Andhra Pradesh

With 75% local, Jagan goes foreign

The Jaganmohan Reddy government is moving gears quickly. Literally and metaphorically.

Literally because the chief minister will preside over the launch of the new car from the Kia Motors stable on 8 August. This was the project in Anantapur district that Chandrababu Naidu had showcased as one of his major achievements. The BJP too had rightfully claimed credit because the Narendra Modi government had offered several incentives to set up a project of this kind in a backward area. 

Read : Who drove Kia Motors into Andhra Pradesh?

But this budget session, the YSRCP government claimed credit for the project, pointing to a letter written by Kia Motors President in which he recalled his promise to YS Rajasekhara Reddy in 2007 that he will set up a plant in Andhra Pradesh. Jagan’s presence at the Kia product wheel, the YSRCP would expect, would convey the necessary optics.

Metaphorically because within days of making available 75 per cent of jobs for the locals of Andhra Pradesh, Jagan is now set to woo foreign investors into his state. The conference with ambassadors, diplomats and consul generals of up to 40 countries has been fixed for 9 August in Amaravati.

Also Read : Andhra Pradesh Industry minister on Filter Kaapi

This is significant because Jagan will use the platform to allay fears that his government in the name of protection of jobs for locals, is compromising on quality of manpower. The CM is likely to convey to the diplomats that all they need to do is to tweak their HR policies and in return, Andhra Pradesh will provide them incentives to set up base. Jagan is aware that comparisons will be drawn with his predecessor who in his years as CM, was quite the toast of the industry. Some of his suited-booted admirers had even coined the phrase `CEO of Andhra Pradesh Inc.’ for Naidu. 

Read : 75 per cent quota for locals – Good or Bad?

While the red carpet will be laid out for the foreign investors, with the representatives of different countries urged to pitch Andhra Pradesh before their industrialists, the big concern will be the lack of adequate infrastructure. Amaravati which under Naidu was a work in progress, has come to a halt under Jagan.

Indications are that the YSRCP government would want IT companies to focus on Visakhapatnam as a hub while diverting other companies to Sri City SEZ in Chittoor district or in the vicinity of Kia Motors in the Rayalaseema region. Both Sri City and Anantapur have the advantage of proximity to Chennai and Bengaluru international airports and provide far better connectivity than Vijayawada (near Amaravati) and Visakhapatnam airports. 

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