Himachal Pradesh Chief Minister Virbhadra Singh Tuesday invited industrialists from Tamil Nadu to invest in his state and offered them attractive incentives.

Singh told representatives of more than 125 industrial houses that Himachal Pradesh offered great potential in hydropower, tourism, automobile components, food processing and IT.

Singh, who is on a week-long tour of the southern states, was speaking at a session organised by the Confederation of Indian Industry (CII), the Tamil Nadu government and the central commerce ministry.

He said Himachal Pradesh offered a pollution free environment and abundant and cheap power. The industries would be provided income tax holiday, excise duty concessions and investment subsidy on machinery.

"Himachal Pradesh offers tremendous opportunities for investment in IT and IT-enabled services, bio-technology, auto components sector and horticulture," Singh said.

The chief minister also announced the "Partnership HP" programme. Automobile giant Ford will partner with the state government to set up a Himalayan Ski Village at Rs.12 billion.

Singh said a biotechnology park is being set up at Solan at Rs.2 billion. An integrated tourism development project is being planned for Pong lake in Kangra district, Gobind Sagar lake in Bilaspur district and Chamera lake in Chamba district.

These projects will have a sanctuary, sport complex and resort.

A tunnel-cum-overbridge project is being undertaken to connect Kalka and Shimla at Rs.10 billion.

Singh said Himachal Pradesh had the capacity to generate 21,000 MW of hydropower. "It is low cost and environment friendly power. We have more tourists than residents and are putting the infrastructure in place," he said.

Singh is being accompanied on his tour by state Industries Minister Kuldeep Kumar, Tourism Minister G.S. Bali and senior officials.