Industry bodies upset over less priority to local investors by govt

Amaravati: State Industrial bodies are seemingly unhappy with the State government and APIIC for given less priority to local investors while it has been trying hard to woo foreign investors and attract investments to State, especially Amaravati.

The inordinate delay in making ready the Mallavalli industrial park, which has a potential of providing employment to around 10,000 people and for which major companies such as Ashok Leyland and National Highway Authority (NHAI) have been waiting for two years, is sending negative signals to local industrialists and Union government too.

The Centre is extending financial aid to a mega food park in the Mallavalli industrial park. In a video-conference conducted a few days ago, Secretary for Union Ministry for Food Processing Industries reportedly questioned the laxity of AP officials over the Centre’s project.

The State government has launched the Mallavalli industrial park in 1,360 acres. Several micro, small and medium industries are waiting to come to the industrial park.

Union government sanctioned a mega food park in 58 acres two years ago in the park. Some major industries - Ashok Leyland in 150 acres, National Highways Authority in 100 acres and Mohan Spintex in 30 acres- have come forward to set up their units in the park.

Though two years passed, the Andhra Pradesh Industrial Infrastructure Corporation (APIIC) utterly failed in creating basic infrastructure at the park. APIIC Chief General Manager (Projects) CHSS Prasad told The Hans India that internal road facility was provided for Mega Food Park only and the remaining facilities would be provided soon.

But, the deputy zonal manager of Krishna said the APIIC invited tenders to lay main road only across the 1,260 acres and the bids were not finalised yet. “We are preparing estimates for other roads in the park. Estimates have to be made to provide 33/11 KV power substation and I have no idea when it will be completed. Water has to be brought to the park from Nuzvid municipality. As per the GO, the State government has to take up the responsibility, but there is no clarity on it till now,” he said.

Against this situation, the APIIC put details about available plots in the park in its website 10 days ago, but only two investors applied for them. The irony is that the APIIC also mentioned that electric substation and water is not available and no layout approvals.

“The APIIC divided the land into small plots like a real estate layout instead of putting developed or undeveloped bulk land in website. So, investors hardly find suitable land in the park,” said an investor of ASSOCHAM.

Annoyed with the functioning style of APIIC, a senior bureaucrat said the Union government was enquiring them about the progress of mega food park works. “The APIIC did not involve food processing department and share any information about allotting plots or rates fixed for the plots,” he said.

Food Processing Society CEO Y S Prasad said industrialists have been in a hurry to start units as they had already lost some seasons. “It will take at least one-and-half years to start industries even if the APIIC allots plots to investors now,” he said.

Urging the State government to give equal priority to the local investors on par with foreign investors, ASSOCHAM co-chairman (AP State) Potluri Bhaskara Rao said, “We have been waiting to set up industries in Mallavalli Industrial Park.

But, no progress has been made there till now. How can the State government ignore such a major project, which has potential to create employment to around 10,000 people. While in capital city area the government is striving to attract foreign investors.” He further said,” Our repeated requests to APIIC yielded no results till now.”

By K Varaprasada Rao