But Tamil Nadu has a long way to go before it regains its top position at the national level
After a lull, during which Tamil Nadu seemed to have slipped on many fronts mainly due to political uncertainties, things are looking up in the State.
Industry leaders say that stability on the political front, with Chief Minister Edappadi K Palaniswami and Deputy Chief Minister O Panneerselvam working as a team, and the bureaucracy too pulling its weight, are helping pull back things in the State, once known for its industry- and investment-friendly approach.
There is, however, a long way to go before the State regains its position of pre-eminence in the country’s industrial map.
A lot more needs to be done, according to industrialists, to improve infrastructure, especially in Chennai.
They say the political leadership is prepared to listen to suggestions and that augurs well for the State’s development. Also, relations with the Centre have improved and that is bound to help Tamil Nadu get a lot of projects off the ground. Although Tamil Nadu was initially opposed to the concept of a Goods and Services Tax, it was among the early adopters of GST, thanks to which tax revenues are buoyant.
The single window system for industrial projects clearances is working smoothly and the Industries Department is making sure that problems are redressed at the earliest. Tamil Nadu has been a pioneer in adopting e-governance, and MSMEs have played a major role in the State’s economy.
Large manufacturing and engineering companies are major contributors to the economy and job creation, while private engineering colleges have ensured that there is a steady stream of educated, employable young graduates for various sectors.
Tamil Nadu’s strength has been its diversified industrial base — automobile manufacturing, auto components industry, light engineering and machine tools, textiles and textile machinery, hospitality, healthcare, wind power and information technology.
With proactive government support, things should look up once again for the State.