BENGALURU: Japanese firms looking to invest in Karnataka seem to have opted out due to erratic power supply and bad road access to an industrial area near Tumakuru. Though the coalition government is keen to attract big-ticket investments by forming a cabinet sub-committee headed by the Chief Minister, it needs to first resolve basic issues.
“Power outage is a serious concern for us as that would hit our production cycle,” Kenji Mori, Senior Executive Vice President, TMEIC Industrial Systems India Pvt Ltd told The New Indian Express. The problem is so serious that the firm has been documenting power outages and submitting reports to authorities concerned. In May, they had 50.3 hours of unscheduled power outage, while it was 35.9 hours in April.
TMEIC, a group company of Toshiba Mitsubishi - Electric Industrial Systems is into design, development and manufacturing of power electronics equipment and large-capacity electric motors. When it started its operations from the 23 acre facility at Vasantanarasapura, Tumakuru in 2015, the government had promised uninterrupted power supply, water and good access to roads. “All three remain a major concern for us even today,” said Hemanth Joshi, Managing Director, TMEIC.
Japanese firms keen to invest in the state recently visited the Japanese firm and interacted with its top officials. “When they ask us about facilities, we have to tell them the truth. The government is keen on attracting foreign investors and its intention is good, but issues on the ground need to be addressed,” Joshi added. Those Japanese investors moved to neighbouring states.
Japanese Counsel General in Karnataka Takayuki Kitagawa recently discussed the issue with Chief Minister H D Kumaraswamy and handed him a memorandum explaining concerns raised by the Japanese firms. “The state government is doing good work, but I wish they make a little extra effort to address basic issues as many Japanese firms are keen to invest in Karnataka,” he told The New Indian Express.
The Industries Department has decided to hold monthly coordination committee meetings. “We have 475 Japanese companies in the state. We have always been receptive to their ideas and investment. We used to have monthly coordination committee meetings for Japanese authorities and firms, and we intend to reactivate our machinery to address their concerns,” said Gaurav Gupta, Principal Secretary, Industries Department.