We are the largest employers in Kerala. We find the local government very supportive: Harsh Goenka
Allaying concerns of industries, Chief Minister Pinarayi Vijayan on Sunday said Kerala was one of the most investor-friendly states in the country and assured an atmosphere for sustainable and innovative industries to thrive.
The Chief Minister said this while thanking industrialist Harsh Goenka for his tweet, praising the state government's support for his group's operations in Kerala.
"We are the largest employers in Kerala. We find the local government very supportive," Mr Goenka, Chairman of RPG Enterprises, wrote in response to an economist's tweet about an article on the state's leading private sector employer Kitex Garments decision to scrap a Rs 3,500 crore project alleging "relentless harassment by CPM-led government".
Reaching out to the industries, Mr Vijayan tweeted, "Thank you @hvgoenka for allaying the apprehensions over Kerala's EoDB. Your honesty is much appreciated. Kerala has been one of the most investor friendly States in India and will continue to be so. The LDF Govt. ensures that sustainable and innovative industries thrive here."
His statement comes days after the Kerala-based KITEX group announced that it was withdrawing from the Rs 3,500 crore investment project alleging harassment.
State Industries Minister P Rajeev on Saturday assured the garment manufacturer that "positive steps" would be taken to resolve the issue.
Kitex, which claims to be the second largest producer of children's apparel in the world, had also claimed it had received offers from other states, including Tamil Nadu, to take its business there.
Mr Rajeev said the issues raised by the company were being considered seriously and positive steps would be taken to resolve the same.
Kitex group chairman Sabu Jacob had alleged that while he had received unofficial communications from over 10 states and an official offer from Tamil Nadu, to take his investment there, the Kerala government has not made any efforts to approach him.
Mr Rajeev told a press conference in Kochi that he had sent officials to meet Jacob to take stock of the grievances of the company.
The minister said the controversy involving the company was a "one-off incident" and it was being considered seriously.
The Kerala government does not have a policy of carrying out "surprise or lightning" raids on industries and such action is only taken if there are complaints of a grave nature against any such entity, he has said.