|Foundry industry in India
, as we know it now, started around 1940 in Howrah and then later on spread to other states such as, Punjab, Gujarat, Maharashtra and Tamilnadu. At present around 500 units exist in West Bengal with an installed capacity of 1 Million tonnes
. 95% of these units are concentrated in the district of Howrah forming an informal cluster.
The growth rate of industrial development in West Bengal is around 7% during the last decade. The WBIDC is the prime state level agency for promoting industrial investment and activities includes development of growth centers, specialized parks, special economic and export zones through creation of world class infrastructure, streamlining investment and boosting up the investment friendly environment. In addition to the conventional industrial set up of the state, major thrust areas are Iron and Steel industry, Information Technology, Electronics and Telecommunications etc.
The Iron and Steel industry in the state is experiencing a resurgence. During the last 13 years from 1991 to 2003, there was an investment of more than Rs. 7000 crore another Rs. 2100 crore is in the pipeline.Due to globalization, there is an upsurge in demand for quality castings. At the same time, competition in the world and domestic markets has increased. The existing foundries in its present form are currently not adequately equipped to manufacture quality castings at competitive prices and hence need thorough modernization.
Realizing the need for modernization, expansion and relocation of foundries at Howrah, the Government of West Bengal had suggested WBIDC and Indian Foundry Association to set up a Foundry Park near the vicinity of the existing Howrah foundry cluster. Once it was principally accepted by all concerned, GoWB formulated and forwarded the Project under Industrial Infrastructure Upgradation Scheme (IIUS), to the Department of Industrial Policy and Promotion (DIPP), Ministry of Commerce & Industry, GOI.