Saturday 4 October 2008

Tatas pull out of Singur; to look at Nano relocation

'Extremely painful’: Mr Ratan Tata, Chairman of the Tata Group, addressing a press conference after meeting the Chief Minister of West Bengal, Mr Buddhadeb Bhattacharjee, in Kolkata on Friday. —

Tata Motors on Friday took the “extremely painful” decision to pull its Nano project out of Singur in West Bengal. The company’s decision was prompted by the “heightened level of agitation and hostility by the Opposition parties led by Ms Mamata Banerjee.”

Addressing newspersons after a meeting with the West Bengal Chief Minister, Mr Buddhadeb Bhattacharjee, the Chairman of the Tata Group, Mr Ratan Tata, said there had been considerable agitation at the project site since end-August. The company’s staff, vendors and contractors had been being intimidated and assaulted.

“Through the last two years, we have faced enormous disruptions, intimidations and there have been instances of assault. The safety of our contractors, vendors and workers is my responsibility,” Mr Tata said.

“You cannot run a plant with police protection, you cannot run a plant when bombs are being thrown, you cannot run a plant when workers are being intimidated,” he said, adding that the company was forced to take a decision to move the project out of West Bengal in the absence of a congenial environment in the State.

“I am extremely pained. The decision has shattered many dreams that we had. But we are doing what we are doing because we think that it right,” he said. Asked if he would reconsider his decision if Ms Banerjee withdrew her agitation forthwith, he said: “It is not good for someone to vacillate back and forth.”

Relocation


Mr Tata declined to divulge where the Nano project — along with the ancillary companies — would be relocated. He only said there were offers from 3-4 State Governments and the company would soon take a call on relocating the Nano project as the company had a deadline to meet and keep promises made to the public. The company would accommodate those people who had been provided skills training here in the relocated Nano plant.

Asked if competitors were behind those opposing the Nano project, Mr Tata said that, given the scale of the agitation, “it makes me wonder where the logistics and arrangements have come from.”

Mr Tata reiterated time and again his faith on the State Government’s policies to facilitate industrialisation and said West Bengal was a “terrific State” and had the potential and people to develop and prosper. “West Bengal needs investments, infrastructure and jobs for its people.” Agitations, fasts and rallies were not congenial to investments, he added.

The State Government said the main Opposition party had played a destructive role in pursuit of its own political interests.

Ms Mamata Banerjee dubbed the Tatas’ decision as a “political game plan” of the State Government and the Tatas. She demanded that the land acquired for the project should now be returned to the farmers.


Source: Hindu Business Line

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