Several trade and industry associations and real estate bodies have welcomed the passage of the Telangana Bill. Now that the prolonged phase of uncertainty is behind, it will pave the way for rapid development of both the regions, they said.
“We believe the passage of the Bill will bring in clarity to both the regions and pave way for an accelerated phase of growth. The real estate sector and industrial growth were all impacted due to lack of clarity on whether a new State would be formed,” said C Sekhar Reddy, National President of the Confederation of Real Estate Developers' Association of India. “The creation of a new office and commercial space will fuel the next phase of growth for real estate and industries in particular as they were suffering.”
Added B Ashok Reddy, Chairman, CII Andhra Pradesh: “We feel today’s decision certainly brings clarity on this long pending issue. Though, the impact of it is yet to be known since there are a number of unanswered questions. Distribution of resources like water and power between Telangana and Seemandhra, State government policies, tax benefits are some of the things which are yet to be decided.”
Srinivas Ayyadevara, President, Federation of the Andhra Pradesh Chambers of Commerce and Industry (Fapcci), said: “We look forward to a Government which gives us a good industrial policy where the manufacturing sector in particular will get a boost..”
The IT sector, which bore the brunt of the decade-long struggle for Telangana, feels the decision would help the industry.
It has a reason. About 96 per cent of the State’s ₹65,000-crore IT sector is based out of Hyderabad, which incidentally was the epicentre of the Telangana movement.
‘IT industry is global’ “It’s an emotional, mixed feeling personally. While Gujaratis and Maharashtrians have one single State for themselves, we now will be two States. The Telugu pride takes a beating,” BVR Mohan Reddy, Chairman and MD of Infotech Enterprises, told Business Line .
“Nothing is going to change in Hyderabad and the industry would continue to thrive because of its competitive edge.”
IT industry Association of AP Vice-President Ramesh Loganathan said Telangana or no Telangana did not matter for the industry as it was global in nature.
“But the stability that comes after the decision would surely help. Despite the disturbances, the IT industry grew 24 per cent last year,” he said.