Two years on, defence ancillary firm waits for plot in Karnataka

The official expressed helplessness on giving a timeline to resolve the issue, and facilitate setting up of manufacturing units. 

Published: 30th July 2020 03:36 AM  |   Last Updated: 30th July 2020 08:41 AM   |  A+A-


For representational purposes (Photo | PTI)

By Express News Service

BENGALURU: In the past one year, the State government has taken a number of policy decisions to woo investors, but the lack of a proactive approach by the bureaucracy still seems to be a concern.

A defence components manufacturing company that provides high-end cutting tools to many projects, including Hindustan Aeronautics Limited’s (HAL) Light Combat Aircraft (LCA) project, has applied for a small plot in Nelamangala Industrial Estate to establish its manufacturing unit, and is waiting since 2018.

“We have been waiting for the allotment for the past two years,” said ADD Engineering Components (India) Private Limited Director Girish Linganna.

“We have received several communications from neighbouring state Andhra Pradesh, inviting us to establish our facility there, but are keen on having it in Karnataka. Unfortunately, we are not getting the required support from the authorities,” he said.

ADD Engineering Components (India) Private Limited is a subsidiary of ADD Engineering GMBH, Germany, and its application is pending with the Karnataka Small Scale industrial Development Corporation (KSSIDC). Such an inordinate delay can send a wrong message to foreign investors.

When contacted, a senior officer at KSSIDC admitted to the delay and attributed it to a legal issue. The official also said that not just ADD Engineering Components, but applications by many other firms too are pending due to the legal issues they are trying to sort out.

The official, however, expressed helplessness on giving a timeline to resolve the issue, and facilitate setting up of manufacturing units. “We can give them a plot in Gauribidanur,” the official told The New Indian Express.

However, for a company that works with defence PSU HAL, such a suggestion to establish the unit far from Bengaluru is as good as rejecting its request. Girish said if not at Nelamangala Industrial Estate, KSSIDC can allot a plot in a place close to the city as it will help them be closer to defence manufacturing hubs.


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