Maharashtra CM Shinde had invited Vedanta-Foxconn to sign MoU on July 29 to set up semiconductor plant near Pune

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Amid a row over Vedanta-Foxconn choosing Gujarat for its semiconductor plant, officials said that Maharashtra Chief Minister Eknath Shinde had invited the company to sign a Memorandum of Understanding (MoU) with the government on July 29 to set up the facility near Pune.

A senior government official said Shinde and Deputy Chief Minister Devendra Fadnavis were in regular touch with Vedanta chairman Anil Agarwal and had spoken to him over phone.

Shinde had written to him (Agarwal) assuring that the state cabinet’s approval and the central government’s nod for 20 per cent capital subsidy for the semiconductor facility would be taken, the official said.

The Vedanta team held a meeting with Shinde, Fadnavis and top officials on July 26, he said.

“Shinde wrote to Agarwal on July 26, inviting him for an MoU-signing ceremony on July 29 in Mumbai,” the official added.

“Your request for central government alignment and cabinet approval are in advanced stages and moving ahead expeditiously. A high-powered committee has already given its in-principle approval for requisite incentive package and the same will be moved to the cabinet for approval,” chief minister Shinde said in a letter to Agarwal.

“In addition we are also seeking alignment at the highest level of government of India to request for unfettered support in ensuring the project receives due support,” the letter added.

According to the official, the state government offered subsidies in land, water power supply, stamp duty exemption among other facilities.

A political firestorm has erupted in Maharashtra after Vedanta-Foxconn opted for Gujarat for its Rs 1.54 lakh crore semiconductor plant. Vedanta, an Indian oil-to-metals conglomerate, and Taiwanese electronics giant Foxconn have formed a joint venture to set up the plant in Gujarat. The unit was earlier proposed to be set up at Talegaon near Pune city in Maharashtra.

Members of the ruling dispensation and the opposition in Maharashtra have been attacking each other over the issue.

The Uddhav Thackeray-led Shiv Sena, the Nationalist Congress Party (NCP) and the Congress have sought to corner the Eknath Shinde-Bharatiya Janata Party (BJP) government following the announcement two days ago that the plant would be set up in Gujarat and not in Maharashtra, while the ruling side accused the opposition of making false claims over the project.

Shinde took oath as the state chief minister on June 30, a day after the Maha Vikas Aghadi (MVA) government collapsed following his rebellion against the Shiv Sena leadership.