The Hindu Business Line : BMW team holds talks with Naidu

REPRESENTATIVES of German auto giant BMW checked in to the city and held parleys with the Andhra Pradesh Chief Minister, Mr N. Chandrababu Naidu, to explore the possibility of setting up a manufacturing unit.

Another German automotive major, Volkswagen AG, is already in the process of evaluating the State as a possible destination for its greenfield car plan, possibly near Visakhapatnam.

A high-powered delegation from BMW accompanied by senior State officials, Mr K.V. Rao, Principal Secretary Industries, Mr Sameer Sharma, Commissioner Industries, and the Vice-Chairman and Managing Director, Andhra Pradesh Infrastructure, Mr L.V. Subramaniam, called on the Chief Minister at his residence and held discussions over the proposed project, according to sources.

The team from the German carmaker is learnt to be on a feasibility tour and has thus far visited two more States. On their part, the team of officials from Andhra Pradesh made out a case on the lines of their pitch for the Volkswagen team and suggested Hyderabad and Vizag as two possible spots.

However, the details of the discussions they had and the BMW mandate has been closely guarded.

On the other hand, while the State Government and the Chief Minister had announced that for all purposes the Volkswagen group has decided to locate its plant in AP, it is for the company to make public its choice.

It is learnt that Volkswagen is planning two plants - one for its car project and the other for commercial vehicles. The State Government, in order to facilitate smooth functioning of such projects, has also come up with a legislation for special enclaves that would be governed by different labour laws.

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