The Federation of Indian Export Organisations (FIEO) has roped in KPMG Peat Marwick to rework bids for the proposed permanent exhibition centre in the city.
The FIEO has been commissioned with the task by the Tamil Nadu Corporation for Industrial Infrastructure Development following its decision to treat as null and void the earlier bidding process which had evoked a poor response.
Tender documents inviting bids for the complex have generated a very poor response and bidders were keen only on the hotel aspect of the project, said a top source while talking to Business Standard. TACID, the government agency involved in promoting the complex has, thus, in negation of the earlier bidding process, commissioned FIEO to rework the bids.
All bids received so far have been rejected and international consultants have been brought in to ensure that the rebidding evokes a good response from genuine exhibitors with adequate international experience, the source said.
At a time when the government is pulling out of even the core sector, being a co-promoter of a hotel project is not called for, an official said. The proposed five star hotel within the complex is only a facilitating feature of the project.
The proposed permanent exhibition centre has had more than its fair share of hiccups. Originally slated to be put up by the India Trade Promotion Organisation, the project was taken over by FIEO as the exporting community was unhappy with its slow progress.
Even as the FIEO took over and brought in first the Hong Kong Trade Fair Authority and later P&O Lines as co-promoter, the government in Tamil Nadu changed and the DMK administration decided to get involved in the project through TACID. Delays in the execution of the project have dealt a big blow to leather exporters. A leading exporter said the annual international leather fair has been hit for want of space and there is no room for further expansion now. in the current site Rajaji Hall.
However, as this the only fair of international standards held regularly in the city, the promoters of the exhibition complex are keen to rope in a foreign equity partner who would not only chip in with equity, but also have the capability to bring in more fairs through the year.