Foxconn ditches Chennai and goes to Bengaluru

It is now official. Apple I phone contract manufacturer Foxconn has decided to put up its second plant at Bengaluru with an investment of Rs Eight thousand crores, the state chief minister Basavaraj Bommai said.

Mr Bommai had made a similar announcement about a fortnight ago but prompt came the rejoinder from the Taiwanese telecommunication major that no final decision has been taken to put up a plant in Karnataka.

Under these circumstances the Karnataka government gave approval for 18 projects with a total investment of over Rs 75,000 crore, including a proposal by tech giant Apple's contract manufacturer Foxconn for Rs 8,000 crore.

The Karnataka government on Monday 20 Mar  approved 18 projects with a total investment of over ₹75,000 crore, including a proposal by tech giant Apple's contract manufacturer Foxconn for ₹8,000 crore.

Among the 18 projects that were approved by the State High-Level Clearance Committee under the chairmanship of Chief Minister Basavaraj Bommai, 10 are new, five are expansion projects, and three are additional projects..

Foxconn Hon Hai Technology India Mega Development Private Limited (FHH) would invest Rs 8,000 crore with employment opportunities for 50,000 people, it said.

 A delegation led by Foxconn CEO and Chairman Young Liu had visited the state and held a meeting with Chief Minister Bommai a fortnight ago in Bengaluru.

"We are happy that the state has received such a huge investment. The proposals for green hydrogen, ethanol production, wind energy power plant, electrical and electronic items assembling, lithium batteries and electric vehicles, and cement and steel companies in the state have been approved in the meeting. Karnataka’s contribution to the manufacturing sector will be remarkable in the country," Bommai said.

Expressing happiness over the volume of investment proposals received, Large Industries Minister Murugesh R Nirani said it is a testimony to the industry-friendly policies and the conducive ecosystem provided by the state government.

Foxconn had set up contact manufacturing plant for producing apple I Phones in Sriperumpudur plant nearly five years ago... But Chennai’s plea has been rejected by Foxconn. Meanwhile a top official of the Taiwanese major has gone on record saying that investment climate in Telangana is best in the country in an indirect attack of the atmosphere in Tamil Nadu. Foxconn has decided to put up another manufacturing plant in Telangana.