Asian Paper and Pulp Withdraws Biggest FDI in Andhra Pradesh

YSR-Congress-to-Contest-in-Telangana

Asian Paper and Pulp, a subsidiary of Sinarmas, is one of the largest industrial houses in Indonesia had signed an MOU with Andhra Pradesh Government last year. According to that, APP will invest Rs 24,000 crore ($3.5 billion) in its proposed pulp and paper manufacturing unit at Ravuru in Gudluru Mandal of Prakasam district.

It is supposed the single biggest FDI so far in the country. The project with a capacity of 5 million metric tonnes per annum will be the largest unit of APP at a single location. The unit was supposed to come up in 2,471 acres of land and generate 4,000 direct and 12,000 indirect jobs. But then, the project is now dropped.

As per a report in First Post, Asian Paper & Pulp has taken this decision mainly due to the new policies of the Jagan Reddy’s Government. This will come as a big blow to the new government as it is starting at empty coffers. Unless Jagan can generate revenues and mobilize resources, he will be under tremendous pressure to meet the increasing expenditure due to his election promises.

Suspecting all the projects signed during Chandrababu Naidu, the new Chief Minister is harming the investor sentiment. His measures to date have unnerved foreign investors and damaged the business environment of the state. Unless he does not do something now, it will make things increasingly difficult.

Follow @mirchi9 for more User Comments
Ram Gopal Varma RGV 12 o CLOCK Movie-Don't MissAdult to Horror, Maverick Director's New MuseRam Gopal Varma has become the spinning mill coming out with back-to-back films as if...Bhanumathi-&-Ramakrishna-AHA-ReviewDon't MissBhanumathi & Ramakrishna Review- Simple Yet BeautifulBOTTOM LINE Simple Yet Beautiful OUR RATING 2.75/5 Runtime: 93 mins What Is the Film...47 Days ZEE5 Telugu Movie ReviewDon't Miss47 Days Review - Tests your Patience LevelsBOTTOM LINE Tests your Patience Levels OUR RATING 1.25/5 Runtime 1hr 44mins What Is the...Vundavalli Aruna KumarDon't MissTime to Kill 'Undavalli' Factor?Veteran Political Leader, Vundavalli Aruna Kumar who never hesitates to proclaim himself as a well-wisher...Allu Arjun's Smuggling Spot ChosenDon't MissAllu Arjun's Smuggling Spot ChosenAllu Arjun's fans are eagerly awaiting to know how and where the makers of 'Pushpa'...
Mirchi9