RailEnquiry

Despite the imperatives of a sound engineering manufacturing base to foment growth and spur development, Mysore in recent years has given thrust to non-core areas like IT which has not really taken off. Though the city made rapid strides in the first half of the last decade, mainly due to the low base rate, there seems to be little action on the IT front in the last few years. From an export of less than Rs.100 crore, the figures crossed the Rs.1,000 crore barrier by 2008-09 but since then the growth has stagnated and the industry has not rebooted. But for Infosys, Excel Soft and a few other players, the IT sector in Mysore has remained muted.As Sanjay Ahuja of Software Guru explained: Mysore benefited from its proximity to Bangalore and there was the spill-over effect when the capital city was saturated. The unbridled rise in real estate prices in Bangalore made sense for industry to scout for alternatives to reduce over-head costs and Mysore emerged as a top runner given its proximity to Bangalore, easy availability of land and promises of growth. But the spiralling real estate value in Mysore has eroded the advantage while the limited availability of talented manpower to attract core industries has impeded the projected growth.Connectivity is a key ingredient and the railway track doubling work with electrification of the Mysore-Bangalore stretch slated to be ready by December 2013 or April 2014 will enhance mobility and fuel growth though Mysore airport has hit an air-pocket and there are slim chances of resumption of commercial services. The State Government had unveiled a blueprint to promote the Mysore-Nanjangud corridor as an electronic hardware manufacturing hub in 2011. But nothing has been heard since then.

Textiles, agro-based industries including horticulture and floriculture, and food industries are other areas with potential for development but have not been harnessed to the full. With real estate becoming a scarce and expensive commodity, the future will hinge on “out of the box” ideas for the Government to conjure up and draw investors. The stakeholders themselves have suggested one: to lease the existing land for a period of 30 years instead of outright sale at an exorbitant cost to the potential entrepreneurs. Money saved on buying land could be invested on the project. This will not only curtail speculative deals in real estate but will release land for genuine investors. But whether this will happen is anybody’s guess.

Traditionally, Mysore has given impetus to tourism promotion and not withstanding the slowdown in the economy in 2008-09 the city registered a robust growth in the number of tourists fuelled by domestic travellers. From about 1.5 million tourists visiting Mysore annually between 2000-2005, the number has grown to cross the three-million mark.

There are plans afoot to increase the number to five million by 2020 which will call for additional investments by the private players. The hospitality industry is already witnessing a capacity expansion with the entry of new players including Raddison, ITC, and Park while others like Sheraton are waiting to move in.

Investments are also envisaged in the fields of education and health which augurs well for the city’s future as industrial growth and development of the service sector hinges to a certain extent on them.

At the regional investors’ conference held early this year, MoUs with a projected investment of Rs.1174.4 crore were signed in the education sector which is expected to expand in the years ahead. The entry of new educational institutions coupled with improvement in the healthcare sector will hold the key to the city’s growth, according to stakeholders. Till 10 years ago, the city had only two engineering colleges – the National Institute of Engineering and Sri Jayachamarajendra College of Engineering. But now there are eight colleges with at least two more in the offing and this will add to the region’s talent pool.

Without a sound base in education and health, it will be difficult to attract skilled workers to the city and Mysore – which had a head-start decades ago – is now playing catch-up with other identified Tier-2 cities.