MYSORE: SemIndia's reported preference to Hyderabad over Thandya near Mysore for it $ 3 billion Fab City project may have come as a set back to the State Government, but the industry in Mysore is not surprised by it.

Though the decision has poured cold water on the aspirations of the people here who were looking forward to a transformation of the city into a hi-tech destination, the industry in the region feels it was on the "expected lines."

The absence of an airport in the vicinity of the proposed Fab City, where a large amount of capital-intensive equipment, goods and international delegates had to be flown in and out to various parts of the world, is said to be the reason for Mysore's loss.

"Though it is a big loss for Mysore, the decision has been more or less on the expected lines. For, precious little has been done here in terms of infrastructure or connectivity," the former Chairman of the Confederation of Indian Industries (CII), Mysore Zone, Ashok Rao, said.

Mr. Rao, who is also the Managing Director of Automotive Axles, said the existing road and rail connectivity for Mysore is inadequate. A project of Fab City's scale would have required multiple transport facilities, he said, regretting the hurdles before doubling of the railway track between Mysore and Bangalore and the Bangalore-Mysore Infrastructure Corridor (BMIC) project.

The political crisis in the State at the time when SemIndia was scouting for a location is also suspected to have played a role in the promoters' decision. "Obviously, someone, who is investing such a huge amount of money would have expected political stability," Mr. Rao said.

Managing Director of Excel Soft B.S. Sudhanva said the absence of an airport is a practical constraint in the setting up of Fab City near Mysore.

Though Mysore has a cluster of feeder industries for the proposed project, the logistics of ferrying goods would have posed a hurdle without an airport in the vicinity, Mr. Sudhanva said.

President of the Mysore Chamber of Commerce and Industry (MCCI) H.N. Ramathirtha was upset over the loss of the project. If realised, the project would have brought not only investment to the tune of Rs. 20,000 crores, but also jobs to hundreds of people, he said.

The project would have catapulted Mysore as a hi-tech destination for the facility would have been engaged in the manufacture of advanced semiconductor chips used in personal computers, cell-phones, set top boxes and broadband connectivity.

He said Mysore lost an opportunity to get itself a hi-tech face-lift on account of the absence of political will.

"The coalition partners were engaged in an ego clash. In contrast, Andhra Pradesh Government had gone out of its way not only to offer land and water, but also electricity at a subsidised rate," he added.

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