'Singur small car project getting delayed'

Kolkata, Aug 10: Admitting that the Singur small car project was getting delayed, Tata Group Chairman Ratan Tata today said efforts were being made to check a time overrun.

"The project is getting delayed. But we will use our own capabilities to overcome the delay...we are hoping that there will be no time overrun," he told reporters here on the sidelines of the 44th Annual General Metting of Tata Tea.

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In reply to a question when Tata Motors would be ready for the first roll out of the Rs. one-lakh vehicle, Mr Tata said, "I won't give you any date because vested interests are working there." The production of the Singur small car was billed to start tentatively in the first quarter of 2008-09.

Mr Tata who in the past had alleged that a rival automobile company was active behind the political turmoil over the Singur project, today said any future investment of the Group in West Bengal would depend only on successful completion of the existing projects.

"How can I say about the possible future investments? There are political problems...much will depend on the progress of the existing projects," he said.

Besides the Rs. 1,500-crore small car project, the Tatas have embarked on setting up of a world-class cancer hospital involving an estimated expenditure of Rs. 100 crore at Rajarhat on the eastern outskirts of the city.

Defending the decision to set up the small car project in the agrarian area of Singur, that evoked political outcry, Mr Tata said during his address to the shareholders that the move was simply because the place was near Kolkata. "We risked to make a very large project at Singur since it is near Kolkata. We wanted to make the project visible and showcase it to the people of West Bengal so that they feel proud of it," he said.

Observing that Eastern India and West Bengal had long been ignored in industry, Mr Tata said Tata Motors decided to come to the state to make a start in industrial rejuvination.

However, referring to the political controversy over acquisition of agricultural land for industry, Mr Tata said there was need to conserve farm land as well as it was necessary to ensure that farmers did not live below the poverty line.

Speaking high about the industrial potential of the state, he also showered encomiums on the Left Front Government and Chief Minister Buddhadeb Bhattacharjee.

"West Bengal is one of the most invest-friendly states in the country. It has a very enlightened Government and a very pragmatic Chief Minister....the state has great potential and it will be one of the most prosperous states in the country," he observed.

UNI