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[August 2007]

Tata Steel Committed to Titanium Dioxide Project in Tuticorin and Tirunelveli


Tata Steel has said that it is all set to take the titanium dioxide project forward and will do everything necessary to take the people along. The company said: “A small section of the people who are opposing the project due to lack of clarity and misplaced fears need to be addressed and taken along. The company is confident that with the help of the State government, it can address all these issues and work together with the people of Tamil Nadu to convert the districts of Tuticorin and Tirunelveli in to an industrial destination.

"Tata Steel had a choice amongst Tamil Nadu, Andhra Pradesh and Orissa to set up this Titanium-di-oxide plant and the company made a conscious decision to come to Tamil Nadu to set it up just as it chose Jamshedpur over a hundred years ago or Bastar in Chattisgarh a few years ago. Jamshedpur is today a model city, and its growth is largely a result of its association with the Tatas. Tata Steel is determined to transform the backward barren districts of Tuticorin and Tirunelveli into another model city, according to Mr. B. Muthuraman, Managing Director, Tata Steel. This will be possible only if the titanium di-oxide project comes up in Tamil Nadu."

The Tata Group is no stranger to Tamil Nadu; it employs 35,000 people making the group the single largest employer in the state. Tata Steel is confident that this project will enhance the livelihood and income generation capacity of the population in these affected districts and improve the quality of their lives. Over 1,000 people will be directly employed in the factory. "These people," said the company, "will be selected from those landowners who have parted with their land and have undergone an extensive training program at the training academy that would be set up by Tata Steel. The company will train these youngsters at its own cost and make them employable by the time the plant comes up. Apart from this, over 3,000 people will be indirectly employed. Tata Steel will also provide various livelihood programs to enhance the lives of the people. Every land owner will be enrolled in the Tata Kudumbam (Tata Family), and the company will monitor the income levels of every single family and strive to improve the quality of their lives. Tata Steel is also planning to engage people in social development activities." Mr Muthuraman further added that he is prepared to take some of the people to places like Jamshedpur and Orissa, to show them what Tata Steel has done for the people.

The Government of Tamil Nadu signed a Memorandum of Understanding (MoU) with Tata Steel on 28 June 2007 for Tata Steel's Titanium Oxide (TiO2) Project in the Tuticorin District of Tamil Nadu.

Tata Steel's TiO2 Project is based on the Mineral Sands Deposit in Tuticorin District. The project envisages mining and mineral separation, followed by value addition to Synthetic Rutile and TiO2 pigment. The project area falls in the rain shadow region, with negligible ground water potential and unavailability of river water; hence a seawater desalination plant coupled with a power plant is being constructed as an integral part of the project.

Tata Steel conducted a feasibility study with the help of an international consortium consisting of Outokumpu (USA), PAH (USA) and Larsen & Toubro Ltd and with assistance from TZMI, Australia and M N Dastur Co Ltd.

The TiO2 Project by itself can provide direct employment for about 1,000 people and indirect employment for about 3,000 people. This project, says the company, will have the potential to generate employment for about 10,000 local people, if agro related activities are taken up in the reclaimed land.

www.tatasteel.com



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