Intellect to set up fab in Hyd

HYDERABAD: Seoul-based Intellect Inc. is considering a proposal to set up a fabrication unit in Hyderabad. The Korean delegation visited Hyderabad in the first week of September and discussed elaborately on the prospects of the "Mega Fab Project" here in Andhra Pradesh.

Disclosing the details, IT secretary to the government JC Mohanty said, "They met up with the chief minister and are considering the proposal. We are expecting a confirmatory note by December 2004. The government is willing to provide 50 acres of land for the proposed fab unit."

Talking about the investments that would go into the project, Mohanty said, "The project would be undertaken in two phases. Fab I will be set up costing around $600 million to $700 million. Fab II will incur an investment of $2 billion. Once finalized, Hyderabad can witness Fab I with in the next two years that is by the end of 2006."

Mohanty further added that the president of Intellect Inc has sent a mail stating that they are quite happy with the support extended by Andhra Pradesh government and Hyderabad was their original choice.

While this is the brighter side of the proposal, highly placed industrial sources said that the Korean delegation had put forth some demands like extending support from the MIT institute besides others. The government is still to decide on the project. Given the acceptance of these demands, Hyderabad will soon witness the emergence of the country's first ever fabrication unit that will trigger the growth of the economy in a large way, generate ample employment opportunities and thus make a beginning of the hardware manufacturing industry.