Paradip timber project to take Ministry of Commerce route.

The Ministry of Environment, Forest and Climate Change (MoEF&CC) has advised the State Government to take up the proposed imported timber processing zone at Paradip with the Ministry of Commerce and Industries.

Responding to a request of the State Government for approval with necessary Central guidelines for setting up of an imported timber processing zone (ITPZ) at the port town, Director General of Forest and MoEF&CC Special Secretary SS Negi said the proposal falls under the purview of the Commerce Ministry.

Negi, however, said the State Government proposal has been examined in the Ministry in consultation with the Indian Plywood Industries Research and Training Institute (IPIRTI), Bangalore.

'IPIRTI, an autonomous organisation of MoEF&CC, may cooperate in any such decision taken by the department concerned of the Government of India,' Negi assured in a reply to MSME Principal Secretary Gagan Dhal recently.Though the State Government mooted the idea to have an imported timber processing zone at Paradip in 2013, the project is yet to take shape.

Meanwhile, steps have been taken to acquire land for the project and the State Government has initiated process for inviting expression of interest from potential investors having expertise in wood-based industries for establishment of the ITPZ.

Besides, the State Government has roped in Paradip Port Trust (PPT) for import of logistics and notification of local level committee for issue of licences to manufacturers.

Dhal, in a letter to Negi, said the State Government is unable to proceed further in the matter in absence of mandated Central guidelines. The PPT has assured the State Government to provide 87 acre of land in the first phase for establishment of the proposed wood-based industries cluster near the port.

The Directorate of Industries has been asked to prepare a detailed project report (DPR) keeping in view the availability of land and clearance from Ministry of Environment and Forests (MoEF).

Leading international brands like DomoGeo of the US and Lifespace of Australia and domestic major like Century Ply and other companies having export and import business of foreign timbers have reportedly evinced interest to set up units, official sources said. The State Government will seek financial assistance from the Centre under Cluster Development Programme and Assistance to States for Development of Export Infrastructure and Allied Activities (ASIDE), the sources maintained.

Meanwhile, a high level team from the State has visited Kandla processing zone in Gujarat and the Imported Timber Processing Association has shown keen interest for setting up production unit at Paradip.

THE NEW INDIAN EXPRESS