Sumitomo expands ORIGINS Chennai industrial park by 57 hectares

Sumitomo Corporation (Head Office: Chiyoda-ku, Tokyo; Representative Director, President and Chief Executive Officer: Shingo Ueno), is pleased to announce the expansion of the second phase of the ORIGINS Chennai ("the Industrial Park"), which it operates in partnership with Mahindra World City Developers Ltd. (Head Office: Chennai, Tamil Nadu, India; Director & Chairperson: Amit Kumar Sinha; hereinafter "MWC"). This expansion will add approximately 57 hectares of development to the existing 124-hectare Phase I, with land sales set to commence in 2025.

The Industrial Park is located 37 km (about one hour by car) north of downtown Chennai, the capital of the southern Indian state of Tamil Nadu, along National Highway 16. With the support of both the Japanese and Indian governments, substations nearby and within the site, as well as access roads to national highways, have been developed, making this an industrial park with an environment in which tenant companies can do their business safely and stably.

Since the launch of Phase I in 2017, 15 companies (including 6 Japanese companies) have established operations in the park. Due to strong demand, the second phase will add a new 57-hectare development area with sales commencing in 2025. Over 20 companies have already expressed an interest in the expanded area, far exceeding the area of the expansion for sale, and we are considering further development of a similar size alongside this expansion. We aim to expand the development area to a total of approximately 250 hectares. At the contract signing ceremony for the Phase II expansion held on November 22nd, Mr. Amit, a member of the Mahindra Group's executive board and director & chairperson of MWC, said, "We have built an excellent partnership with Sumitomo Corporation, and we aim to continue enhancing this relationship while expanding this project further.”

According to the International Monetary Fund (IMF), India’s GDP growth rate for FY2024 is projected to be 7%. This trend is expected to continue through FY2025 and beyond, and India is set to remain one of the world’s most dynamic economies. With new companies continuing to enter the market against a backdrop of strong domestic demand fueled by population growth, new investments in manufacturing are expected to continue increasing.

Chennai, where the Industrial Park is located, has garnered attention as a key location for manufacturing and export hubs due to its proximity to international ports and connectivity with Southeast Asia. Recently, the area has seen an increase in investments from automobile parts manufacturers, air conditioning companies, as well as the semiconductor and electronics industries.

Sumitomo Corporation is also involved in the development, sales and operation of industrial parks in other countries, including Indonesia, the Philippines, Vietnam, Myanmar and Bangladesh. As of November 2024, Sumitomo Corporation operates nine industrial parks with 626 tenant companies and over 230,000 employees, covering a total development area of 2,876 hectares. By leveraging the expertise gained from these operations in other countries, Sumitomo Corporation will support tenant operations and attract more manufacturing investment to India. The company will also contribute to India’s industrialization and economic development through its diverse capabilities.

Note: The headline, insights, and image of this press release may have been refined by the Fibre2Fashion staff; the rest of the content remains unchanged.

ALCHEMPro News Desk (HU)