Kitex group of companies has increased its investment in Telangana to Rs 2,400 crore, up from an initial investment of Rs 1,000 crore announced in July, the company’s managing director Sabu M Jacob announced on September 18.
The credit for Kitex group choosing Telangana for its investment programme “goes to one man – Minister K T Rama Rao”, Jacob said.
Rao, also known as KTR, heads the state Industries Ministry. Jacob said he was among the first political leaders to personally invite him for investment in Telangana, after the company decided to withdraw its Rs 3,500 crore investment programme in Kerala in July.
“I had (initially) committed Rs 1,000 crore investment and 4,000 jobs. Now, I have met more than his (KTR’s) expectation, and I announce that I have increased the investment from Rs 1,000 crore to Rs 2,400 crore along with employment for 22,000 people,” the Kitex MD said.
The amount was released by Jacob a day after the Memorandum of Understandings (MoUs) were signed with the Telangana government for two major investment projects. The Board of Kitex Garments had approved the increase in investment amount on September 13.
“The Telangana government has offered many subsidies for the Kitex group,” the company said in a press release.
Jacob had on July 12 said the Telangana state government has offered a wide range of incentives and facilities for his venture and has also assured that it would not trouble any industry with “inspections” and raids will be held only “after informing the industries well in advance.”
The Telangana government had also arranged a special flight to bring the Kitex delegation to the state in July. The Kitex team was taken to the textile park in Warangal in a chopper to have a look at the facilities there.
Jacob had also said that the Telangana state government has offered land, water, and electricity at cheaper rates for investors.
Notably, Kitex had blamed the alleged “harassment” by state officials in Kerala as the reason behind withdrawing its investment programme.”We pointed out the 11 raids that took place in 30 days (in Kerala),
Jacob had earlier said, after his initial talks with the Telangana government. “They (Telangana government) said no official will trouble any industry in the name of inspection,” he had said.
The Kitex group faced inspections in Kerala as the state government had been probing the complaints of four Congress MLAs. The Left-led regime, which denied the allegations of targeted harassment, said the inspections were a result of the various complaints before the National Human Rights Commission (NHRC), Kerala High Court, and other authorities against the company.
Source : Money Control
