Suzuki may have opted to set up its latest plant in Gujarat, but will return to Haryana for its next investment, said Haryana Chief Minister Manohar Lal Khattar . Mr. Khattar aims to take the State into the top five ranks for ease of doing business from its current 14th place, which he blamed on legacy issues. He also stressed that unlike other parts of the country, land acquisition is not an issue in the State as the farmers are interested in working with industry. His government doesn’t get taken in by vested interests and doesn’t believe in acquiring land by diktat, unlike the previous State government, Mr. Khattar told The Hindu . Edited Excerpts:
After 15 months in office, what’s your assessment of the State’s investment climate?
Every State is trying to improve on the issues they face, especially on the concurrent list of subjects (under the Constitution, such as labour) on which they can do things on their own. We have studied the problems that investors and industrialists face and to fix that, we are ready to act in all spheres. I have realised that in the previous government, some vested interests would always come in the way and stall the pursuit of the straight path to reforms. At least, in our government, that is not an issue.
We have to serve the State’s 2.5 crore Haryanvis. Our sole objective is that we create such a platform during our government’s tenure in Haryana, which would make the ordinary person feel that they are getting all services without any obstacle.
What’s the strategy for getting more investments?
Big business is important but so are micro, small and medium enterprises, as smaller entrepreneurs can create jobs and other opportunities for the common man. We need more of that and have set a target of 4 lakh (new) jobs in our term and Rs.1 lakh crore of investments.
Start-ups need a clear path. If they face problems initially, they will struggle. In a running business, if a hurdle comes, it can be overcome. But for start-ups, it is very risky. So for start-ups, we are creating a smooth facility to establish via a platform in Hisar and Kurukshetra Universities, with incubators and mentoring facilities.
Apart from Japan, China, the U.S. and Canada, we are also reaching out to domestic investors spelling out our locational advantages. It’s a big market near the capital, with reliable infrastructure and transport facilities and an international airport that is closer to Haryana than Delhi. We have an airport in Chandigarh and another one is coming up soon in Hisar.
Our assessment is we may get much more investments, because Wanda group alone has committed to invest $10 billion.. That’s more than Rs. 65,000 crore. So, the Rs.1 lakh crore target is bound to be overshot. We have given them 3,000 acres of land, but they want more for the industrial township they will build.
Could land acquisition be an issue?
We don’t have the kind of problems in acquiring land that people anticipate to be very expensive. The farmers are ready to give their land for industry, because their children will also get employment if an industry comes up. Today, farming is no longer profitable, so when a good value is available for the land, farmer can invest that and set up own business or get a job. So. farmers feel that in exchange of land, they can move to a period of transformation to other livelihoods. As far as farming is concerned, we are working on diversification of crops. For which also, we need industry. Fruits, flowers, medicinal plants, vegetables — we want agro-based industries and have set up a horticultural university with three centres in Narayangarh, Jind, and Jhajjar.
But there were lots of controversies over land in the previous government…
I think the feeling of acquisition (by government order) had created problems. We, as a government, want to take farmers’ land with their own free will, in direct sale and purchase, wherever they offer it.
In Mahendragarh, we have recently acquired 972 acres of land. We sat and talked with the farmers there, offered them a good price. And they all agreed saying if an industrial park or a logistics hub comes up, they will all benefit.
Haryana is a State where both industry and services thrive. So were you disappointed with the 14th rank it got among States in the Centre’s ease of doing business ratings?
The legacy issues and problems that were there, we have also taken stock of them. So in that sense, the rank is based on past performance. So all the changes we have made this year with new systems in place, we hope we will be elevated to the first five. We have created a single roof system instead of a single window for this, so you can get all your clearances under one roof from all departments.
Auto sector investors like Hyundai and Suzuki have opted for other States in recent years...
Every business needs to expand so when they have to set up a new unit, at that time wherever they find it most convenient, they invest. Now, if we create facilities, we hope they will come to us again. We have never told any investor to shut a plant elsewhere and come here. But, expansion is a natural phenomenon. Wherever we have gone like Bengal, or Chennai, where I will go now, that’s the message. ITC has agreed to invest in the State.
You met Suzuki Motors’ top brass in Japan... Any signals from them about their Haryana assessment now?
Yes, we first felt that may be they are not coming our way and are slightly more interested in other States. They have set up an unit in Gujarat already. But now, Suzuki has assured that the next unit would be in Haryana and told others also to come to the State.
