Nasscom slams West Bengal Govt. for scrapping IT township project

V.V.R. Babu, chairman, Nasscom (eastern regional council), also criticized the government of neglecting the IT sector in the state. "We know that land has been given for real estate projects in New Town and Rajarhat. But the state government should realize the importance of IT in the economic growth of a state and should reprioritize land allocation programs for large IT companies," Babu said.

"The Government has enough land. It has land in Rajarhat township but it is meant for real estate. Government has to choose whether it wants employment by offering land to IT companies or just make buildings," he said.

Nasscom's outburst came barely days after Finance Minister Pranab Mukherjee lamented over the development in his home state. "It (the decision to scrap the IT township project) is unfortunate. If Infosys and Wipro had invested in West Bengal, it would have sent a good signal. Because the IT industry generates a lot of jobs. Between them, Infosys and Wipro might have generated between 5000 and 10,000 good jobs," Mukherjee said.

Besides Mukherjee, Kevin McCole, COO, UK India Business Council, believes that West Bengal's image as a pro-industrial state has nose-dived after the latest setback. "There is a negative perception among investors in the UK regarding investments in Bengal at present. If we ask a business delegation to come to West Bengal and invest, they ask us - is this the state from where Ratan Tata had to pull out his project," McCole said.

"The situation has become worse after the Vedic Village incident in which Infosys and Wipro had to pull out. The situation here (in India) may not be that grim but from London they form that opinion," he said.