Andhra Pradesh

FDNA opposes move to sell away govt.’s stake in Gangavaram Port

The Forum for Development of North Andhra (FDNA) has appealed to Chief Minister Y.S. Jagan Mohan Reddy against going ahead with the decision of the Cabinet to sell away 10.39% of its stake in Gangavaram Port to the Adani Group.

In a letter to the Chief Minister on Friday, FDNA general secretary A. Aja Sarma said that the land given to the Gangavaram Port by then State government was spread over 2,800 acres, which was originally acquired for the Visakhakhapatnam Steel Plant (VSP). The previous government had allotted the land to the Gangavaram Port at a cost much below the market price.

“Had the then government given it at the market price, it would have held 90% of the stake and the Gangavaram Port would have been in the public sector now. The wrong decision had caused loss to the government and benefitted the private port,” said Mr. Aja Sarma.

The State government is now planning to sell away 10.39 % of its stake to the Adani group for ₹645 crore, which is much lower than the market price of the land fixed by the Registration and Stamps Department, he said

The proposed sale of Gangavaram Port land to the Adani group and the decision of the Centre to sell away the VSP land to the POSCO would give undue advantage to these private players, said Mr. Aja Sarma and urged the State government to review the Cabinet decision.

The Adani Group has already acquired the 89.61% of stake from the two private entities and is now planning to acquire the government’s share of 10.39% stake in the port. The move would give total freedom to the Adani group to act as per its whims and fancy, he said.

Mr. Aja Sarma also recalled that the public sector Visakhapatnam Port had come forward to set up the port at Gangavaram, but the then State government had favoured the private entity for unknown reasons. He demanded that the State government should take over the Gangavaram port.

Our code of editorial values

This article is closed for comments.
Please Email the Editor

Printable version | Jun 20, 2021 1:25:49 PM |

Next Story