Karnataka to roll out red carpet to Coca Cola

Karnataka government plans to roll out the red carpet to Coca Cola, which had identified the Yadgir district in Hyderabad-Karnataka region for investment.

The investment was put on hold because of hurdles in land acquisition by the State government and a high court stay on land acquisition.

The company later sought alternative land in Mysore to set up a plant.

“Coca Cola had shown interest in investing in Yadgir. But due to court stay in land acquisition, it has identified a different location in Mysore,” said K Ratna Prabha, State Additional Chief Secretary, Commerce and Industry Department.

“The case is over now and we have asked them to revert to their original plan and go back to Yadgir. If they go to Yadgir, we can promote the place for attracting other investors,” she added.

To facilitate investments in the Hyderabad-Karnataka region, the State government has identified Yadgir for a 3,500-acre food and pharma Park.

The High Court had stayed the acquisition of 700 acres as the farmers wanted more compensation.

“We have got the stay vacated just a week ago. We will complete the process of payment of compensation to farmers and then the land will be ready for allotment to industries,” said Ratna Prabha.

By wooing Coco-Cola, the State government is planning to treat it as anchor investor in the district to attract more investments to the backward region.

Ratna Prabha, who was addressing a seminar on ‘Ease of doing business in Karnataka’ organised by the Bangalore Chamber of Industry Commerce (BCIC) said the New Industrial Policy 2014-2019 would be announced shortly.

The key highlight of policy document, which has been placed before the State Cabinet, is on promoting manufacturing sector since it generates more employment, taking industry/investment beyond Bangalore and simplifying procedures for entrepreneurs.

On whether the policy would also offer tax incentives, particularly in the backdrop of the creation of Telangana and Seemandhra wooing potential investors, she replied in the affirmative, adding that it, however, was not easy to match the sops offered by a new State.

Karnataka, Ratna Prabha explained, will build its case on the strengths, skilled manpower and favourable environment.