labels: Economy - general, Cars
States line up for Tata Nano project as Mamata plans siege at Singur news
23 August 2008

Ratan TataMumbai: Offers for locating the Tata Motor's `Nano' car project are pouring in from states such as Maharashtra, Punjab and Orissa even as Tata Group chairman Ratan Tata yesterday threatened to pull out of West Bengal if violence continued to disrupt operations of the small car project in Singur there. (See: Ratan Tata threatens pull-out from Singur)

The offers followed a hardening of the stance by agitators led by Trinamul Congress chief Mamata Banerjee who announced plans for a siege on the area, a day after Ratan Tata threatened to quit West Bengal following violence at the project site.

Ratan Tata threatened to shut the Nano car project in Singur if violence continued. He also refused to give into Trinamool Congress' demand for shifting out ancillary units away from the factory site.

Maharashtra and Punjab offered land for setting up plant for manufacturing Nano, the world's cheapest small car, even as Orissa suggested it can be an alternate site if Tatas opted to shift out of West Bengal.

Maharashtra chief minister Vilasrao Deshmukh assured Tata Motors all necessary land and other facilities and invited the company to set up project in the state, while Punjab offered 1,000 acres of land for the project.

Orissa, where group company Tata Steel has been facing violent resistance similar to that in West Bengal, also said it welcomed industrial projects as they created new jobs.

Meanwhile, some farmers in Singur are reported to have voiced concern over Tata planning to pull out of the area. Farmers do not want Tata Motors to leave as they believe industrialisation would improve their lot.

Marginal land owners who have refused to accept money for their land are also rooting for the project, reports say. It is not just those in Singur who suffer, but it is a larger loss for the state, they point out.

Trinamool Congress dominated Zilla Parishad, however, say the project should not come up on fertile land. The Trinamool-backed Krishi Jami Raksha Committee has planned an indefinite dharna outside the Tata Motors factory in Singur beginning Sunday.

The CPI-M will also be holding parallel street corner meetings in nearby Dankuni and Singur making a perfect setting for another political showdown between the Trinamool Congress and the Left Front government.

The BJP and the Congress also blame the Left front government for the mess which would now force Tatas out of the state.

The Nano project also involves 56 supplier companies of whom about 20 have been allotted land at the Singur suppliers' park and have started construction of plants.

These include some Tata group joint ventures such as Tata Ryerson, Tata Johnson, Tata Auto Plastic and others like JBM, Caparo, Rasandik, Lumax and Sona Koyo Steering.

All of them will have to move out if Tata Motors ops to shift base out of West Bengal.


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States line up for Tata Nano project as Mamata plans siege at Singur