Tyre manufacturer CEAT Ltd signed a Memorandum of Understanding (MoU) with the Tamil Nadu government for setting up its manufacturing unit near here at an outlay of Rs 4,000 crore.
At an event held at the Secretariat Industries Department, Additional Chief Secretary K Gnanadesikan exchanged documents with CEAT Ltd, Managing Director and CEO, Anant Goenka in the presence of Chief Minister K Palaniswami.
According to the MoU, CEAT Ltd would produce tyres and tyre related products at the facility to come up at Madhuramangalam village at an investment of Rs 4,000 crore spread over 10 years.
The facility would create about 1,000 jobs once it becomes operational.
Industry sources had recently said that with the setting up of a manufacturing facility, indirect job creation in the area will be 3,000 apart from the 1,000 direct jobs.
The signing of MoU comes in the backdrop of the State cabinet giving its approval for establishing the unit.
According to the policy note tabled in the State assembly recently, the state government handled 19 major investment proposals totalling Rs 6,750 crore in 2017-18.
Out of this, Rs 1,450 crore was realised through the MoU signed during the maiden Global Investors Meet which was formally inaugurated by the late AIADMK Supremo and Chief Minister J Jayalalithaa in September 2015.