NICE land row chokes machine tool project

NICE land row chokes machine tool project
The Times of India

Bangalore: The first project within the BMIC ambit may already be on its way out. After the last few days’ events, the Indian Machine Tool Manufacturers’ Association (IMTMA) is planning to leave Bangalore. IMTMA has told government officials that any talk of swapping the already allotted land along Tumkur Road for an alternative one near Bidadi (on Mysore Road) is unacceptable to it, sources said.

Apparently, Haryana government is keen to have the IMTMA project and has earmarked land near Manesar. The controversy has erupted over a 38-acre land near Madavara along Tumkur Road allotted to IMTMA by NICE (Nandi Infrastructure Corridor Enterprises) for building an integrated training and exposition centre for the machine tool industry. The project cost is estimated at Rs 120 crore, of which Rs 20 crore will go into developing roads and drainage in Peenya Industrial Area.

IMTMA project proposal:

India’s largest facility for training manpower and conduct international expositions. Bangalore was chosen because the city accounts for 60% of the machine tools industry output annually.

At stake:

IMTMA has badly missed its deadline to be up and running. There is not even a single structure in place. It has lost businesses already and is moving exhibitions, supposed to be held here, to Mumbai and Goa. There is a question mark over 2006 IMTEX, which is to be hosted in the new facility. IMTEX is India’s answer to Europe’s EMO (European machine Tool Show), Japan’s JIMTOF (Japanese Machine Tools Fair) and US’ IMTS (International Machine Tools Show). IMTEX attracts global visitors.

The record so far:

Conceptualised the project in 2002. Got the state government nod in 2003. Got land in 2005 with complete paper work.

Other big loser:

Peenya Industrial Area would have got a windfall of Rs 20 crore from IMTMA, part of a government of India grant, to develop its road network and storm water drainages. Also on the anvil was a smaller tool room for SSIs there and a hostel for handicapped women workers in the area.

Like all infrastructure projects, IMTMA’s ambitious plans are also hit by a tsunami of myths. Apparently, many believe that a private entity is building a kalyana mantap in the area. There is also allegations that the land has been sold to IMTMA at a cost much higher than what it was taken from farmers. According to documents available, IMTMA has paid Rs 10 lakh per acre for its 30 acre plot (eight acres is yet to be acquired) which is said to be same as what NICE has paid the land owners in the area.

Karnataka has seen some high-profile project pull-outs in the past but none so far from a not-for-profit trade association.