By Team Mangalorean Bangalore

BANGALORE, November 25: Karnataka Government has decided to set up a golf course and an institute of Institute of Hotel Management (IHM) in Mangalore to tap tourism potential in coastal Karnataka. This was announced by Minister for Tourism G Janardhana Reddy here after releasing a new Karnataka Tourism Policy for 2009-14.

A golf course would be established in Mangalore on 135 acres near Tannirbhavi and tenders would be called soon. The golf course would be set up with the investment of private parties. Tenders would be called soon for the purpose, Mr Reddy said. Now there was no golf course in Mangalore.

He said IHM would set up its institutes in Bellary and Mangalore with an investment of Rs. 20 crore each. The Department has submitted proposals to IHM requesting it to set up institutes in Belgaum, Gulbarga and Bangalore. IHM would set up a Food Craft institute at Gadag and the State Government has approved the project.

He said the sound and music projects would be implemented at nine tourist places in Bidar, Bijapur, Chitradurga, Kittur, Hampi, Bellary, Pattadakal, Halebedu, and Srirangapatna with an investment of Rs. 18 crore. In 2009-10, it would be implemented in tourist palces in Bidar, Bijapur, Chitradurga, Kittur, Hampi, Bellary and Srirangapatna. Each project would cost Rs. two crore.

The Union Tourism Ministry has approved setting up of a Food Craft Centre at Hassan and the Centre has released Rs. two crore for it. A tourism training centre would be established at Belur in Hassan and it will have 30 rooms. 

K’taka unveils Tourism Policy to attract Rs. 25,000 cr investment

Karnataka Government has set an ambitious target of luring Rs 25,000 crore investment under the Tourism Policy 2009-14 unveiled by it today.

The policy seeks to turn the state into a most sought-after tourism destination, Tourism Minister G Janardhana Reddy told reporters here.

The Tourism Department adopted a public-private partnership (PPP) model for to bring in a massive investment into ‘destination-crating projects’ as well as into regular projects through innovative financing.

The policy, second after 2002-2007, aimed at tapping the tourism potential of the State by highlighting the values of "Punniya Koti" enshrined in the State’s culture. The policy, which is investors friendly, has categorised taluks into A, B, C, D, and E for attracting private investments. Ten per cent subsidy or maximum of Rs. 10 lakh subsidy would be provided for investing in ‘A’ category taluks, subsidy of 15 per cent or 15 lakh for investing in ‘B’ category taluks, subsidy of 25 per cent or Rs. 25 lakh for investing in ‘C’ category taluks and subsidy of 35 per cent or Rs. 35 lakh for investing in ‘D’ category taluks. There are 176 taluks of the state.

The policy also provides for promoting medical tourism through setting up of six hotel management institutes for which the Centre has promised Rs 20 crore grant each. Son-et-Lumeire (sound and light music programme) would commence at Mysore palace before January next and similar shows would be organised at heritage tourism centres like Bidar, Bijapur, Chitradurga, Kittur, Hampi, Srirangapatna, Aihole, Pattadakal and Bellary, the minister said. He said the new policy was investor friendly and focused on promoting home stays and resorts.

For development purposes, the policy divide Karnataka into four tourism zones – Zone one: within the local planning area limits (Bangalore Development Authority) and this zone would be a low priority with few tax benefits.

He said zone 2 comprised the Bangalore Metropolitan Region Development Authority (BMRDA) limits and this zone would be a priority zone for attracting destination projects and act as a nodal hub for global events and activities. Extensive government support, including large project-specific clearances and tax breaks would be available.

Zone 3: The zone comprised of Mysore, Kodagu, Hampi, Pattadakal – Badami – Aihole, Bijapur, Bidar, other heritage centres and the coast of Ullal to karwar. The zone will be notified for priority development in an integrated manner with integrated tourism development master plans (ITDM).

Zone Four: All other tourist destinations in Karnataka and wayside facilities in approved locations on national and state highways. The zone will enjoy benefits and tax incentives, the policy document said.

The policy has also provided 50 per cent exemption on stamp duty for investment below Rs. 50 crore, 75 per cent exemption for investment of Rs. 50 crore and above, 75 per cent exemption for investment over Rs. 10 crores in Zone 3 and Zone 4.

It also provided 100 per cent entertainment tax exemption for all theatres newly constructed, including new I-Max or Multiplex theatres situated within the limits of the local authority other than the Bangalore City Corporation. 

Mining operations not halted: Reddy

BANGLAORE: Karnataka Tourism Minister Janardhana Reddy, whose firm has come under scanner for alleged illegal mining, on Wednesday said his company has not stopped operations as there has been no such directive to it by Andhra Pradesh Government.

He was speaking after releasing a new tourism policy in the State secretariat. “We have not received any communication from Andhra Pradesh Government to stop mining. We have not even been served a notice. Our operations are going on,’’ he told reporters here.

Mr Reddy’s views came in the wake of reports that AP government had decided to suspend operations in six iron ore mines following a letter from the Central Empowered Committee (CEC) of the Supreme Court.

Mr Reddy said the CEC has not been asked by the Supreme Court, which had constituted it, to submit any recommendations on activities of OMC. CEC has not visited our mining company. It has not even served any notice so far. Since the matter is before the Supreme Court, I will not react to it, he said.

However, Mr Reddy said he had full faith in the judiciary and would await its outcome on a writ petition filed in the court accusing OMC of indulging in illegal mining. Replying to a question on whether he was being targeted, the Minister said it was for the media to come to a conclusion. Mr Janardhana Reddy and his brother Revenue Minister Karunakara Reddy had recently led a revolt against Karnataka Chief Minister B S Yeddyurappa throwing his government into turmoil but patched up with him later.

The Reddy brothers, who owns mining in Australia and other countries, have decided to invest Rs. 20,000 crore on a steel plant at Kadapa in Andhra Pradesh with the support of former AP CM late YSR Reddy’s son.
The Congress and JD (S) are likely to step up their stir demanding the CBI probe into illegal mining by the Reddy brothers.