Tata Technologies to invest Rs 2,000 crore to set up engineering centers for MSMEs

Tata Group-owned Tata Technologies today announced its plans to establish three Common Engineering Facilities Centres (CEFCs) in Karnataka to provide support to Micro, Small, and Medium Enterprises (MSMEs).

The proposed centres, requiring an investment of Rs 2,000 crore, were presented to Karnataka's Large and Medium Industries Minister, M B Patil, by representatives of Tata Technologies at a meeting held in Vidhana Soudha.

Notably, The state government will hold a 30% stake in the centres, while Tata Technologies will have a 70% stake, following a public-private partnership (PPP) model.

According to the Minister, this is the first proposal of its kind to establish CEFCs exclusively for MSMEs. Each centre is expected to cost approximately Rs 630 crore. The CEFCs will cater to the sectors of Advanced Manufacturing 4.0, Electric Vehicle Testing, and Aerospace & Defence.

According to the ministry, These facilities are anticipated to bring significant benefits to emerging MSMEs and startups operating in these industries. The Minister further stated that each CEFC would require approximately 5 acres of land and a decision regarding the provision of land will be made in the upcoming days.

Also Read:

• Healthtech startup Fold Health raises $6M led by Iron Pillar, others