Hyd Pharma Companies heading to KA not AP?

If the news emerging from Bangalore media is to be believed, Many Pharmaceutical companies stationed in Hyderabad were now looking towards Karnataka. The companies earlier planned to shift their base to Andhra Pradesh. But the recent Hudhud Cyclone has threatened them to reconsider their choice. Also the companies say there is an acute shortage of water in AP which will prove detrimental to them.

Karnataka government rightly cashed in on the oppurtunity and lured them with several incentives like 100% exemption of stamp duty on registration of loan agreements and land registration, 100% reimbursement of land conversion fee, 100% exemption on entry tax, 50% capital subsidy on setting up Effluent Treatment Plant, 100% exemption from tax on electricity tariff, 25% investment subsidy on upgrading technology and liberal interest subsidy on loans depending on the size of the investment.

It is said that at least 30 pharma companies stationed in Telangana are in talks with Karnataka government right now. The Congress government there is planning to acquire 3,200 acre in Yadgir for setting up an industrial park which would include an exclusive pharma industrial cluster.