Mumbai: Aaditya Thackeray slams Eknath Shinde govt for letting go of Vedanta-Foxconn semiconductor project

Shiv Sena leader Aaditya Thackeray has sought to know why the investment of Rs 1.75 lakh crore in a semiconductor manufacturing project by Vedanta-Foxconn (Rs 1.54 lakh crore as per the company) has gone to Gujarat though it was confirmed to come to the state when his father's government was in power. Senior NCP leaders Ajit Pawar and Jayant Patil and Congress's Balasaheb Thorat also joined the chorus against the shift.

Maharashtra industry minister Uday Samant said the package the then MVA government had offered to the joint venture of R1.56 lakh crore was less attractive than Gujarat's, and his government was prepared to better the deal but the company chose the neighbouring state.

Speaking at the Shiv Sena Bhavan on Tuesday, Thackeray said the joint venture had chosen a site in Talegaon and accepted the deal the MVA government had offered. "Even the current CM tweeted in July that the project would stay in Maharashtra. If so, then what has happened in one month? Why has the current dispensation, which I don't consider a legal government, allowed the project to be taken to Gujarat?" he asked while demanding an answer from the Maharashtra CM.

Aaditya Thackeray, ex-minister

According to Thackeray, only 5 per cent of the work in terms of signing a memorandum of understanding was remaining. "I met Vedanta chairman Anil Agarwal in Davos to discuss the project. He was satisfied. Later, then industry minister Subhash Desai and officials met the Foxconn chairman in Delhi. I was deeply upset when I read Agarwal's announcement today. I was upset not because the project has gone to Gujarat, but because it hasn't stayed in Maharashtra where it could have brought about 200 allied units and created over one lakh jobs. Gujarat has done its job, but the Maharashtra government hasn't."

Thackeray said investors have lost confidence in the current government. The MLAs are firing bullets and beating officials, he said, adding that the law and order and the ecosystem that investors need were missing.

Congress leader Satyajit Tambe urged Deputy Chief Minister Devendra Fadnavis to urgently look into the matter and bring the project back to Maharashtra. "Such a project has never been implemented in the entire world except in Korea, not even in China. Vedanta group was bringing this technology for the first time where Maharashtra had the opportunity to generate thousands of jobs and ancillary units which would have further generated opportunities for the youth," he said.

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Tambe said, on September 29 last year, he had written to cabinet minister Piyush Goyal urging to set up a semiconductor facility in Nashik. "Earlier last month as well, Vedanta and Foxconn delegation had met Maharashtra CM Eknath Shinde and deputy CM Devendra Fadnavis for the proposed investment," he said, adding that the project required 1,000 acres of land free of cost on a 99-year lease, and water and power at concessionary and fixed prices for 20 years.

We tried our best: Samant

Industry minister Samant said his government was equally upset. "Thackeray and Patil should introspect and answer why they have failed in offering a better deal to Vedanta-Foxconn. Now, they should not block a refinery which is double the investment of a semiconductor project," he said in response to the allegations.

He said the Shinde-BJP government was told by the company about the shift saying that the deal was better than Maharashtra's. "We contacted them immediately and offered an even better package. We also held discussions, but the company stayed put on its stand despite our hard efforts," he told mediapersons.

"If they want to blame us, then they should answer why they failed in giving a better deal. The then government knew that the JV was in talks with Gujarat for two years and yet it failed to convince the investor. We are not crestfallen. We will talk with other semiconductor companies to set up their plants in Maharashtra," he said.

He said while the opposition cried foul over a semiconductor project, it was trying to block the Rs 3.5 lakh crore Nanar refinery project. "Please don't do it for the sake of the state," he added.

Fadnavis could not be contacted because he is in Russia on an official visit.

Agarwal thanks PM, Gujarat

Announcing the project, Vedanta Group chief Anil Agarwal thanked PM Narendra Modi for his "vision" of creating a robust manufacturing base in India. "It will reduce our electronics imports & provide 1 lakh direct skilled jobs to our people...going from job seekers to job creators!" he tweeted.