Medha 25 acres of land in E-City to manufacture solar PV inverters, a project on which the company will invest ₹80 crore in two phases and create jobs for 210 people.