Like everything in life, there is some good news and the flip side of the news which people would consider disconcerting. Tyre major MRF had earlier decided to expand its operations in the State and has earmarked a budget of Rs 500 crore to invest in Goa. The plant will manufacture two-wheeler tyres.
Despite claims of new investors, essentially it is companies operating in the State that are increasing their presence. Cipla for example is expanding its pharma operations in the State. Sources have revealed that a beer major is expected to set up operations in the State. This is a collaboration between a Indian and a foreign company.
There are several eco-friendly projects in the tourism business though details were not revealed by the source. He said the government had signed contracts worth Rs 4000 crore though he could not confirm if these were confirmed investments or were statements of interest expressed by business groups in the State and from the rest of the country.
Chairman of Alcon Group, NSN Counto (Anil Counto) told Herald, “Today, Goa has to import everything and has no raw material of its own. Mining and tourism industry are at its lowest ebb. I seriously feel that the Goa government must wake up and start thinking about giving incentives to industrialists who are interested to work in and for Goa. If it doesn’t, the Goa’s industrial scenario will be in the dumps.”
Similarly, noted industrialist Haresh Melwani kept is simple by saying that “Goa’s industrial climate is at sub zero temperature. I wish to work here but I have my set-ups outside the State of Goa. I think, that should explain everything.”
Another major player in the State’s retail industry Kirit Maganlal the man who leads Magsons and one who was involved in the entire process that lead to the investment policy was less sanguine. He admitted that the mood was not happening. The ease of doing business he claimed had remained a buzzword. Investors, he said, had brighter opportunities in more progressive States like Punjab, Tamil Nadu and now Telangana. He was rather blunt when he said “To move ahead, we have to apply more grease to the wheels of investment and industry. As of now the grease is required to be used elsewhere.”
Asked about the several tourism-related projects that were awaiting clearance, he felt it was unfortunate because these projects involved complex land usage issues and stakeholder permissions. This usually resulted in excessive adventurism by some fringe lobbies who stymie the required growth. Goa, he said, was littered with incomplete projects, zero development and blocked investments. No one will be benefitted in such a scenario. The powers of the Investment Promotion Board had to be reinforced. The single window clearance system had to be implemented which was not happening now.
He said, “Talk to those whose projects have been cleared. Check out their status as of date. That will tell you the whole story. We have a wonderful Chief Minister who means good for his State. He has to get his Ministries to believe in and follow the growth agenda. Goa is unique in a number of ways. We should not allow the negativity to stand out as our hall mark”.
Managing Director of Kyndal Group Siddhartha Banerji who is into manufacturing of liqueurs in Goa, however has a completely different view and considers Goa as an investment friendly State, specially in the alcohol industry. “Goa has never marketed itself as investment destination which they have been doing for tourism. Goa has serious problem with availability of labour. However, the State can do good if it encourages process and value adding industries,” added Mr Banerji.
When Herald approached one of the members of Goa’s Investment Promotion Board (IPB), the Chairman of Power Engineering India Ltd, Atul Pai Kane believes that State’s target of achieving Rs 25,000 crore worth of investments and creation of 50,000 jobs by year ending 2018 will be met. “I am a member of the IPB and will do whatever is expected of us in assisting the growth of investments and sustainable job creation through clean industry in Goa,” added Mr Pai Kane.
