Efforts futile: Goa no home for big industry (ToI)

Efforts futile: Goa no home for big industry Bindiya Chari, TNN | Jul 10, 2013, 06.58 AM IST PANAJI: Has Goa missed the bus yet again to attract industries into the state? All its efforts have been non-starters so far in the absence of a clear cut industrial policy and a not so friendly atmosphere for the industry. When the government had invited industrialists last year to the state and made tall promises, there was some hope that finally Goa might turn around for the industry. But now, all that hope has receded. Those who evinced interest have gone away, and many of those who had already set up industry have shown disinterest to continue. Just see the performance. Not only has Goa failed to attract large scale new industries in 2012-13, not a single big industry set up shop in the state in the first quarter of the current fiscal. Neither did the department of industries, trade and commerce receive any fresh proposal from large industries during the period. The high powered coordination committee (HPCC) of the industries department, headed by chief minister Manohar Parrikar, cleared five expansion projects between April-June with a total investment of 129.33 crore. Their proposed investment is to the tune of Rs 425 crore but no new big project came up for approval. The HPCC was constituted to speedily clear large scale projects with an investment of 10 crore and above, cutting down red tape but hardly any new projects have come up before it for clearances. Disgusted Industry stakeholders, as well as government officials, blame the reluctance of industry in investing in Goa on a non-conducive atmosphere in terms of non-availability of space in the existing industrial estates, non-availability of adequate power for new industries and lack of a vibrant investment policy as reasons for big industries shying away from Goa. Not surprisingly, in 2012-13 Goa was able to attract just two new large scale projects with total investment of 68.46 crore. These are TCL packaging Ltd, at Kundaim industrial estate and Varun Beverages (International), in Usgao. Narayan Bandekar who took over recently as Goa Chamber of Commerce and Industry (GCCI) president says the non-availability of land for new industries is a big problem. "Where is the power? And where is the land for new industries?" Bandekar asked. He said he will discuss these issues with the chief minister later this week. This was echoed by industries department general manager Srinet Kotwale. "Nothing will change until land is made available to industries, and the power situation is changed," Kotwale told TOI. Kotwale has reason to believe this could alter. The investment policy in the making, he said, will change the investment climate of Goa. The government constituted task force to draft the investment policy has not yet finished with it, though the government had announced that it will be released by June. Kotwale also said the state will have an additional 500 mega watts of power once the coal block allotted to it in Raigarh district of Chattishgarh becomes operational. Former GCCI president Manguirish Pai Raikar said an environment has to be created to attract investment in Goa. He said land allotment has to be done transparently and more importantly, the government has to have an investment policy that will boost investor confidence. Times View The sluggishness of the government in finalizing the state's investment policy has left a bad taste among industrialists both in Goa and outside. The state has lost yet another opportunity to bring in investments and jobs to have its economy up and running for the long term. Such short sightedness does not augur well for the state from where most youth are moving away to other cities to gain higher education and employment. Mining and tourism alone will not help the people and they have their limitations as an industry. The state must encourage entrepreneurship to sustain itself for the years to come. The Congress government was booted out for its non-performance and the BJP government has only excuses to give so far.