ITC, HUL, Sterlite plans in limbo

The expansion plans of heavyweights like ITC, HUL, Sterlite, Hind Zinc and other top companies, which have set up new units in Uttarakhand, are being delayed as the state government has been unable to finalise land allotment.

State Infrastructure and Industrial Development Corporation of Uttarakhand Ltd (Sidcul), a state government enterprise, received nearly 105 proposals for different industrial areas of the state in the wake of the new land rates declared in July. An investment of Rs 1,500 to Rs 2,000 crore is estimated to be required for setting up the new units or for expansion.

Meanwhile, a heavy rush is being witnessed at the integrated Haridwar industrial estate where nearly 80 industries are seeking land either for setting up new units or for expansion.

Leading the pack, ITC, HUL, Hind Zinc and Sterlite are seeking nearly 10 to 20 acres of land for the expansion purposes. All these top companies are ready to invest between Rs 100 crore and Rs 500 crore each at Haridwar where only 80 acres of land is left with Sidcul, which has developed the industrial estate.

With the government trying to expedite the matter related to land allotment on the basis of new rates, these industries are competing with each other to get the lion’s share. As the competition gets tough, the government has not been able to decide any criterion for the land allotment.

Already, Chief Minister B C Khanduri has made it clear that industries providing maximum employment and revenue to the hill state would be given preference in the allotment of industrial plots and that the new allotments would be done on the basis of case-by-case study of each proposal.

For this purpose, the government set up a high-powered committed headed by the chief minister to maintain transparency while allotting the land. But so far, the committee has not taken any decision despite a couple of meetings.

The government has also recently told the industries seeking land to bring down their demand so that maximum proposals can be accommodated.

However, it is not yet known as to how many industries have responded to the government in this regard. Ends