TVS India plans to produce motorcycles in West Bengal at a factory which is being set up by a venture of Indonesia’s Salim Group. But the plans are delayed due to local interference disrupting construction of the facility.

The Mahabharat Motors Manufacturing Co. Pvt. Ltd, a joint venture of the Salim Group and its Indian partner, Prasoon Mukherjee’s Universal Success Enterprises Ltd, is constructing the factory on a 65-acre plot at Uluberia in Howrah district, some 50km from Kolkata. It has planned to start manufacturing motorcycles for TVS from June.

T.V. Sreedharan, chief operating officer of Mahabharat Motors said “They are pressuring us to recruit workers chosen by them (Trinamool Congress and Forward Bloc) to construct the factory.”

The Trinamool Congress supporters have also been asking for better compensation for people who were forced to sell land to the state government for the factory, TVS wrote in its letter. The government had paid Rs 3.5 lakh an acre on an average when it acquired land for the project more than three years ago.

When asked if the protests were going out of hand, Sreedharan said: “It shouldn’t be difficult for the state government to handle the situation.” However he admitted that his company was unable to cope with the resistance and interference from the local people. He also said that he was hopeful that trial production at the factory could start in July.

Related News:
Two wheelers sales high in March 2009
TVS Motors March sales rise 4%
TVS Motors to launch unisex scooter model
Two wheelers speed up sales

Add a comment

Posted by Amrith K.A on 8 April, 2009 5:46:58 PM IST #