Govt is compelled to merge APIDC with APIIC: AP CM

Hyderabad, Aug 2 (UNI) While deciding to implement Voluntary Retirement Scheme (VRS) in a loss-making Cooperative Dairy, the Andhra Pradesh government wants to merge the 'obsolete' State Industrial Development Corporation with the State Industrial Infrastructure Development Corporation, Chief Minister Y S Rajasekhara Reddy said today.

Talking to newspersons here, he said ''The existence of APIDC is no longer relevant.'' The APIDC was getting refinance from banks, which they used to make advances at a higher rate of interest to entrepreneurs, who now preferred to go directly to the banks, instead of coming through the APIDC, he added Dr Reddy said ''hence the government is for merging the APIDC, which has outlived its purpose with the APIIC.'' He said with the National Dairy Development Board (NDDB) not coming forward to revive the Dairy in Rajahmundry, the government had no other option, but to implement VRS in the Dairy.

The allocation of Rs 15 crore made in the budget was insufficient, as another Rs four to five crore would be required for the purpose, he added.

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