Bangalore, September 18, 2008 (IANS)

Karnataka Thursday offered 1,000 acres of land and incentives to Tata Motors to shift their troubled Nano small car project from Singur in West Bengal. The auto major has suspended work at the Singur plant as Trinamool Congress led by Mamata Bannerjee is agitating for the return of 400 acres within the Nano complex to farmers. The West Bengal government has offered to give back around 70 acres which Bannerjee is not willing to accept. Tata Motors is also against giving back such large tracts of land as the Nano is an integrated project and needs ancillaries to function within the complex.

"There will be not be any protest (by farmers) or agitation (like in Singur) against the project," Karnataka Chief Minister B.S. Yeddyurappa told Tata Motors managing director G. Ravi Kant at a meeting here. "We have very good relations with the Tatas and they are receptive to our offer," Yeddyurappa told reporters after the meeting.

Karnataka proposes to give the land in the state's northern district of Dharwad where the Tata Group has equipment manufacturing facility spread over 600 acres. Dharwad is 420 kilometres from Bangalore and 550 kilometres from Mumbai. Ravi Kant told reporters that Yeddyurappa has promised all support, encouragement and incentives if his company decided to relocate the Nano project from Singur to Karnataka.

"Since Nano is an integrated project, it requires about 1,000 acres of land," he said, and added that no decision has been taken to relocate Nano from Singur as yet and Karnataka's offer would be discussed with group chairman Ratan Tata.

"We are considering alternatives," he said when asked whether a decision has been taken to move out of Singur. Tatas have offers from several other states to locate the Nano plant there.