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Bengal's Industrial Exodus: Why 6,895 Companies Fled Under Mamata's Rule

The BJP has launched a sharp critique of the Trinamool Congress government in West Bengal. Party spokesperson Amit Malviya claims the state has become a "no-go zone" for industries, leading to massive job losses. He points to Union Commerce Ministry figures showing thousands of companies have left since 2011. Economists add that state policies on land and Special Economic Zones are major disincentives for investors.

Key Points: BJP Says Bengal a No-Go Zone for Industry Under TMC Misrule

  • BJP claims 207 companies left West Bengal in just the last six months
  • Major listed firms with massive market cap have fled the state
  • Economists cite no state help in land procurement as a key hurdle
  • The state's stance against new Special Economic Zones deters IT investors
2 min read

Bengal has turned into 'no-go zone' for industries under Trinamool's 'misrule': BJP

BJP's Amit Malviya cites data showing 6,895 companies left West Bengal since 2011, blaming TMC policies for investment flight and job losses.

"Bengal is bleeding jobs. Bengal is losing investment. Bengal is being pushed 20 years backward. - Amit Malviya, BJP IT Cell Chief"

Kolkata, Dec 4

West Bengal, under the "misrule" of Trinamool Congress-led Mamata government, has become a "no-go zone" for industries, resulting in depleting investments and high unemployment, the Bharatiya Janata Party (BJP) said.

"Bengal is bleeding jobs. Bengal is losing investment. Bengal is being pushed 20 years backward. While other states are attracting global investors, West Bengal has become a no-go zone for industry under TMC misrule," observed BJP Information Technology Cell chief and the party's central observer for West Bengal, Amit Malviya, in a social media post on Thursday morning.

He made the remarks referring to the recent statistics provided by the Union Ministry of Commerce on the "flight of companies from West Bengal".

According to him, West Bengal was witnessing a "mass exodus of companies", and the situation is far worse than what the Trinamool Congress government tries to hide.

Quoting the Union Ministry of Commerce figures, he claimed that while a total of 207 companies have left West Bengal in just the last six months, a total of 6,895 companies have left since Mamata Banerjee came to power in 2011, ousting the 34-year Left Front rule in the state.

"And these are not small firms - even major listed companies with massive market capitalisation have fled Bengal," Malviya said in his social media statement.

Some of the major companies that Malviya claimed to have quit West Bengal during the last 15 years of the Trinamool Congress regime include "Netweb Technologies, Gallantt Ispat, Eureka Forbes, JK Tyre, Sanathan Textiles, Greenpanel Industries, National Standard, Cropster Agro, Associated Alcohols, Magellanic Cloud, Panorama Studios, Abans Financial Services, Century Enka, Elin Electronics, and Gretex Corporate Services".

Economist and industrial observers feel that two major practical hurdles in attracting investment to the state are: The state government's policy of no state interference in land procurement for industry and its stance on no Special Economic Zones (SEZ).

Considering the state's highly fragmented land-holding nature, no investor would be willing to set up big industries.

The state government's stand on not allowing new SEZs acts as a disincentive factor for potential investors from the Information Technology and services sectors.

- IANS

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Reader Comments

S
Sarah B
As someone who works in the tech sector, the no-SEZ policy is a major red flag for any company looking to set up a large campus. Other states are rolling out the red carpet with incentives. Bengal seems to be rolling out procedural hurdles instead.
R
Rohit P
While the criticism has merit, let's not forget the historical context. The Left Front's policies also damaged the industrial base for decades. It's a deep-rooted problem. Simply blaming the current government, while easy, doesn't capture the full picture. A constructive, bipartisan effort is needed.
P
Priya S
The land policy is a double-edged sword. On one hand, it protects farmers from forceful acquisition (remember Singur?). On the other, it scares away big investors. There has to be a middle path. Why can't we have a transparent, fair land bank system?
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Vikram M
Nearly 7,000 companies left since 2011? That's not a trend, that's an exodus. My cousin, an engineer from Jadavpur University, just got a job in Tamil Nadu. Brain drain is real, and it's emptying Bengal of its brightest. Very sad state of affairs.
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Michael C
The list of companies that left includes some big names. JK Tyre, Eureka Forbes... these are household brands. When stable, long-term companies pack up, it sends a terrible signal to the market about the business climate. Investment follows confidence.

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