India: German auto firms mull Bengal set-up, call on minister

The Pioneer (Kolkata, India) - Raising hopes of newer investments after a long gap in a "negatively publicised" Bengal, a team of German automobile manufacturers met Bengal Industries Minister Partho Chatterjee and inquired about the prospects of investment in the State.

Though the talks were of preliminary nature, Chatterjee said the two sides had placed their respective views and would soon come up with proposals for investment in Bengal.

The Bengal Minister who held a lengthy meeting with the delegates of Bavarian auto group involved in the manufacturing of top automobile brands and had been partnering automobile production in many places in South India said, "We have exchanged our views and now both sides would hold discussions with their respective officials and then come out with proposals."

The Minister said he had invited the German group to invest in "Bengal which has an excellent opportunity and environment for investment and which is moving towards an economic prosperity under the leadership of Chief Minister Mamata Banerjee."

Sources said the German auto major which was planning more investments in various parts of the country wanted to know about the opportunities in Bengal was told by the Minister that they would have no problem in finding land for an auto hub in Bengal. "We have told them that the Government will help them in every possible way to set up an auto hub in Bengal," the Minister said, adding "there will be no problem in setting up a plant in the State" when asked as to how the Government would sort out problems arising out of its land policies.

The new Trinamool Government has decided not to acquire land for industries. Under the new scheme of things, the industries will be required to purchase land from the farmers directly.

With the Chief Minister coming to power on land issue, she cannot ignore the farmers' interest, but on the other side, she has to ensure investment in order to create employment and generate revenue for the cash-starved State.

The Bavarian deal if finally sealed could not only solve these two problems to a great extent but also erase the anti-industry image of the new Government, experts feel.