Thursday, October 16, 2008

Government Policies, Support and Intervention vs. the Industrial Location.



The free publicity of the world’s cheapest car ‘Nano’, through protracted and intense agitation by the people of Singur-Nandigram and the TMC has infact brought a bad name to the West Bengal’s hope of rapid industrialisation and FDIs in near future. But, who is to blame for this bitter episode, the:
· poor agitating farmers, who have lost their land under compulsion, or,
· people, who had agreed to give up their land for the sake of industrial growth and rapid economic development of the state for which they didn’t get a proper rehabilitation and compensation package, or,
· TMC, who not only egged on the situation but also unsuccessfully attempted to score political gains out of that confrontation, or,
· ruling Left Front government herself…...?

Little out of the track, if, we consider the various geographical and non-geographical factors that affects the location of a firm or an industry in a region, GOVERNMENT POLICIES, SUPPORT AND INTERVENTION is a vital factor from the latter category. Considering rest of the factors to be favourable in the context of 'Nano' plant at Singur (West Bengal, India), On one hand, it was a gross failure on the part of the West Bengal government, which no doubt offered the best deal to attract the ‘Nano’ project into the state amidst tough competition but failed to retain it, as she:
· didn’t feel it necessary to take the local population into confidence. There was a strategic loophole in planning on the ‘trickle down effect’ of the benefits of such developmental work to the grassroots level.
· overlooked the genuine concerns of rehabilitation, compensation and forceful taking of some land.
· failed to address the fear psychosis among the masses on permanently losing their source of livelihood.

Overall, an environment of confrontation was started in the area. The opposition, on the other hand, acted in such an opportunist and immature way, as if, when they come to power they would sit indolently and do nothing towards industrialisation and urbanization of the state and consequently eradicate the problems of unemployment and poverty from among the masses.

Since the shocking but certain exit of ‘Nano’ plant form the state had been closely watched by the whole world, any further investment from the expected MNCs and corporate giants in the state seems bleak for some time in near future.


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