Technopark to add 45,000 new Jobs by 2016

TechnoparkToday.com>> June 16, 2014: Riding on its phenomenal growth, Technopark, the first and the largest IT park in the country, has charted out an ambitious target of creating 45,000 new jobs during 2014-16 as part of its efforts to emerge as India’s IT powerhouse.

Technopark, which is poised to celebrate its Silver Jubilee next year, currently provides direct employment to 45,000 IT/ITeS professionals through its 330 IT companies.

With the completion of the current construction activities this year of TCS, Infosys, UST Global, Tata Elxsi, IBS and Technopark’s Phase III building, around 45,000 additional direct jobs will be created in Thiruvananthapuram, leading to a total of 90,000 direct jobs and 3,50,000 indirect jobs.

Technopark CEO Mr. K G Girish Babu said the capacity built during the last 24 years would be doubled during the next two years in terms of employment through companies located in the IT park.

Clocking an impressive growth during the FY 2013-14, Technopark’s export turnover could be around Rs. 5,000 crore as compared to Rs. 3,500 crore in 2012-13. It also added 1.1 million sq ft of built-up space during the period.

Under Phase I and II of Technopark, construction of buildings on a total area of 2.5 million sq ft is progressing, which will be completed within a year. The companies building their own campuses are Infosys, TCS, UST Global, Tata Elxsi and IBS.

Technopark Phase II is an 86-acre Special Economic Zone (SEZ) campus being jointly developed by Infosys and UST Global. When fully developed, it can accommodate 50,000 IT/ITeS professionals.

Infosys has already constructed two ultra-modern Software Development Blocks, which currently employ 3300 professionals. It plans to invest another Rs 800 crore in this campus over the next few years. The third building of 3.5 lakh sq ft, having 3,500 seats, has been completed. The fourth building, coming up on an area of 4.5 lakh sq ft, will accommodate another 4,500 IT professionals. The fifth building will also seat 4,500 people. In all, there will be around 16,000 direct jobs in the campus.

UST Global’s near-complete massive IT building can accommodate 8,500 IT professionals. The plan for the second building is also being finalised.

The SEZ being developed in Technopark Phase I by TCS will have a total of 1.12 million sq ft. The main four IT buildings will seat 2,200 professionals each. The first building will be ready by August this year, leading to 8,800 jobs by early 2016. Tata Elxsi and IBS together will add 2,000 new jobs by the next year-end. The expansion of other existing companies will create another 3,000 jobs.

“With the commissioning of the Twin Towers — Ganga and Yamuna – a capacity of 8,500 seats has been created in Phase III. This iconic twin tower, the most modern green building built by the state government, will also be filled by 2015. A total of 40 companies have been allotted space in the new Twin Tower. Another 18 companies are to commence their operations shortly,” Mr. Babu informed.

With a yearly rental income of Rs. 49 crores, the annual turnover of Technopark has been pegged at around Rs. 100 crores, including incomes from power, water and maintenance services, helping it to continue its profitable operation since 2001.

Technopark’s two massive expansion plans are Phase III (92 acres) and Technocity (451 acres), which were funded through bank loans. For Phase III, it took a bank loan of Rs. 21 crores for land acquisition, which was fully repaid with interest. It also took a loan of Rs. 207 crores for building this phase. The repayment, starting this month, will be met primarily out of the income generated from Phase III.

Further, Technopark had availed a loan of Rs. 321 crores for land acquisition for Technocity. Of this amount, it has repaid Rs. 360 crores (including interest). “The outstanding amount (Rs. 38 crores) will be paid this month itself. When the Technocity loan is closed within a month, the financial position will drastically improve,” Mr Babu said