CHENNAI: Chief Minister M K Stalin on Thursday rebutted critics who questioned Tamil Nadu’s investment pipeline, stating that nearly three-quarters of the investment agreements signed since 2021 had progressed to the execution stage.
Speaking at the state’s first Conversion Conclave 2026 in Chennai ahead of the elections, Stalin highlighted the government’s achievements, stating that Tamil Nadu had achieved a 73.53% conversion rate of memoranda of understanding (MoUs) signed over the past five years — transforming commitments into factories, jobs, and production.
“This data is for all those who have been asking questions about the conversion of MoUs,” Stalin said, as Industries Minister T R B Rajaa presented a detailed scorecard of the state’s investment performance since the DMK returned to power in 2021, at the tail end of the Covid-19 pandemic.
According to official data, Tamil Nadu signed 1,179 MoUs between 2021 and 2026, representing a total committed investment of Rs 12.37 lakh crore and projected employment for 36.52 lakh people. Of these, 867 projects are in advanced stages of implementation, with more than a third already operational.
Stalin said the conclave was intended to demonstrate that the state’s industrial strategy does not end with investor summits or headline-grabbing announcements. “Our success does not stop with signing MoUs. We follow through until factories are inaugurated and offer letters reach our youth,” he said.
Unlike conventional investor meets, he added, the Conversion Conclave focused on outcomes rather than promises. “Here, partnerships have evolved into long-term relationships, translating directly into public welfare,” Stalin said.
A key reason for the high conversion rate, the Chief Minister noted, was a system of close monitoring. Each MoU is tracked through a digital dashboard that records land acquisition, approvals, timelines, construction milestones, employment generation — particularly for women — and the commencement of production.
“The dashboard remains open until every stage is completed,” Stalin said, adding that delays are escalated to the Chief Secretary, with officials from all departments required to collectively resolve issues.
This approach, he said, has enabled large projects to move swiftly from agreement to production. The Phoenix–Kothari footwear project in Perambalur, for instance, was completed within 12 months of the foundation stone being laid. Vietnamese electric vehicle maker VinFast signed its MoU in January 2024 and began operations by August 2025, while Tata Jaguar Land Rover rolled out its first vehicle this week after beginning work in September 2024.
Observers often ask how Tamil Nadu manages such timelines, Stalin said. “The answer is simple: a single-window system and fast clearances.”
Industries Minister Rajaa said the investment push had translated into above-average economic performance. Tamil Nadu’s gross state domestic product (GSDP) grew by 11.19% in FY25, he said, while manufacturing growth stood at 14.74% last year, compared with India’s 4.5%.
Electronics exports from the state have grown by 36% over five years, with Tamil Nadu now accounting for 41% of India’s electronics exports. Nearly 60% of the investments approved under the Centre’s electronics components manufacturing scheme have flowed into the state, Rajaa said.
Overall exports doubled to $52.07 billion in a year, while per capita income rose by 36% over four years, he added.
Rajaa said the state had organised 18 investment conclaves in India and abroad — including in Chennai, Coimbatore, Thoothukudi, Dubai, and the United States — resulting in 1,130 MoUs worth Rs 10.43 lakh crore and projected employment for 33.3 lakh people.
Of the MoUs signed during the Chief Minister’s overseas visits, 69.56% have moved into execution, with more than a quarter already operational, he said.
Both Stalin and Rajaa stressed that the government’s focus was on employment generation and regional distribution, not merely investment value. Of the 36.52 lakh jobs linked to MoUs, EPFO data shows 29.63 lakh new payroll additions since 2021, which the state said corroborates its employment claims.
SIPCOT, the state’s industrial development agency, has acquired 55,278 acres of land over the past five years, with industrial parks now under development in 35 of Tamil Nadu’s 38 districts. Between 2021 and 2026 alone, 30 new SIPCOT industrial parks were created, compared with 24 over the previous five decades.
The state is also expanding IT and services infrastructure, with seven new TIDEL and mini-TIDEL parks inaugurated in the past five years and 14 more under development, alongside tourism investment parks in Kanyakumari, Mayiladuthurai, and the Nilgiris.
Tamil Nadu is positioning itself in emerging sectors such as semiconductors, artificial intelligence, and deep tech, with semiconductor equipment manufacturing parks set up in Sulur and Palladam. Other focus areas include footwear, shipbuilding, life sciences, aerospace and defence, and global capability centres.
During the event, the government signed a Rs 5,000-crore MoU with Bharat Biotech to set up a biosimilars manufacturing facility in Kancheepuram district, creating 5,000 jobs.
Another agreement was signed with Hyundai Motor India Foundation to establish a skill development centre to train 7,000 students in future-ready skills.
Stalin said industrial growth and social justice must advance together. “Only then can we achieve development across all districts,” he said, adding that “all indicators now point to Tamil Nadu as the first destination for investors.”