Karnataka halts land acquisition for aerospace projects, AP govt seizes opportunity
Amid farmer protests, Karnataka govt pauses land acquisition, prompting Andhra Pradesh to invite affected aerospace companies with attractive incentives and land
The Karnataka government has paused the acquisition of farmland near Devanahalli for aerospace projects following farmer protests and demands for appropriate compensation.
Chief Minister Siddaramaiah's administration announced this decision, emphasising a reconsideration of the land acquisition process in light of farmers' concerns.
This move has generated uncertainty among companies planning to invest in the aerospace sector in Karnataka.
AP govt seizes opportunity
In response, the Andhra Pradesh government has seized the opportunity to attract businesses interested in aerospace investments.
Nara Lokesh, the state's industry minister, publicly promoted Andhra Pradesh as a more favourable location for aerospace companies, highlighting their attractive policies and substantial incentives.
Also Read: Devanahalli land acquisition: Karnataka drops plan after 1,200-day farmer protest
He pointed out that Andhra Pradesh has over 8,000 acres of land available just outside Bengaluru, reinforcing their position as a viable alternative for aerospace firms.
Challenge for Karnataka
This development marks a competitive challenge for Karnataka, as Andhra Pradesh actively seeks to lure companies away with promises of better infrastructure and supportive government policies, signalling a significant shift in the regional investment landscape.
BJP MP Tejasvi Surya criticised the Karnataka government, saying they are missing an opportunity to strengthen the state’s aerospace sector.
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Surya pointed out to Nara Lokesh’s pitch to the aerospace industry to invest in Andhra Pradesh instead, and wrote in a post on X (which he seems to have now deleted) that “this is how business is attracted, industry is welcomed, and jobs are created”.
The BJP MP added that Siddaramaiah must show political will to establish the aerospace park in Bengaluru, “India’s aerospace capital, the city of HAL, NAL, DRDO, ISRO, and many private companies, including Airbus, Boeing, and several startups”.
(This article first appeared in The Federal Karnataka)