Industrial development at Oragadam
Oragadam which is situated at the suburban area of Chennai is globally known as an industrial hub. Industrialists from various countries come here to set up their business units that not only increase the per capita income of the region but also enhance employment. This is the sign of industrial development that the people of Oragadam spend their most of living hood depending on these.
Being the biggest automobile hub in the South Asia region, the locality has become the fastest growing area of Chennai and now evolving into a multi-faced industry zone. From IT to automobile there is said around 20000 set up of units and almost all are being active.
Most of the projects were launched in 2011 and within 5 years Oragadam belt has witnessed tremendous growth. The main reason for the industrial growth is that this outskirt area is well-connected with the outer world. The area is situated between Grand Southern Trunk Road (NH 45) and Grand Western Truck road (NH 4). Facility of the railway is also available here. Except these, there is no issue of flow of fund here. In this area, there are many Banks and huge investment that make it easy for every industrialist to invest here and set up a unit. In addition, the government of Tamil Nadu is building Oragadam industrial corridor road that will cost Rs. 300 crores and will pay a great contribution in developing the industrial zones.
The absorption rate here is 35 per cent whereas the capital price appreciation is known approx. 11 percent. On an average, the highest appreciation was during 2011, 31 percent, but there was a marginal increase in capital value in 2015. The projects vary here between 20 lakh and Rs. 36 lakh that particularly depend on the size, location, and unit type. The average capital value stands here is about 3500 per sq. ft. The market is classified into middle and lower mid-income segments. Between the times, the sick industries began to de-notify that led a temporary decline in the growth but soon, it come back on track.
The small town is carrying various automobiles industries and workshops. Here comes major investment from the foreign company. International automobile industry such as Renault-Nissan, Daimler, and Komatsu set up their car manufacturing plants in the area. In addition, there many Indian plants can be seen. Soon, Oragadam will convert into the largest automobile hub in the world.
IT industries like Nokia, Samsung, Flextronics, Dell, Motorola, Apollo Tyres, TVS Electronics, and DHL, have set up their respective plants stretching from Sriperumbudur to Oragadam. Due to the increasing number of IT sectors, there now being expected a thrust of growth in industrial activities at Oragadam and nearby areas.
Except this, several manufacturing giants JCBL Ltd, BPCL Delphi, TVs Diesel System Ltd, Essar Steel, Silicons India Pvt Ltd and GE Bayer can also be seen. It is said, DHL is also planning to open a first Free Trade Warehousing Zone at Oragadam.