Blame game on as govt’s MSME park project runs into land acquisition hurdle

The officials of the Andhra Pradesh Industrial Infrastructure Corporation (APIIC) and Industries departments have so far identified lands for setting up only 31 MSME parks across the State.

VIJAYAWADA: The plan of the State government to set up an MSME park each in 175 Assembly constituencies is yet to gain momentum. The officials of the Andhra Pradesh Industrial Infrastructure Corporation (APIIC) and Industries departments have so far identified lands for setting up only 31 MSME parks across the State. Initially, the government has estimated that each MSME park will attract investments to the tune of Rs 250 crore and generate 1,500 jobs.

While the land acquisition stood as the major challenge, delay in giving administrative sanction to release the required funds for the infrastructure development in the lands already acquired for MSME parks is the another key issue.

It is learnt that though the officials of the APIIC sent proposals to the government seeking funds for development of infrastructure likes roads, water and electricity to the lands acquired for MSME parks, the government is yet to give approval for the same. An official of the APIIC told TNIE that they are finding it difficult in identifying suitable lands for the MSME parks particularly in urban constituencies.  “For instance, there are three and four Assembly constituencies in Vijayawada and Visakhapatnam cities respectively. Can we find such huge chunks of lands in these cities. Similar is the case of other urban constituencies. Even if lands are available in some cities, we are not in a position to spend huge money for acquiring them,’’ he added. On the other hand, the Industries Department officials argue that the APIIC is not putting sincere efforts.  

Despite completing land acquisition process in some Assembly constituencies, they have failed in developing infrastructure there, said an Industries department official. However, the APIIC officials maintained that they don’t have sufficient money for infrastructure development. Stating that each park requires a minimum of 25 acres of land, an official of the APIIC said that they need at least Rs 5 crore for infrastructure development in 25 acres of land.

“We have submitted a report to the government seeking funds for development of infrastructure in the lands identified for setting up MSME Parks and are awaiting for the response,” the official added.

International MSME day today

Government plans to set up a MSME park each in every 175 Assembly constituencies
Land acquisition completed only in 31 constituencies
APIIC finds it difficult in acquiring lands in constituencies in cities

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