|  |  |  |  |  |  | 

Business Exclusive Headlines India National News

How Andhra CM got Hero Motor project?

Hyderabad,Sep 19 (): Andhra CM Naidu played the cards close to his chest and finally bagged the Hero Motor plant deal in face of TS and Karnataka being in the fray.

The Rs 2200 crore plant that would give employment to 5000 workers is coming up at SriCity. This announcement was made only after the Andhra ministry signed the agreement with Hero Motor company. Andhra CM had learnt the lesson that by bragging about projects that were headed to his State would only lead to his rival KCR, the Telangana CM wooing it away.

In many of the projects that Andhra CM listed out as those who were in talks with him, was Hero Motor plant. KCR deputed a senior official to meet Hero Motor’s owner in Delhi with more incentives than offered by Andhra.

Andhra saw Hero officials camping in Hyderabad to meet TS CM and then they were visiting possible locations to set up the plant. After that they were in Dharwad of Karnataka to survey the land.

Industry sources said that the rivalry between Andhra and Karnataka had given Andhra a major advantage in getting the auto major to start the first plant in South India.

Andhra CM changed his tactic and sent a senior-most IAS officer to Delhi to meet Pawan Munjal, owner of the company. The IAS officer told the company that Central government package for industrialization of Andhra included a waiver of 12 % excise duty and a ten-year tax holiday. This plus free land in Sri City the hub of many MNC s clinched the deal.

Andhra CM also learnt that there were many leaks in his office and his ministers went to town with the proposal as soon it was discussed in the cabinet. He sat with two trusted IAS officers in his house after office hours and prepared the file for approval by Industry minister. The file was sent for approval and after getting the signature was passed on to the cabinet.

Business rivalry between two states took a turn with one section of media reporting that Hyderabad Metro Rail project was stuck as L&T had backed off due to delay of work in two corridors due to which it was losing Rs 2 crore a day. KTR, the IT minister said that there was no such move and this news was to malign KCR.