Pune: 50 Companies Relocate from Chakan MIDC Due to Poor Infrastructure -Jairam Ramesh

Pune, 30th September 2024: Chakan, a vital hub for the automobile manufacturing industry, is witnessing a significant exodus of companies due to inadequate infrastructure and traffic congestion. Senior Congress leader Jairam Ramesh claimed that around 50 companies have shifted from Chakan MIDC to states like Gujarat, Karnataka, and Andhra Pradesh.

Chakan hosts several global companies, including Mercedes Benz, Volkswagen, Bridgestone, and Atlas Copco. However, the deteriorating infrastructure, particularly traffic congestion and pothole-ridden roads, has raised concerns among industry leaders. Although Maharashtra’s Deputy Chief Minister Ajit Pawar held a high-level meeting in July to address these issues, local authorities have yet to take meaningful steps to resolve the problems. The Federation of Chakan Industries has repeatedly raised concerns about the lack of action, with companies continuing to migrate to other states.

Jairam Ramesh voiced his concerns on social media, highlighting the poor state of Chakan’s infrastructure. He noted that while roadwork is underway, potholes remain a persistent issue, leading to increased accidents and traffic jams. “The delays in transporting raw materials and finished products are affecting the productivity of companies. Despite repeated complaints and meetings with Maharashtra Industrial Development Corporation (MIDC) officials, no progress has been made,” Ramesh said. He also pointed out that 50 companies have already relocated to states with better infrastructure.

Ramesh stressed the importance of retaining investment in Maharashtra, lamenting the migration of industries to Gujarat, Karnataka, and Andhra Pradesh. “The state’s inaction is costing us jobs and investments. Many industries have already moved to Gujarat, and this trend is continuing,” he added.

Dilip Batwal, Secretary of the Federation of Chakan Industries, supported Ramesh’s statement, confirming the ongoing migration of companies. “The situation in Chakan is dire. Companies are not only leaving, but many others are exploring options in other states. Inadequate infrastructure and heavy traffic congestion are making it difficult for industries to operate, with employees losing two to three hours daily in commute, which is severely impacting productivity,” Batwal said.