Date:23/08/2008 URL: http://www.thehindu.com/2008/08/23/stories/2008082358390100.htm

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Ratan Tata threatens to pull out of Singur

Indrani Dutta

Expresses concern over constant violence there

Photo: Arunangsu Roy Chowdhury

Tata Group Chairman Ratan Tata addressing a press conference in Kolkata on Friday. —

KOLKATA: Tata Group Chairman Ratan Tata on Friday threatened to move out of Singur, site of Tata Motors’ small car project, in West Bengal. But Chief Minister Buddhadeb Bhattacharjee offered to try and end opposition to the project through fresh dialogue.

“If there is a view that for various political reasons we should not be there or what we are trying to do should be altered, which cannot be … then we would necessarily face an issue, very reluctantly, where we need to move,” he told journalists after the annual general meeting of the Tata Tea Limited.

Mr. Tata said: “If anybody is under the impression that because we have made this large investment of about Rs. 1,500 crore, we will not move, then they are wrong. We would move whatever the cost, to protect our people. What has concerned us is the violence and the disruption that has led us to be concerned about the safety of our employees, our equipment and of the viability of the entire process.”

The great sense of tension amid the workers was not very conducive for work, he said. “Compound walls are being broken, materials stolen; you cannot open and operate a plant with police protection.”

Mr. Tata, however, said the company was in a position to roll out Nano in October or close to it.

Asked whether any deadline had been set for the proposed pullout, he said he did not have a plan that he was working to.

“Please understand that I am making a very genuine statement and I do not have a motive.”

Industrialisation cannot happen without considering the sensitivities of the rural community. Neither could they prosper without industrialisation. The Tatas had always been sensitive to the rural community and their investment in West Bengal did not start or end with an industrial project.

Mr. Tata said moving would be a “great loss to the company, its shareholders and West Bengal.” The Tata Motors and its vendors came to this part of the State despite grave apprehensions expressed by many. “We came at a time when there was very little investment coming to West Bengal and the Tata Motors decided to locate one of their prime and most unique factory in West Bengal. We wanted to showcase the new industrialisation of West Bengal.”

“We leased property, which was offered to us that had been acquired. And, as we were looking for a unique product with low cost, we wanted an integrated location as logistics and transportation are major components of cost for any project. We are trying to produce a car that has never been tried anywhere in the world at that kind of price.”

Mr. Tata said: “No. I am an optimist, I am an Indian first … but I have always had a very soft corner for West Bengal. But the last thing I want is a feeling that the Tatas are unwanted for whatever reason in West Bengal.”