Karnataka now battles migration of industries
According to reports, many managements in the Belgavi South assembly constituency are thinking to shift their units.
Hyderabad: At the recently conducted Global Investors Meet in Bengaluru, Karnataka Chief Minister Basavaraj Bommai said commitments for investments worth Rs.9.82 lakh crore were made during the event.
However, the ground reality shows a different picture altogether, especially when the industrial units in Belgavi are considered.
According to reports, many managements in the Belgavi South assembly constituency are thinking to shift their units, citing different reasons, ranging from irregular power supply and insufficient water to poor road infrastructure and inordinate delay in administrative procedures by the BJP-led State government.
About 1,500 to 1,800 weaving units, both power and handloom, had already relocated to Shinnoli in Maharashtra, which is just 13 kilometres from Belgavi after the Maharashtra government extended favourable power tariffs, bank loans and interest rates, a report said quoting Parshuram Dage, former president of the Uttar Karnataka Nekarara Vedike (North Karnataka Weavers Forum).
Media reports also quoted Sachin Sabnis, president of the State unit of Laghu Udyog Bharati (small industries), saying that lack of good roads, electricity and water was delaying procurement of material and goods supply.
At a recent meeting, even the Belgaum Chamber of Commerce and Industries listed out the problems being faced by industrial units and said many managements were planning to migrate to other places like Goa. Interestingly, Belgavi South BJP MLA Abhay Patil was also invited for the meeting.
On the contrary, in Telangana, corporates are hailing the State’s industry-friendly policies, besides expressing their interests in increasing their investments. For instance, the Kerala-based Kitex Group is soon starting production at its plant in the Kakatiya Textile Park, Warangal in a record time of 15 months after announcing the decision.
“We have invested Rs.3,000 crore in Telangana. In February, our unit in Warangal will start production. Our next factory is coming up in Hyderabad where the Government has allotted us 250 acres,” Kitex Group Managing Director Sabu Jacob was quoted saying in an interview.
In the 2022-23 financial year, approvals were accorded for 2,156 units under the TS-iPASS with an investment to the tune of Rs.17,300 crore and employments to over 56,000 persons. These are apart from other major investment announcements from big players like Amazon, Amara Raja Batteries and others in the last few days.
