Title - Phase 2 of BEML unit delayed

A delay in acquiring land is holding up the second phase of the BEML manufacturing facility at Kanjikode here. The Rs. 266-crore first phase was completed in May 2010.Kinfra has to acquire 240 hectares for the new phase, which should have come on stream this year to manufacture indigenously developed aluminium and stainless-steel 100-tonne freight wagons and other products.The company has signed a memorandum of understanding with the Steel Authority of India and the National Aluminium Company for the production.Company sources said that at the inauguration of the first phase on May 16, 2010, it was declared that the second phase would start by 2012. Though land is available adjacent to the existing complex, the government has not been able to complete the formalities to acquire it. The first-phase unit, on 400 hectares of land provided by Kinfra, has been manufacturing defence equipment, including military wagons and floating bridges, and spare parts for rail and metro cars.Kinfra officials said completion of various formalities had delayed the acquisition of land for the second phase. The notification for acquisition had been published in the Gazette.A joint survey had been started.s The Revenue Department was seeking more staff to speed up the acquisition.