Foreign trade team concerned over power shortage in Maharashtra

A high-level trade delegation from five countries has expressed serious concern over power shortage in Maharashtra.

Here on a two-day visit to explore trade opportunities, the delegation appreciated the infrastructure at the five-star Butibori industrial estate, but was apprehensive about the power situation.

The delegation included, consul general of Czech Republic Irena Kranicka, Indonesian consul Hari Suwasono, China's economic and commercial consul Zhu Darong, Polish consul Jerzy Midak, deputy consul general of Switzerland Joseph Koch and Trade Commissioner for Flanders (Belgium) Raj Khalid.

The trade commissioners displayed keen interest in power related issues in the state even as industrialists and MIDC executives maintained that the situation was not all that bad.

Part of the Trade Commissioners' Forum, Mumbai, the delegation members interacted with industrialists at KEC International where they expressed their apprehension over power availability in the state.

Mumbai-born Khalid put it succinctly when he said, "if I want to advise Belgian companies, I would like to know the power situation in the next four to five years."

Local industrialists said that Butibori received uninterrupted power through a 220 kv line from Khaparkheda power station. They said the state even allowed captive generation which was cheaper than buying power from an power utility.

Khalid, however, was not convinced and said that a manufacturer may not like to burden himself with the added job of producing electricity.

President of Trade Commissioners' Forum and trade commissioner of Switzerland Joseph Koch said that power cuts were due to the transmission and distribution (T&D) losses and theft.

Consul general of the Czech Republic Irena Kranicka said that while there was abundant power, the problem was about the stability of supply.

With reference to the upcoming Food Park at Butibori, Polish consul Jerzy Midak said that there cannot be power shortage in the food sector.

Chinese economic and commercial consul Zhu Darong was shocked when someone told him that the T&D losses in the state were 26 per cent and the national average was 40 per cent.

Joseph Koch later said that he was impressed by the city and the potential it held.

"Nagpur has an outstanding location. It is really in the heart of India. It has got a good infrastructure and the people are highly motivated," he said.

Overall, India is in more focus now than it was 10 years back, Koch said. Swiss companies have invested close to 100 million Swiss Francs in India so far, he disclosed.

The major products exported by Switzerland to India are machinery, pharmaceuticals and chemicals while imports from India are of garments, raw chemicals and raw pharmaceuticals.

Khalid found Maharashtra to have more advantages than Karnataka but said it lagged behind when it came to marketing itself. He said that most investors like Maharashtra over Karnataka but Maharashtra does not advertise itself the way Karnataka does, he said.

Maharashtra has several industrial centres. For a foreign manufacturer who is looking at exporting his products to other countries, the Mumbai-Pune-Nasik belt could be a suitable one because of proximity to the ports.

But for someone who wants to sell only in the Indian market, Nagpur would be the ideal location provided infrastructure needs such as power are met, he said.