How Modi Govt Redirect Investments from Karnataka, Tamil Nadu, Telangana and Maharashtra to Gujarat?

SIBY JEYYA
In 2022, a US semiconductor corporation expressed interest in making a significant financial investment in Chennai, the capital of tamil Nadu. Officials from the firm met with the Commerce minister in New delhi to discuss their plans, and as they left the meeting, they were met with a surprise. Before they could complete their investment in Chennai, a chopper was scheduled to take them to Gujarat. A source close to a tamil Nadu politician told india Herald, "They wanted to waste no time to convince them to shift their project to prime minister Narendra Modi's home state, Gujarat."
 

The Modi government's brash strategies for rerouting investments from other states to gujarat include this "helicopter diplomacy," which is reminiscent of a masala film. Political leaders have frequently expressed alarm about this, especially in places where the opposition is in power. tamil Nadu chief minister MK stalin said that a Rs 6,000 crore investment meant for his state was forced to relocate to gujarat ahead of the 2024 lok sabha elections.

Karnataka's IT minister Priyank Kharge asserted that the Prime Minister's office pressured firms to reroute their investments, while former telangana IT minister KTR accused the Union government of "arm-twisting" international corporations into moving to Gujarat.
 
Maha Vikas Aghadi (MVA) leaders have stepped up their criticism of the BJP-led Union government ahead of the maharashtra Assembly elections, alleging that it has purposefully steered important projects, like the recently opened Tata-Airbus facility in Vadodara, away from Maharashtra.
 

Do these accusations have merit? And what is the procedure if there is? In order to learn more, india Herald spoke extensively with politicians, bureaucrats, and business representatives from four states: maharashtra, tamil Nadu, telangana, and Karnataka. They also spoke with representatives of the Union government and Gujarat.
 

We found four tactics that are commonly used: the Union government's large capital subsidies; promises to lower import taxes; guarantees of government manufacturing orders; and the Union government representatives' vigorous marketing of Dholera and gift City as investment destinations. There are also several examples of the Union government arbitrarily rejecting the proposals of other states in favor of awarding gujarat large-scale state-run projects.
 
Since taking office, narendra modi has been under intense criticism for what many see to be an unfair favor for gujarat, his home state. gujarat appears to be frequently in the limelight while other states feel left out due to the deliberate transfer of high-profile events like India's premier military show, DefExpo.

 
 

 
 


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